Best Practices

How Well Do You Understand Your Customers’ Challenges?

3 Homework Questions: Case Study 2

There are 2 simple ways to do this. One is to develop a long-term lease for added security. One issue with a long-term lease, though, is that lease terms and rents tend to fluctuate much more frequently in today’s agricultural environment. It could be disadvantageous for a producer or a landlord to be locked into specific terms for many years. 


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How Well Do You Understand Your Customers’ Challenges?

3 Homework Questions: Case Study 1

The sustainable debt load of a business depends upon its earnings. EBITDA — Earnings Before Interest, Taxes, Depreciation and Amortization — which is calculated as Operating Revenue minus Operating Expenses. EBITDA represents the money available to spend on family living, interest and debt service. When EBITDA is larger than the amount used for those items, the residual is used to “grow” equity, which could be cash in the bank or funds to purchase other assets. 


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When is Investing in a New Structure the Right Decision?
Case Study 3

When is Investing in a New Structure the Right Decision?

An operation that feeds 1,500 cattle twice a day in addition to farming nearly 2,500 acres means daily responsibilities leave little “downtime” for long-term planning. However, one father and son team sets aside time and seeks counsel each December to plan for a more efficient and profitable future. A recent long-term planning session involved analyzing the benefits of a deep bedded cattle barn.
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Case Study
Case Studies

How Well Do You Understand Your Customers' Challenges?

You’ve heard it said a hundred times before. Farmers don’t need a supplier just for their seed, equipment or fertilizer. Suppliers defined in this way are mere silos to the farmer’s greater need for holistic, interwoven solutions. Farmers need partners who understand their business, and can leverage expertise and experience to help them accomplish the goals of their entire farming enterprise. They’re demanding it today, and will demand more of it in the future.
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