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western NY | Debt free farming can be very enjoyable. It can also be a laudable goal.
However, the wisdom of it depends on the stage of your career. If you are building a business from scratch, you'll need to borrow some $ until you get established or you'll never live long enough to succeed.
Once your business [or businesses] are established and profitable, then you can pour those profits into expansion. This is a win-win situation: those dollars are used to increase the size and profitability of the business instead of giving it to Uncle Sam. Rinse and repeat.
You'd be surprised how far you can stretch a dollar when your end goal is no debt, especially on the machinery budget.
One more thing: Equity should be the focus. The most important thing is, what is backing up the debt? One million is debt is a big deal if you don't own much real estate. It's not a big deal if you own 3000 acres of prime cropland.
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How many debt free farmers?
