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Dairy Data

Cash Flow Problem
Is cash flow a problem on your farm?

The challenge:
Not having enough cash to cover the needs of the farm business is a common occurrence on many dairy farms. Without sufficient cash to operate the business, productivity can suffer, causing a downward spiral that becomes ever more difficult to pull out of.

Why the problem exists:
Cash flow shortages can be categorized into two broad areas: External Factors and Internal Factors. External factors associated with cash flow problems include low milk price cycles or the high cost of inputs such as energy, commodity feed stuffs and interest rates. Internal factors include poor operating efficiency, low milk production, cow numbers that are not optimal, or debt payments that are improperly structured.

How Dehm Associates, LLC can help:
The Dairy Dashboard™ provides information and knowledge to show producers how and where to look for improved farm cash flow with reports such as Goal Performance, Touchstone Benchmarks, and tools such as the Dairy Advisory Team. The experts at Dehm Associates, LLC can also determine if debt capital is adequate and if repayment terms are structured properly for your type of farm business.

 

 

 

 

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Geneseo, NY, U.S. • Phone: 585-243-4427 •info@DehmAssociates.com

 

 

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