As the manager of your farm business it is essential to understand your goals.
What do successful farmers do?
- Generate an Operational profit
- Protect their assets
- Act as Stewards of the land
To understand your financial records you need to be able to speak at least three languages—Bankerease, Farmerease , and Accountantease. Accountants relate to your financial statements for tax purposes. Bankers relate for lending. Farmers should relate for managerial purposes, a lot can get lost in translation—with you footing the cost.
This presentation identifies and explains the differences between an accountant’s mandate and a banker’s needs–keeping in mind that the overall goal is for farmers to understand the financial aspect of their business.
Topics discussed include:
- Tactics
- Financial Statement Terminology
- Financial Statement Interconnectivity
- Ratio Analysis
- Types of Financial Statements
- Cash Flow vs Profitability
- Viability Assessment
- Sustainability Assessment
- Assess and Manage Performance
- What are your Options?
In order to be successful, farm managers must also be able to determine their financial risks, then identify potential contingencies and make decisions that alleviate those risks to an acceptable level. This presentation “merges mindsets”, makes cents/sense of your dollars, and improves your financial analytical skills. You will gain a deep understanding of how to use the information in your financial statements to mitigate your financial risk.
This course also enables you to extract maximum value from dealings with your accountant, and instills a higher comfort level in your banker as they will know, you know where you are at in the conversation about your finances.