How to stress-test your farm business – and why it is important

Transition Agriculture

Before making any changes to the way you farm, it's important to ask: is your farm business financially robust?
Stress testing and financial modelling are valuable tools in identifying overall farm business vulnerabilities and finding answers to all your “what-ifs”.
Measuring how vulnerable you are to changes in interest rates, market price fluctuations, inflation and rising input costs could make the difference between success and failure.
In this Transition Podcast, we look at:
• How are all these factors influencing your farm’s working capital?
• What changes should be implemented to make your farm more resilient?
• Financial modelling: Why and how should you do it?
• How are gearing rates, borrowing, assets and liabilities affecting your business?
Our panellists are Jeff Claydon, of Claydon Drills; Tim Coates of Oxbury Bank; Tom of the Environment Bank; and William Foyle of Hutchinsons.
This episode of Transition Agriculture is hosted by Hugh Broom and recorded on 8 December 2022.