Managing farm finances in good seasons is central to the success of farm businesses in poorer seasons, according to the Grains Research and Development Corporation (GRDC).
To support growers through seasons both good and bad, the GRDC has established a Farm Business Management initiative which aims to equip growers with the tools and knowledge for managing risk in farm businesses and increasing profitability.
GRDC Southern Regional Grower Services Manager, Andrew Rice, says it is clear that business and risk management skills underpin successful farm businesses.
“But each farm and farming family is different and therefore a one-size-fits-all approach to business management will not work,” Mr Rice said. “In recognition of this, the GRDC has been working to support grower and adviser capacity in farm business and risk management by investing in a broad range of activities across the Australian cropping regions.”
Instigated by the GRDC Southern Regional Panel, the Farm Business Management initiative involves farm business and risk management workshops, and specialist farm business management updates across the southern region.
A new GRDC Ground Cover farm business management supplement, Farming for Profit, highlights some of the activities being undertaken as part of the initiative.
“A common theme of all articles in the supplement is that there is not a best way or an only way but many ways to increase profitability and manage risk in the farm business,” Mr Rice said. “The aim is to provide the tools and knowledge that will enable farm business managers to best manage the specific risk and profit profiles of an individual farm and its assets.”
The supplement details Ag Profit™, a new GRDC-supported approach to farm business analysis and reporting; the drivers of farm profitability; technology adoption; managing cash flow; risk management using @RISK software; essential components of a successful farm business; machinery investment; labour requirements and resourcing; and emotional wellbeing.
The supplement has been included in the November-December edition of Ground Cover magazine, and can also be viewed and downloaded via www.grdc.com.au/GCS107. More information about GRDC’s Farm Business Management initiative is available via www.grdc.com.au/farmbusinessmanagement.
- See more at: http://www.grdc.com.au/Media-Centre/Media-News/South/2013/12/Management-skills-driving-successful-farm-businesses#sthash.7QBjGUUW.dpuf