AgVantage
Like with anything, success comes from preparing and planning. Whether we are preparing to go back to school, starting a new sports year, or even spring cleaning to get ready for summer, we need to apply our efforts and attention to our future goals and outcome. As I am writing this article, I realized this might be a good time to start pre-planning for the 2024 crop year. We really don’t know or can’t control the pricing of a commodity to fully understand our future revenue. However, we can understand and know what our costs will be per acre or per critter so we are not completely shooting in the dark. Planning helps us be in the right mindset and focus on a target or goal we want to reach. Planning ahead also helps separate emotions from the logic in your decision-making process. We know if our emotions are too strong, it’s easy to make unwise decisions that we later regret. Proper planning can also help you with determining the right type of marketing strategies you would like to accomplish with your commodities.
As you are harvesting your crops this fall, please take a minute or two and think about next year’s productions and also ask yourself some simple questions.
Do I know the true cost of my crop or livestock operation?
Should I be cautious with the volatility in markets?
Is my margin going to be shrinking this upcoming year with all of the uncertainty in our current economy?
At any time, if you have any questions or concerns, please do not hesitate to contact your UBI lender. The staff at UBI are truly an asset to help guide and prepare you in overcoming obstacles you might face in your operation.
Jim Friel
