March 9, 2011 – RSM Bird Cameron offers advice for farmers facing the long and short-term hardships caused by drought and other recent natural disasters.
Geoff Hall, head of agribusiness at RSM Bird Cameron said, “It’s no secret that many farms and the rural communities they indirectly support are under financial pressure. Many carry large amounts of debt and feel they have few options going forward – particularly after the latest bout of natural disasters. In our experience, however, there are always options. The big challenge we find with farming enterprises is that many farmers plan based on ‘one good year’ restoring their fortunes, when in fact it makes more sense to make plans that incorporate poor and average seasons. A good year is a bonus in many districts, not the norm and market prices can vary widely from season to season.
“There is a Drought Assistance Package for farmers and small business offered by the government when financial help is needed, this package is intended to relieve stress in the short term, but debt management becomes a major concern in the long term. Financial relief won’t happen unless long term financial plans are made”. Read more ❯