The management of a business and farm in the country requires a wide range of economic, technical as well as human conceptual and analytic abilities. This includes identifying the needs of customers that your farm operation is uniquely placed to satisfy, planning production and marketing and ensuring that resources are utilized efficiently and effectively. It also includes continuously assessing the effectiveness of current practices and testing the latest technology.
A sound financial plan is essential to an efficient farm operation. This includes the preparation of annual farm plans, budgets and cash flow statements. These are used to formulate management plans and to evaluate the performance of the business by assessing its progress towards achieving its goals. It is crucial to establish an emergency plan of action for what could happen to the company if catastrophe occurs or if you decide to sell your company or downgrade it to hobby status.
It is essential to seek advice and support from others in any way, whether it’s an idea-generating source that are bouncing around in your head or scribbled on a piece of paper or a business advisor with experience in agribusiness. There are many organizations in the state of Wisconsin that are devoted to helping food-related and farms businesses grow and start. Farm Answers is one example. It offers a step-by-step library, advice and a directory of beginning farmers training programs.
Effective farm managers have a strategy in place to plan for their children or other family members to take over the business at some moment in the future. This process isn’t always straightforward and may cause tension, but it is a good idea to start the discussion early.