Answer These 3 Questions When Investing in Your Farm

With dramatically improved grain prices, many producers are capturing improved revenues the likes they haven’t seen in several years. And that’s spawning new buying as farmers look to invest in improvements to their operations. It’s easy to get lax at a time when revenues present ample buying opportunities. Instead, answer these three basic questions, in addition to focusing on working capital and prudent cost management: Do you need it? Does it make you more efficient? Does it fit your long-term plan or simply meet a short-term need? Answering these questions can help make purchase decisions easier and enable you to better distinguish between wants and needs. It’s also a good time to lock in crop inputs for future years and seek new revenue opportunities to sustain the current bullish financial circumstances for grain farmers. See more ways to firm up your farm’s financial footing.