Any benefit to an older farmer if they finance a younger guy on their equipment?

[blackpowder]

Although rare, opportunities do exist.
And this is a big one. Good for you.
Myself, I have my non family partner assume growth shares over time.
I made a vow not to be the guy everyone is waiting on to die before they can do what they want. There will be no checks flipped in my casket before they close the lid. I also wanted to provide earned opportunities I never had. And it's great incentive.
Every business needs new blood.
Most parents have their head in the sand, and most geezers can't see change.
I'm still walking on eggshells around some. It's work not to be bitter.
Run with it.

Just be careful, renting can be for a long time, but never permanent. Get to know his family very well.

[AlbertaFarmer5]

Bison, big acres of crops, selling oats by the tote, rapidly expanding, and occasionally, time to spend on Agriville.

I know there is a lot of truth to the saying, If you need a job done, give it to the busiest person.

I assume the person offering you this opportunity must recognize this too.

I wouldn't turn down the opportunity, if that is the direction you want to go. I've noticed I only seem to regret the opportunities I didn't take.

When you were discussing bison, wasn't part of the reason that you were bearish grains going forward?

[flea beetle]

Bison, big acres of crops, selling oats by the tote, rapidly expanding, and occasionally, time to spend on Agriville.

I know there is a lot of truth to the saying, If you need a job done, give it to the busiest person.

I assume the person offering you this opportunity must recognize this too.

I wouldn't turn down the opportunity, if that is the direction you want to go. I've noticed I only seem to regret the opportunities I didn't take.

When you were discussing bison, wasn't part of the reason that you were bearish grains going forward?

Yes I was, and still am bearish grain going forward. I have a gut feeling we are going to be in tough for a few years once the Ukraine/Russian war is over. (5-10 years) My wife and I had made the decision at the beginning of this crop year to diversify heavily because of this bearishness.

We have started a bison herd. (So far at 63 animals). On the verge of partnering with a reserve and being 25% shareholders in a cattle herd (being involved mostly as their hay and straw provider/consultant). Started a heavy equipment rental outfit (cat/hoe) and picked up a contract to supply equipment for an oilfield reclamation outfit. Started a trucking outfit that hauls equipment for local farmers/a few local ag dealers, also pulls air drills/farm implements, grain/fertilizer in the winter, bales, and also have an older end dump if the opportunity arises. My wife is also on the verge of opening her own accounting firm, and also started doing contract work for a couple other firms, since the kids are almost all in school. So it is definitely busy.

We did all this in the name of diversification, as well as to keep the guys busy in the winter. And then this land falls in a guys lap!

We definitely aren’t big acre farmers. But, I have always been of the mindset that if someone wants you to have something, you will do well with it. And don’t go forcing your way into things. That is when you get in trouble.

Thinking this will allow us to seed more hay, and possibly a little pasture. Will see where it goes. I am having trouble keeping my repeat hay customers supplied the last couple years. Maybe go where the market is?

[AlbertaFarmer5]

Thinking this will allow us to seed more hay, and possibly a little pasture. Will see where it goes. I am having trouble keeping my repeat hay customers supplied the last couple years. Maybe go where the market is?

Easier said than done. We have sold a lot of hay in the past. Not an easy market to chase, or predict. Need to plan 2 years ahead ( at least here, where we underseed to a cover crop), to have hay to sell. by which time, the hay market might not resemble the market when the hay was seeded. For better or worse.



But maybe your crystal ball is less blurry than mine.

[flea beetle]

Easier said than done. We have sold a lot of hay in the past. Not an easy market to chase, or predict. Need to plan 2 years ahead ( at least here, where we underseed to a cover crop), to have hay to sell. by which time, the hay market might not resemble the market when the hay was seeded. For better or worse.



But maybe your crystal ball is less blurry than mine.

Lol we do about 800 acres of hay right now, and between our bison herd growing, and the start of this cattle herd, we could probably use another 300 acres. Also been 1500-2000 bales short the last two years for the repeat customers. I don’t even advertise my hay anymore.

But we are in east central Alberta. Where everyone has plowed under their hay in favour of crop land.

I kind of hinted to my customers this spring that I may get out of selling hay as my bison herd grows, and they practically begged me to keep making and selling the stuff.

[Guest]

Yes I was, and still am bearish grain going forward. I have a gut feeling we are going to be in tough for a few years once the Ukraine/Russian war is over. (5-10 years) My wife and I had made the decision at the beginning of this crop year to diversify heavily because of this bearishness.

We have started a bison herd. (So far at 63 animals). On the verge of partnering with a reserve and being 25% shareholders in a cattle herd (being involved mostly as their hay and straw provider/consultant). Started a heavy equipment rental outfit (cat/hoe) and picked up a contract to supply equipment for an oilfield reclamation outfit. Started a trucking outfit that hauls equipment for local farmers/a few local ag dealers, also pulls air drills/farm implements, grain/fertilizer in the winter, bales, and also have an older end dump if the opportunity arises. My wife is also on the verge of opening her own accounting firm, and also started doing contract work for a couple other firms, since the kids are almost all in school. So it is definitely busy.

We did all this in the name of diversification, as well as to keep the guys busy in the winter. And then this land falls in a guys lap!

We definitely aren’t big acre farmers. But, I have always been of the mindset that if someone wants you to have something, you will do well with it. And don’t go forcing your way into things. That is when you get in trouble.

Thinking this will allow us to seed more hay, and possibly a little pasture. Will see where it goes. I am having trouble keeping my repeat hay customers supplied the last couple years. Maybe go where the market is?

Easy to see why your neighbour picked you !
Sounds like you are part of a rare breed these days !!
Good luck going forward
Most young guys can’t ever imagine the party bring over

[AlbertaFarmer5]

Yes I was, and still am bearish grain going forward. I have a gut feeling we are going to be in tough for a few years once the Ukraine/Russian war is over. (5-10 years) My wife and I had made the decision at the beginning of this crop year to diversify heavily because of this bearishness.

If you are budgeting according to that outlook, and the numbers still work, then you should be in great shape taking on more land.

I start every year assuming the worst. We have been hailed out, drowned out, and frozen or snowed under often enough that I assume a complete write off is a probable outcome. I budget based on historical low commodity prices, regardless of what they are today. And I assume we could go a year or more with no crop income.

[flea beetle]

If you are budgeting according to that outlook, and the numbers still work, then you should be in great shape taking on more land.

I start every year assuming the worst. We have been hailed out, drowned out, and frozen or snowed under often enough that I assume a complete write off is a probable outcome. I budget based on historical low commodity prices, regardless of what they are today. And I assume we could go a year or more with no crop income.

So you aren’t supposed to build budgets based on $20 canola and $13 wheat?😉

[Guest]

i remember , not that long ago , adding water to over dry canola struggling to get to $5.25/bu

[Sodbuster]

So you aren’t supposed to build budgets based on $20 canola and $13 wheat?😉

Not unless you’re trying to justify $150 rent.