There are many factors to consider before starting a new farm enterprise. Financial management is an important component in the startup and decision-making processes for beginning farmers. The purpose of this series of publications is to inform Virginia agribusiness owners and managers about farm financial risk management tools, techniques, and resources available to help them prepare and use a financial systems approach for their operations.

There are many factors to consider before starting a new farm enterprise. Financial management is an important component in the startup and decision-making processes for beginning farmers. The purpose of this series of publications is to inform Virginia agribusiness owners and managers about farm financial risk management tools, techniques, and resources available to help them prepare and use a financial systems approach for their operations.

This fact sheet is a product of the 2014 Spring Kohl Centre Experience. To find out more about this project team and related information, please go to the Kohl Centre at Virginia Tech’s website: www.kohlcentre.aaec.vt.edu.

This fact sheet is a product of the 2014 Spring Kohl Centre Experience. To find out more about this project team and related information, please go to the Kohl Centre at Virginia Tech’s website: www.kohlcentre.aaec.vt.edu.

This fact sheet is a product of the 2014 Fall Kohl Centre Experience. To find out more about this project team and related information, please go to the Kohl Centre at Virginia Tech’s website: www.kohlcentre.aaec.vt.edu.

Did you know that farmers who sell unprocessed foods to retail outlets typically receive just 11.6 cents of each dollar the consumer spends on food? The remaining amount is allocated to industry groups such as food processors, packaging and transportation, retail trade, food services, energy, finance and insurance, and legal services.

There are many factors to consider before you start a new farm enterprise. Labor issues are often underemphasized in the decision-making processes of beginning farmers. It is important to consider who you will hire, where you will find help, how you will manage your employees, and what legal matters are relevant to your farm.

Extension agents are closely involved in advising farmers and farm families on identification and mitigation of financial risks unique to the agricultural industry. Financial decisions are often time-sensitive and complicated, and the source of many sleepless nights to farmers and advisors alike. This tool is intended for use as a communication aid to foster safe, productive conversations between farmers and service providers. It is designed to complement related resources aimed at supporting the mental health of our farmers who make tough decisions under conditions of uncertainty on a daily basis.