Posted 1/31/2014 07:29 (#3650722 - in reply to #3650675) Subject: RE:Debt
Sheep Herder - 1/31/2014 07:16
The goal of farming should be to get out of debt and stay out of debt.
This is a very very good point. We do this job because we are likely called to it, we like it, we like some of the 'freedoms' it offers. However, it's a commodity thing and we are never in a situation where things can't change very quickly.
20/20 Hindsight Marketing: you should have saved up profits and bought machinery with cash when prices went up and every year evaluate debt using 'doom and gloom' scenarios to see how bad things would get if not paid off. Paying off stuff quickly and paying down overpriced land so the payment looks like you paid $3500/acre should have been the goal. Then you would sleep better at night and give yourself in a better position to weather less profitable times.
North Dakota (non oil) farmers are in trouble
