Country farm and business administration encompasses every aspect of managing an effective agricultural enterprise. It involves identifying consumer demands that the farm can meet and determining the best method to mix basic resources like land, labor and capital to reap the highest returns. It also involves making choices that balance economic, environmental and social considerations, and dealing with Agritourism and regulatory challenges.
Developing an innovative big idea and preparing and executing an “elevator pitch” are essential first steps in becoming an agricultural business leader. Next, create your business plan, which outlines how to turn the big idea into reality. Then, determine and analyze the agribusiness risks that could impact the plan. Find the best financing option that fits your requirements.
In addition to planning for the future, good farm managers are constantly working to evaluate the efficacy of current practices and evaluating new technology. They need to be able to gather and interpret information. This could include inputs from extension staff, other farmers and private agribusiness firms researchers, research staff and other friends. They must also be able to think creatively and carry out mini-trials and error experiments.
Budgets are a crucial instrument for analyzing the farm’s operations, however their reliability can be hampered by the large degree of variability. Budgets should be complemented by probability distributions for weather-related events and price. This will enable the manager to evaluate the risk and analyse the impact of various options.