no welfare payments on this farm!!!!!!!! | garvo i like what your trying and thinking but think about what your last post was, this has nothing to do with your freind or original post but how you are going to get ahead. you say you dont feed cattle unless it shows a profit, anyone can buy cattle, you say you wont rent ground unless it shows a profit, alot of people can expand their acres. i dont buy cattle unless the banker says no, that is when the real money is made. take the guys who paid up for the rent in 2010, looked rediculous from the 2009 numbers but it panned out. yes its a gamble, but your method is a guarenteed poor the rest of your life plan.
if it cash flows for you what is to stop your competitor from bidding one more dollar and doing it or taking it from you. talk tothem seasoned cattlemen and rowcrop farmers and they will tell you their most profitable pens of cattle or years of farming were when times didnt look good up front, them numbers up front scared away everyone else and thats when the real money was made.
nothing is wrong with your system other then it is predictable by all the value adders to your end product. all thos value adders know the COP of your product downto the penny and knew it from the day you started your plan. its going to be very hard to get ahead waiting on stuff to always pencil before you do it, who knows it may pencil a day earlier for your competitor. I cold be wrong you could be the most effecient producer of whatever it is that you produce, but i think we both know the answer to that. this is why you see alot of these seasoned farmers telling the younger crowd not to barrow money for inputs. remember if the banker will loan you money he will also loan money to your competitor. you have to be ready to dive in when the banker says NO, and then the other rule is when it makes sense, i have read enough of your posts to know your smart enough to not jump off a cliff so its safe to say you know when the numbers will go your way. that was a compliment dont let me down,
if my statement is wrong then you should be able to make 5 to 6 % roi with no risk at all in any market, keep you head up, your money in your pocket where YOU control it and listen to that voice in the back of your head saying yes or no, Good luck and enjoy your post. |
update on my friends rent next year-that sent notice's
