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 […] Read more

Tips on securing business financing

Tips on securing business financing

Reading Time: < 1 minute Understanding how a lender evaluates your application can help you be successful when applying for financing. To help with this, Alberta Agriculture and Forestry has a new fact sheet entitled Get the Loan You Need. “This information will help give business owners an edge in securing the financing they need to develop their business,” said […] Read more


Deadline extended for cash advances

Deadline extended for cash advances

Applications will be accepted until March 2017

Reading Time: < 1 minute Farmers unable to harvest their 2016 crops may be eligible for a cash advance under a revised application deadline. The Canadian Canola Growers Association will accept new seeded cash advance applications until March 2017. “This deadline change applies equally to farmers already enrolled in the 2016 program, as well as those who are applying for […] Read more

Hereford calf on a snow

Drought-hit tax deferral zones named

In some areas, this is the second year in a row where a lack of feed forced the sale of breeding stock

Reading Time: 2 minutes The federal government is offering ranchers in parts of Alberta hit by drought deferrals on their 2016 income tax from breeding livestock sales. The areas include Clearwater, Lethbridge, Mountain View, Red Deer, Rocky View, Vulcan and Wheatland counties; the municipal districts of Bighorn, Foothills, Pincher Creek, Ranchland and Willow Creek; the Municipality of Crowsnest Pass; […] Read more


With bills coming due, will you be forced to empty your bins 
before you would like to?

Will the money come in fast enough this fall?

Make a list of bills coming due, expected crop sales, and make use of cash advances, says market expert

Reading Time: 2 minutes With grain prices down sharply this year, a marketing plan is especially critical, says a provincial crop market analyst. “First, assess your financial position,” said Neil Blue. “Start with a quick cash flow, which is the money inflow compared to money outflow. List the amounts and timing of bills, loans, and personal living expenses to […] Read more

Producers need to stop robbing Peter to pay Paul, says Merle Good.

Farm debt at record highs — but top lender not worried

While FCC says most farmers can handle their debt load, 
financial expert Merle Good says some are ‘robbing Peter to pay Paul’

Reading Time: 4 minutes Farm debt has hit a record high, bringing back some unpleasant memories of the 1980s debt crisis. But we’re not there yet, said farm business expert Merle Good. “In 1980, we had huge inflation and huge interest rates,” said Good, a longtime tax specialist with the provincial government who now runs a private consulting business. […] Read more


Farm business experts are always saying, ‘Know your cost of production.’ But this year, ignoring that advice could quickly get you into the red.

Margins are tight — will you be able to squeeze out a profit this year?

Management specialist Dean Dyck says have a break-even budget, 
buy inputs early, and forget about machinery purchases

Reading Time: 3 minutes The weak Canadian dollar and a drop in prices are going to make it tough for crop producers to make a profit this year. Tough, but not impossible, says a provincial farm business management specialist. “You can make a profit this year,” said Dean Dyck. “I took a look at the four major crops in […] Read more

Dollar sign with line graph

What if interest rates went up here?

An immediate hike isn’t likely, but the U.S. move could signal future changes

Reading Time: < 1 minute Recent changes in U.S. interest rates could have a ripple effect for Alberta producers, says a provincial analyst. In mid-December, the U.S. Federal Reserve — the country’s central bank — announced it was lifting its key rate by a quarter-point to a range of 0.25 per cent to 0.5 per cent. The long-expected move put […] Read more


StatsCan says the average Alberta family spent $9,300 on food in 2013 — the third-highest expense after shelter and transportation.

The cost of living may be a lot more than you think

Cash flow is king in any business, and farmers need to factor 
in family living costs when preparing their business plans

Reading Time: 2 minutes Now that the 2015 crop is off, it is important to review cash flow projections and marketing plans. That process involves budgeting for family living expenses — a number that may shock you. “In the last five years, family living costs have increased substantially due to inflation and good farm margins,” said Rick Dehod, a […] Read more

Canadian hundred dollar bills

Cash flow really is king when growing your farm

Tighter margins have upped the danger level for farms that have expanded 
or just getting started

Reading Time: 2 minutes Cash is the lifeblood of a business, but with so much emphasis on profitability, this can be easily overlooked, says Rick Dehod, farm financial specialist with Alberta Agriculture and Rural Development. “Of course, the bottom line is important, but poor cash flow management can drive a growing and/or profitable company out of business,” said Dehod. […] Read more