Operating Lines

[Rareearth]

I like the like button idea.

It's bad business not to have as much available credit as possible. Set this up when times are good, as it's not so easy when things are tight. You don't necessarily have to use it, revolve it, buy from the competition once n a while. When the 1/4 next door comes up for sale every one or any one can play big shot pay cash / check same or next day. Loan and traditional financing take time.

Lots of winning how people operate, accumulate assets, etc. You can't pump the family one day then slam those with family farms. The statistics for 1st - 2nd, 2nd to 3rd, etc family transitions are not very good( but better than most other businesses). Good luck, insurance, timing, good business choices over the decades should not be diminished. Every one aspires for more and better, and some easier. Bigger isn't always better yet many choose to believe it is. Life is short, work smarter not harder.

[ado089]

Freewheat, my bank pretty much insisted I got a $100k line of credit when I bought my first 7 quarters, it is backed by the land. RBC

[hobbyfrmr]

I farmed my fist 15 years with unsecured credit and cash flow. Old, old equipment. I flogged all the line company credits and applied and succeeded with some LOC's. Identical to Black Powders description, disperse funds according to deadlines, take from here, pay there , use cash advances to try and minimize interest costs. Its weird and frustrating but I have a high equifax credit score. I never got into trouble but there were many times I would organize my payment schedules/strategies I could hear circus music playing in the back of my mind. Its not the best way to do things.
Some days I think I look back and laugh. I was mathematically eliminated from farming about 18 years ago but for some reason I really wanted to farm and thought I would figure it out. Ha ha . Some fools never learn.