Come on March...

With all of the nice days we are having we are ready as ever for spring weather to get here. Although we still can not rule out a winter snow storm. I can remember on more that one occasion that we have had blizzards in March. That is never a good thing for that time of year, but I think this year it would be even worse. March also brings that wonderful time of year when we make sure our banker is our best friend. By the first of March we have paid for our seed, chemicals, fertilizer, nitrogen, a good portion of the cash rent, and most of the old crop grain has usually been sold and collected for. This means that this is the time of year that we rely on our line of credit to pay those bills, take advantages of discounts and prepare for the 2012 growing season. A good line of credit is probably our most important tool in our toolbox. With the increased input costs and higher rents and land values higher interest rates will instantly effect us in regards to the cost of our borrowed money when they begin to increase. For now it looks like interest rates will stay in check, but somewhere along the line we know that they will begin to creep up. This week on the farm we are doing some work to the corn planters, cutting some brush from waterways, and paperwork.

Comments

[Al Thomas]

Always enjoy your writings. Gets me away from the city.