True Grit Farms
Well-known member
I just can't see taking on any debt just to be able to farm. I can see acquiring debt for some commercial rental property but to farm makes no sense at all to me.
True Grit Farms said:I just can't see taking on any debt just to be able to farm. I can see acquiring debt for some commercial rental property but to farm makes no sense at all to me.
True Grit Farms said:I just can't see taking on any debt just to be able to farm. I can see acquiring debt for some commercial rental property but to farm makes no sense at all to me.
************* said:Ryder said:Cheap, old, versus new and expensive are opposite ends of the same heavy and cumbersome stick.
Some of these comments are really good and I think shows some posters understand that.
Those that think it is just one way or the highway need to read up on the principles of increasing, decreasing, diminishing returns.
I remember the time when there was good money in farming and the prevailing advice was expand and plant fence row to fence row.
Lenders were throwing money at farmers and they were buying new and expensive equipment.
I remember a picture I saw of an old farmer puttering along with his small, older, paid for tractor.
His neighbors had the latest in new equipment and their production certainly dwarfed his.
He was just an ignorant, old fashioned farmer. Or so the smart hot shots thought.
The next scene was of the "modern" farmers losing all that land and equipment at a bankruptcy sale. Suicides were up. They were devastated.
The old farmer on his small, old, paid for tractor, on his smaller farm. was still operating and making money.
My point is it is not just rich Dad or poor Dad--but sometimes frugality and common sense.
One thing is for sure, nobody has thrown money in our direction. If anything the local bankers cracked jokes about what we were doing and lent to the Amish instead. That's not looking like too good of a bet now that dairy has collapsed and tariffs have set in. What looked like a sure thing is looking shaky now for the local lenders. I'm seeing more and more Amish at Angus sales, and they are bidding. It appears they see Angus as a better bet than Holstein.
Nothing we buy here at Branded is for frivolity, everything is paying off. If it cannot be used, and used to make more money, it's not purchased. Plain and simple.
A few years back we were chatting with a lender at Farm Credit, he was a genius in his own mind, he rolled his eyes and said that our plan to AI 50 cows was overly ambitious, now that number seems easy. Will I ever ask for his help again, h.ll no! I viewed him then as a piker, and now I am sure of my views.
Disclaimer, there were some gals at Farm Credit that did take us seriously and helped us immensely in the beginning. They will always be remembered and appreciated for what they did, and will get our future business when we need funding.
herofan said:I'll just totally revamp all my ways and do what the guy prescribed in the video. No more discussion needed. It's that simple. .![]()
True Grit Farms said:I just can't see taking on any debt just to be able to farm. I can see acquiring debt for some commercial rental property but to farm makes no sense at all to me.
Lucky said:True Grit Farms said:I just can't see taking on any debt just to be able to farm. I can see acquiring debt for some commercial rental property but to farm makes no sense at all to me.
Are you saying it's not smart to borrow any money at all for farming or ranching? No money for land, equipment, cattle....nothing? I borrow as little as possible but definitely don't have 200k for a cattle deal or 500-800k for a land deal laying around.
Hook2.0 said:I always get my financial and life advice off the internet. Thanks brook!
What I get from it is ,Branded is not rich, but wants too be...and the lib's ain't gave Grit a reason too even start liking em.. :lol2:Bestoutwest said:I'm not going to read all 8 pages. Here's what this thread is about: Branded is rich. Everyone else is stupid. Poor people suck. They're losers. Rich people are better, even if they were born into it. Grit still hates liberals.
You're all welcome, I saved you some time.
thanks to my grandmaw for showing me the way to be successful..TennesseeTuxedo said:Hook2.0 said:I always get my financial and life advice off the internet. Thanks brook!
Me too, particularly from people more successful than I am.
Bestoutwest said:I'm not going to read all 8 pages. Here's what this thread is about: Branded is rich. Everyone else is stupid. Poor people suck. They're losers. Rich people are better, even if they were born into it. Grit still hates liberals.
You're all welcome, I saved you some time.
I worked 35 years to become debt free and I sure don't want to screw it up trying to expand my farming operation.Lucky said:True Grit Farms said:I just can't see taking on any debt just to be able to farm. I can see acquiring debt for some commercial rental property but to farm makes no sense at all to me.
Are you saying it's not smart to borrow any money at all for farming or ranching? No money for land, equipment, cattle....nothing? I borrow as little as possible but definitely don't have 200k for a cattle deal or 500-800k for a land deal laying around.
Must be someone's rich if he's throwing out 4 year old equipment.ALACOWMAN said:What I get from it is ,Branded is not rich, but wants too be...and the lib's ain't gave Grit a reason too even start liking em.. :lol2:Bestoutwest said:I'm not going to read all 8 pages. Here's what this thread is about: Branded is rich. Everyone else is stupid. Poor people suck. They're losers. Rich people are better, even if they were born into it. Grit still hates liberals.
You're all welcome, I saved you some time.
************* said:Lucky said:True Grit Farms said:I just can't see taking on any debt just to be able to farm. I can see acquiring debt for some commercial rental property but to farm makes no sense at all to me.
Are you saying it's not smart to borrow any money at all for farming or ranching? No money for land, equipment, cattle....nothing? I borrow as little as possible but definitely don't have 200k for a cattle deal or 500-800k for a land deal laying around.
Ask any truly successful businessman or businesswoman and they will tell you that leverage is a tool to use wisely, and if done so will increase your returns.
Leverage has demolished a lot of people and businesses, just look at what happened to Windstream lately. But if you use it wisely, you can exploit it, not the other way around.
To just make a blanket statement that all borrowing is bad is to not truly understand the power of leverage when it works in your favor.
If a bank will lend you money at 6% and you make a 15% return with that money, you win! You allocated that capital better than the lending institution could.
I'm sure there are many on here that if the funds were available that they could make that money work for them.
The real estate business is built on leverage, take it away and hardly anything would move.
True Grit Farms said:************* said:Lucky said:Are you saying it's not smart to borrow any money at all for farming or ranching? No money for land, equipment, cattle....nothing? I borrow as little as possible but definitely don't have 200k for a cattle deal or 500-800k for a land deal laying around.
Ask any truly successful businessman or businesswoman and they will tell you that leverage is a tool to use wisely, and if done so will increase your returns.
Leverage has demolished a lot of people and businesses, just look at what happened to Windstream lately. But if you use it wisely, you can exploit it, not the other way around.
To just make a blanket statement that all borrowing is bad is to not truly understand the power of leverage when it works in your favor.
If a bank will lend you money at 6% and you make a 15% return with that money, you win! You allocated that capital better than the lending institution could.
I'm sure there are many on here that if the funds were available that they could make that money work for them.
The real estate business is built on leverage, take it away and hardly anything would move.
We had a couple of chances to make things right in this country and the government bailed the crooks out. I paid 15% interest on my first house and 20% down. I'm hoping for interest rates to get back to 15%, it would definitely separate the men from the boys.
that would put me around puberty then...True Grit Farms said:************* said:Lucky said:Are you saying it's not smart to borrow any money at all for farming or ranching? No money for land, equipment, cattle....nothing? I borrow as little as possible but definitely don't have 200k for a cattle deal or 500-800k for a land deal laying around.
Ask any truly successful businessman or businesswoman and they will tell you that leverage is a tool to use wisely, and if done so will increase your returns.
Leverage has demolished a lot of people and businesses, just look at what happened to Windstream lately. But if you use it wisely, you can exploit it, not the other way around.
To just make a blanket statement that all borrowing is bad is to not truly understand the power of leverage when it works in your favor.
If a bank will lend you money at 6% and you make a 15% return with that money, you win! You allocated that capital better than the lending institution could.
I'm sure there are many on here that if the funds were available that they could make that money work for them.
The real estate business is built on leverage, take it away and hardly anything would move.
We had a couple of chances to make things right in this country and the government bailed the crooks out. I paid 15% interest on my first house and 20% down. I'm hoping for interest rates to get back to 15%, it would definitely separate the men from the boys.