FCC cash flow planning tips and tools help mitigate uncertainty
By Top Crop Manager
There’s plenty of uncertainty involved in agriculture, but a little bit of planning can go a long way to mitigating some of the unknowns. This is especially true for farm finances and cash flow, according to Farm Credit Canada (FCC).
Cash flow projections, or cash flow budgets, are estimates of cash receipts and expenses expected to occur during a certain time period, says Kevin Hursh, a Saskatoon-based agrologist and commentator, in the linked article. Listed benefits of cash flow planning and analysis include knowing when cash flow will be tight to plan for a possible shortfall and making marketing decisions without being under cash shortfall constraints.