Starting out in Farming
In the latest edition of AIB Agri Matters two young progressive farmers offer advice to aspiring young farmers in setting up a new farm enterprise or starting out in farming:
1. Know exactly why you’re doing what you’re doing – if you don’t it’s hard for anybody else to know. Explore the options and pick the one that suits you best. Seek advice from others to see what worked for them.
2. Establish a good track record when you’re young – in work, in college and with the Bank – it gives others more comfort you have the credentials to deliver on your plans.
3. Put your best foot forward when meeting the bank – prepare well in advance. Don’t sell yourself short – Have your costing’s and have your research done. Show you understand your business and its profitability and most importantly ensure your lender understands it.
4. Treat the farm as a business – if you don’t look after the business, financial management is useless. The opposite is also true. Costs and cash flow must be controlled and monitored to ensure the business remains profitable and bills can be paid, when they fall.
5. Have a simple system – more easily expanded, and helps ensure consistency and accuracy – especially important where additional labour is employed.