Running a farm both on the field and in the office are two separate businesses

Running a successful farm takes a lot of hard work both in the fields and in the office.

Leaders at Hebert Grain Ventures tell aginfo.net that farmers should view their operations as separate businesses.

“You run two [businesses],” said Kristjan Hebert. “You run a farm operation, and you run a real estate business. Understand the numbers on both of those. It’s no different than, you know, Walmart sells stuff and they have a building. If you have a hotel, you need it to be full. So, is your farm profitable? Is your real estate operation profitable? Yes, they’re at different rates. Then, how much cash flow does your farm operation have, and how much equity does your real estate operation have? You need to know both of those numbers because your real estate equity allows you to buy land, and your cash flow from your farm allows you to pay for it.”

Hebert says knowing that information will make lending requests a lot smoother.

Related Stories
In a final rule published in the Federal Register, the Department states that it will no longer base wage rates on the Farm Labor Survey.
“In the first six months of 2025, 181 Chapter 12 bankruptcies were filed nationwide.”
Trump’s upcoming talks raise hopes for U.S. soybeans, but China’s record purchases from Brazil and Argentina show America’s market share remains under heavy pressure.
USDA’s report shows wheat strength overall, with winter wheat yields setting records, while spring wheat and rye saw declines. Oats and barley remain constrained by record-low acreage despite stable or rising yields.
Together, these markets highlight the diverse forces shaping industrial inputs and safe-haven assets.
Farmers face tighter barge capacity and higher freight costs during peak harvest.

LATEST STORIES BY THIS AUTHOR:

Farmers are in the midst of harvest as the government descends into a shutdown and the Farm Bill expires. Key federal departments, crop reporting, and aid programs important to the agricultural sector are now on hold.
Students share their experiences overcoming anxiety through opportunities provided by the National FFA Organization.
Bigger-than-expected corn and wheat stocks are bearish for prices, while soybean figures were neutral. Farmers may face additional price pressure as harvest accelerates.
As flu season closes in, Dr. Gold outlines the steps to take when you get sick — including resting, staying hydrated, and knowing when to seek medical attention if symptoms worsen.
Jeramy Stephens, with National Land Realty, says that despite today’s economic headwinds, farmland remains a resilient asset — and understanding local conditions is key to making sound decisions.
FarmHER Christina Woerner McInnis joined us to discuss the next episode of “FarmHER + RanchHER” and her decision to run for Alabama Ag Commissioner.