Tilt the Debt Teeter-Totter in Your Favor

摘要

In order to tackle the challenges facing agriculture today, it's critical producers carefully balance the teeter-totter of short- and long-term debt. If managed properly, this balancing act will position you to survive and thrive.Most farmers are land rich and cash poor and require long- and short-term debt to fund their operation. In a perfect world we would only use our line of credit to fund self-liquidating expenses, such as those necessary to grow a crop. Equipment and realestate purchases would be funded using term loans with principal and interest payments and those payments would be paid back using profits from the farm.