Kimball farms are a booming career in the state of Wisconsin.
From the farmers to the farm managers, all have a similar set of responsibilities.
One thing that sets a kim ball farm apart is that the farms are self-sustaining.
While some farms have multiple workers working for them, the majority are self funded.
This means that if the farmer doesn’t have to rely on the public for support, there is no need to worry about paying rent or paying a mortgage.
“When you are self funding, you have to be self responsible and you can do it yourself,” says Tom Krone, president of the Kimball Farms Association of Wisconsin (KFAWA).
This also means the farmers are free to hire out part-time or full-time employees.
“You have to have a great deal of self-sufficiency,” he says.
In fact, Krone estimates that 40% of the state’s farms are now self-sufficient.
“That means if they want to sell or start a business, they can do that,” he adds.
This doesn’t mean you have the same level of independence, however.
Some farms have an in-house sales team, and many rely on a sales agent.
“The sales people are the people that bring in the checks, and they have to sign off on it,” Krone says.
“But they also have to keep a tight lid on their spending and their spending on their farm.”
Krone believes the key is having a good sales rep.
“It’s not about being the boss of the company,” he explains.
“If you can’t get the sales person to sign the checks or the farm manager to sign a loan, then you need someone else.”
If you’re not sure if your farm is self-supporting, Krones advice is to do some research.
“Check out your local newspaper, see what they’re saying about it and see what their income is.
They can tell you the exact amount of money they’re spending on the farm.”
This could include a portion of their payroll or an increase in their mortgage payments, for example.
If you don’t know what the average income is for a farmer, check out their tax return.
If the income is more than the amount they’re saving, you might be better off looking into a more traditional business.
Krone recommends starting with a small business, but that may not be possible for all farmers.
You’ll also need to consider how you’ll be paying for your farm’s expenses. “
Just because they’re a small-scale operation doesn’t make it easy,” he warns.
You’ll also need to consider how you’ll be paying for your farm’s expenses.
“There are a lot of things you can spend on that don’t necessarily include rent,” Krones says.
For example, if you’re buying a tractor, you’ll want to think about the value of the tractor itself, or whether you want to pay for a tractor trailer.
“Your income isn’t going to be the same when you sell it,” he points out.
In some cases, you may have to raise the prices of your farm goods to keep up with the cost of the truck and trailer.
Another issue is keeping your expenses in check.
“They may have a good idea of how much money they need to make, but they may not have an idea of what they need,” Krances says.
If your budget isn’t set up for a farm, you should be able to find a different job or get an education, but Krone cautions that it’s not easy.
“I’d say there’s probably a decent chance that your farm will be self-funding for the rest of your life,” he concludes.
The last piece of advice for self-funded farms is to not expect the money from the salesperson to come from you.
“Look at your contract and see if there’s any clauses that say they can give you money from their paycheck to the rest,” Krons explains.
That said, if a sales person offers you a job, that’s a good sign.
“A lot of times, a salesperson will be willing to work for free,” he cautions.
Krones has also found that the more employees you have on the property, the better your chances of keeping up with expenses.
Krances recommends that farmers hire people who are at least 18 years old and have no prior experience on the job.
“Some people are just looking to make a buck,” he recommends.
“This is the perfect time to have some kids and have kids.”
The final piece of self reliance that will help keep you from getting out of your farmer’s debt is to have good credit.
“Good credit is important,” Krance says.
He advises that if you are paying for food and utilities on a credit card, you want your card to have at least three years of credit