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| I have supplied feed to 4 large dairies, over 4,000 cows each, for years. I always get an advance deposit of 85%. Do not be afraid to ask for a deposit, as it is normal business. Most dairies prepay for all their additivies when they contract. Your feed is no different.
Another option is to have their bank give you a letter of credit which states that they (bank) will pay you and end of harvest. Most dairies have a feed line of credit. Get it in writting from the bank.
You will also be very wise to draw up a contract for the dairy to sign. If things do go bad, you need some documentation for the legal process it will take for you to get your money. If they go bankrupt, you will be at the top of the list with a contract. Without a contract, you will be an unsecured creditor at the bottom.
You would also be wise to file a lien with your States Sec. of State. Usually this can be done online. The bank should file this for you if they give you a letter of credit.
If you cannot get any of the above, then I would combine the corn. At least you will have control of it and money in the bank. | |
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Dairy wants to chop my corn
