HELP: Drawing equity out of land due to shitty year

[Ache4Acres]

I am sure FCC would be happy to give you more $$$

I would pay off the other lenders that might be less flexible than Fcc.

Absolutely agree with everyone that said show them a solid business plan and they will drool
To give you moar munny!!!

[LEP]

After thinking about things abit and reading the other posts I have a couple more comments that may make the waters even muddied.

All of our posts have the unlying assumption that things will get better. But for some they won't. If you are a producer with higher costs there may not be enough margin available to make your situation work.

Also with your own situation you may have faced enough problems that you might be throwing good money after bad.

If you have good equity in land, you have a huge trump card but this may not be the best time to use it.

By consolidating you take all the risk that your creditors have and reduce it greatly while increasing your own. If you are upside down on a piece of equipment or have a large unsecured debt now may be the time to fix your problems.

Once you have consolidated, if there was a problem that wasn't addressed then you own it.

Anyway, my two cents worth.

[tweety]

Are you a corporation or sole proprietor?

[farmaholic]

Something that can really cause a lot of stress under these circumstances is if you're dealing with family/heritage land and emotions run deep. Rightfully so. There will be a solution for you and there is alot of good advice in this thread.

Best of luck, and take care.

[kato]

There's a lot of good advice here . As a survivor of the BSE disaster all I can add is that it's important to be proactive. Go to them before they come to you. Analyze your whole operation from top to bottom, and have a handle on it all. If you walk in to a lender armed with that they are more receptive.

Quite frankly, FCC saved us. Our former bank quit supporting us the first time we walked in to get some feed financed. They talked a big game as long as we didn't need money but that changed pretty quick. FCC saw the big picture and stuck with us.

[blackpowder]

For sure it can make a difference which bank. Read, drop anything east of Sask. Im in AB. I use atb.
LEP. I dont assume anything anymore. I will simply farm as long as I can. Paid experts dont understand that.

[Anonymous]

Thanks for the PM's and input here. I've been chewing on this for a few days and I'm still not sure. I'm a sole proprietor, wife works, I work but its energy related and 2015/16 was a dud (skilled trade, in demand when its busy and make good money but when there's no work...)
Part of my privacy issue is that there's family concerns, dad just started a generational transfer and I won't use that land for security so any security will just be on the land base I purchased.
Its been a struggle the last while but with land value rising and off farm income supporting us it seemed like the right choice.

I've always wanted to farm and the last 30 years has been focused on this but if it all goes south I'm still worth a lot of money and I'm at peace with moving on. But I'm dreading the next family dinner when I have to explain to my parents what happened and offer to take my name off title so Ritchie Bros can deal with their land.

Sent my stuff to FCC yesterday and I'll work on a proposal for AFSC over the weekend. I appreciate you guys listening, I can't talk with my wife about this and most of my friends are non farmers or were born with a silver spoon and have no idea what building a business with no equity is about. Cottons end made me stop and think about whats important and if everything goes south the world won't end.

Thanks for everything

[kato]

I am a wife, and I would certainly not want my husband to carry that much worry by himself. We've pulled our biggest rabbits out of hats maneuvers by brainstorming together. She has as much at stake as you have, and may surprise you. I don't know enough about your situation to get too preachy, but hate to see anyone carry a burden alone.

just sayin'.

Hopefully things all work out for the best. Any of us who've played the farming game will have been in the same jam. Many more than once!