How can you steer your business if you don’t know where you want to take it?

A business plan, including a clear statement of objectives, policies, the systems to deliver the objectives and detailed financial projections, is essential to the success of any business. In the agricultural sector that’s probably the case more than any other – but in reality very few farming businesses have any sort of plan.

There are probably more uncertainties in farming than in any other business sector:

  • The weather
  • The effect of exchange rates on costs and farm gate prices
  • Restrictions on livestock movement due to, for instance a TB reactor in the herd or, more widely imposed if it arises, and epidemic of foot and mouth disease
  • The effect of worldwide gluts and shortages
  • The pressure from supermarkets
  • The uncontrollable political impositions

These and a plethora of other factors can all have a drastic effect.

If there is no business plan – no road map for the business, if you like – how are you going to know when it is running off course? How are you going to know what decisions you need to at least be considering if not yet taking, if you don’t know how your businesses is performing compared to your intentions.

By taking action at an early stage, perhaps to lock in a favourable price for fertiliser or perhaps to hedge against the price of pork tumbling, you may be able to avert what could otherwise prove to be a disastrous for your business.

How do you know if you need to take what could be critical action if you don’t have a plan to work to and to adjust for the effect of those uncontrollable changes?

How can you judge past performance if you don’t know how it compares with forecasts and budgets?

How can you take steps to plug any holes that are draining the business if you don’t know what they are?

Using our bespoke, cloud based software we are able to assist with or prepare your financial plan to whatever level of detail you require and to adjust it to take account of variable factors as necessary and then provide linked reporting to compare the performance of your business with your expectations, to enable you to take the early action that is required to keep your business soundly on track.

We are also able to help you raise capital though our wide range of specialist agricultural and assets finance contacts.

To learn more please call 01935 383 500 or email arateam@milsted-langdon.co.uk.