FARM BUSINESS NEWS
Minding Ag's Business
Marcia Zarley Taylor DTN Executive Editor
Mon Oct 29, 2012 09:49 AM CDT



Record farm incomes since 2009 have helped four out of 10 grain farmers attain a near debt-free status on operating costs, a recent study by the financial consulting firm AgriSolutions found. But a significant percentage of growers--about one out of five--still shoulder so much short-term debt that lenders are likely to question their creditworthiness.

Lenders use the so-called current ratio to flag potential repayment problems. In agriculture, lenders prefer a ratio of current assets to current liabilities of about 1.25 to 1.65, said AgriSolutions analyst Sam Bachman. That's the measure of operating debt-- and perhaps this year's land payment--relative ...

Quick View
  • Dr. Dan Talks Agronomy Can you trim inputs while growing soybeans in 2015? Here's a look at what you can and can't cut.
  • Fescue Workaround Fescue can be a challenge, but Butch Foster said he and his dad, Bob, put 200 to 250 pounds on ca...
  • Ask the Taxman by Andy Biebl Readers pose tax questions on how to justify repairs, handle capital gains on a residence and com...
  • Senior Partners - 1 Think how rural communities could rejuvenate if farmland rents stayed local rather than flowing t...
  • Sample With Precision Dan Davidson looks at how to measure the horsepower of your soil with the Solvita soil respiratio...
  • USDA Defines Actively Engaged Under the 2014 farm bill, family operations are exempted from proposed changes in actively engage...
  • New Paths Max payments forecast in areas of hardest-hit 2014 corn yields.
  • She's Got It All Alicia Mielke is a farm girl originally from Harrington, Wash., who continues to lend a hand to h...
  • Ask the Vet Would a bull with an undescended testicle or one that was a hard pull at birth be worthy of breed...
Related News Stories
$3 Corn Subdues Bids
GAO Seeks Insurance Cuts
Defense of Crop Insurance
SCO Sticker Shock
2014 Crop Insurance Guarantees
Farm Program Countdown - 2
Fraud Hurts Farm Programs
Grain Export Sales Mixed
Projected Revenue Insurance Prices
USDA, Insurers Debate Profits