Farm cash flow is about timing. Costs arrive months before sales, and both prices and yields are uncertain until late in the season. A plan that covers timing and scenarios makes operating-loan conversations easier and surprises rarer.
Use this checklist before the season and revisit it as yields and prices become clearer.
Before the season
- Build an operating budget by enterprise, field, or herd.
- Calculate cost per acre or per head and breakeven prices.
- Schedule input purchases, rent, insurance, and loan payments by week or month.
- Agree an operating line size with your lender based on the projected low point.
Sales and prices
- Plan expected sale dates and volumes.
- Test at least three price scenarios against breakeven.
- Record forward contracts and insurance coverage assumptions.
During the season
- Update the cash projection monthly, or weekly in tight periods.
- Compare actual input costs with the budget.
- Revise yield and price expectations as evidence arrives.
- Plan estimated tax payments and year-end timing with your adviser.
This template is general guidance, not legal, tax, or financial advice. Adapt it to your business and confirm requirements with a qualified adviser.