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s nd | Back in the eighties, we weren't "YET" told by everyone from our banker to every darn farm publication to get big or get out. Own a thousand acres, better go rent an additional three, four, five thousand if you wanna play today. Today that's small. And the thousand acres wasn't paid for. You need eqity to borrow money. So refinance the thousand to buy bigger equipment to handle the extra land. Horrible working capital but cash flowing okay. Would have been okay if the land you rented was good/real good land so it could stand somewhat on it's own, but leveraging the profitablity of the owned land just to keep it get's real expensive in harder times. | |
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A major difference between now and the 80's
