Time to invest in your self?

[furrowtickler]

I had a talk with an old hockey buddy who recently moved back here from the oilpatch. He bought out a buisness in town and expanded it greatley. A investment guy was out to see him about, well investments ect. He told the investor that he only believes in investing in himself. He has a good business, a solid business plan and works like a dog. He told the investor that why would he give money to somebody else when investing in himself and his business is returning him well over 20%/year. The investor was lost for words and never went back again.
Is it time to look at our own businesses and invest in your own farms and not other outside investments. You control your own destiny then. Most of the successful farms have been doing this forever, and those with outside investments are takeing a beating.

[charliep]

Interesting question in a time no one wants to open envelopes with their investment information in it.

to get going, will suggest the answer will be very personal to every individual.

1) Age/stage of life. Would suggest a 30 year old beginning their farm career would be different than a 60 year old who has the farm paid for/is preparing for retirement.

2) Personal goals/family succession plan. Some one who has a son/daughter interested in farming may want a off farm nest egg so they are not 100 % dependent on what the kids do. Likewise, some will have the goal of growing the business whereas will be happy with their current size. Others will be looking at off farm investments that support community development.

3) Desire to take on risk. You may not call an investment strategy but some will have a large cash reserve so they can pay cash in the spring for 100 % of their inputs in the spring. Others will have a cash reserve big enough to carry them through a couple of ugly years.

4) Wouldn't go too far down this road cause will get beat up on but the relationship between capital items (real estate, buildings and equipment) and other place you can put your money. New green paint or money in the bank.

I am going to assume that most will be profitable this year/have extra money. What will you do with it?

[cottonpicken]

Furrow i'm going to start calling you bingo.

"No man ever got rich working for a wage"
-wyatt erp (i think)

Charlie-"all my money is going to women and booze and the rest i'm going to waste"

-author called cant remember

[SASKFARMER3]

Hey why not invest in your self, this should make Flaman furious. Just bought another three quarters. That's for you Rod. Land in North Dakota selling for $120,000.00 a quarter on average.

[caseman]

Had a neighbor phone me today,offered to rent me 10 quarters. I think I will take it all and help spread out the machinery payments. good investment or not????

[Hopperbin]

Can you get the work done?
If yes and your rent payments have not gone crazy then good investment in yourself.
If no then you are a bad investment.

Labor does not come cheap in my area if it even comes at all.

Saskfarmer how are land taxes assessed in North Dakota? Just wondering that could make a big difference in land prices?

[Hopperbin]

Cotton some of these guys working in the oil industry, railway, potash mines etc are making very good money. Now if you lived in China the chances of earning a good wage next to 0. Or if working for a first generation chinese Canadian 0 :-)

[SASKFARMER3]

Hopper not sure about the taxes on farm land, will ask next time. Funny equipment dealer from the city just paid $120,000.00 per quarter in our area for 4 quarters with 440 acres broke Valley top land so their will be 200 acres that can not be ever broke. No view of the lake unless you really squint hard.

[wedino]

Saskfarmer, equipment dealer from the city = RedHead?

[husker]

320 acres 8 miles south of Regina just sold for 1200/acre. There's no end to the high prices paid in the Regina Area

[furrowtickler]

Land listed west of N.B. at $1500/ac. Not far from oil but very good dirt just the same. Still if it sells, producing grain there will be a loosing proposition.

[SASKFARMER3]

Yea good guess!

[SASKFARMER3]

Ill sell 4 of the highest assessed quarters of land in our RM for $1,000,000.00