GFM Network News

Sure, drones draw a crowd, but like other farm tools today, they need to earn their keep by generating usable data that actually increases profits.

The farm data overload needs a fix

Ag tech event shows future of farming is data driven — but 'we're not there yet'

Reading Time: 5 minutes Jay Bruggencate has a bit of a bone to pick with the ag-tech industry. “We’ve invested hundreds of thousands of dollars into smart equipment that knows what it’s doing but can’t talk to each other,” said the Lacombe-area farmer at the recent AgSmart event at Olds College. “There’s so much data now available to us […] Read more

What was the real bottom line on your farm in 2017?

What was the real bottom line on your farm in 2017?

Cash accounting can save you taxes, but it doesn’t give you a true picture of profitability

Reading Time: 2 minutes Was your farm profitable in 2017? Now is the time to find out by converting cash statements to accrual income and expenses statements, says a provincial farm financial specialist. “The majority of farms still report their incomes and expenses on a cash basis via their annual income tax returns with the goal of avoiding or […] Read more

Are you keeping your accountant awake at night?

Are you keeping your accountant awake at night?

The thought of farms getting hit with a huge — and unnecessary — tax bill is a scary one, say two tax experts

Reading Time: 3 minutes What keeps you up at night? Up and down commodity prices? Weather? Finding (or keeping) rental land? For accountants Ryan Stevenson and Dean Gallimore, it’s the thought of farmers getting whacked with a tax bill they could easily avoid. “One of the best things about farming is that farming companies can transfer from one generation […] Read more

Top view of professional investment advisor woman consulting about financial plan with business management.

Five questions to ask your accountant

It’s tax time again and there are a number of new or imminent personal and corporate income tax changes which could have implications for farm families on their 2016 tax return, or need to be discussed with the accountant to plan for this year. When the federal government announced tax changes in its 2016 budget last March it[...]
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Canadian money

When it comes to cash flow, ignorance is dangerous

Tighter margins make it that much easier to find yourself caught short when bills come due

Reading Time: 2 minutes The new year is a good time to review your marketing plans and cash flow projections, says a provincial farm financial specialist. “Cash is the lifeblood of a business, but with so much emphasis usually put on profitability, it can be easy to overlook this fact,” said Rick Dehod. “Poor cash flow management can drive[...]
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Your banker should be a trusted adviser and partner in your business, said lender Trish Booy.

Take these tips to the bank the next time you need a loan

When deciding whether to approve financing, lenders will look at the four Ms — money, markets, materials, and management

Reading Time: 3 minutes If you want to build a bad relationship with your banker, buy your combine on your credit card. “They hate that,” deadpanned Trish Booy, agriculture business development manager at BMO. “There’s a very big difference between short-term financing and long-term financing. Depending on where you are and what you’re going through, your financing needs are[...]
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doing paperwork on a desk

New accounting standards for farms proposed

Canada’s accounting standards organization wants to 
make farm accounting simpler and more predictable

Reading Time: 2 minutes Canada’s professional standards body for accountants is developing new accounting standards for Canadian farms. A standardized approach will make understanding farm accounts simpler and business more straightforward, the Financial Reporting & Assurance Standards Canada says. Currently there’s a hodgepodge of ways to do farm accounts, mainly due to the unique nature of these businesses, said[...]
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That work you hate pays very well

That work you hate pays very well

If you’re still running the farm on a cash basis, you’re tying one hand behind your back

Reading Time: 2 minutes Nearly three decades ago, a study of farmers’ work priorities found — to no one’s surprise — that record-keeping ranked well behind field work; buying and selling machinery and crops; and equipment repair. Only 16 per cent hired outside help for record-keeping, 50 per cent did it themselves and 20 per cent named their spouse[...]
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farm financial management tips

E-learning tutorial offers basics on farm financial statements

Reading Time: < 1 minute Alberta Agriculture and Forestry has a new online e-learning tutorial called Understanding Farm Financial Statements and their Measurement. The tutorial offers the basics on farm financial statements, their interaction, and measurements, said farm financial specialist Rick Dehod. This e-learning series is set up so that it may be viewed in part or in its entirety.[...]
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