1 Business Planning for Farmers David Visher UC SAREP

2 Why do you need a business plan?  To systematically think through every detail before you make a fatal mistake  To create a plan of growth  To create a sustainable farm  To bring yourself into focus about your strengths, goals, and strategy  It is the basis of the plan you show the bank

3 Steps to create your plan  Self Assessment  Basic Strategy  Working Business Plan

4 Self assessment  What do you love?  What is your unique talent or skill?  Who is doing this with you?  What are your personal resources?  How do you define success ?

5 Basic strategy  The market  Marketing  Resources  Your farm enterprise and crop choices

6 Working Business Plan  Business charter – your fundamental strategy  Management structure  Product  Information system or management plan  Marketing Plan  Financial Plan

7 Business plan for financial backers  What a lender will want to see  resume  financial records for past 5 years  net worth and outstanding debt and receivables  Information about property and equipment  Information that supports the decisions you have made about your business strategy and plan  Be prepared to answer questions from your lender