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Aug. 19, 2025
by Elizabeth Hodges, staff writer, Farm Progress The passion for raising crops and livestock might come at a young age for ag producers. This passion is essential for a successful business. However, there is another ingredient in this recipe for success. A sound business plan and financial health are also crucial pieces. Garrett Ruskamp, a fifth-generation Nebraska farmer, has personally gone through the ups and downs of farming. Like many producers, the thought that if you just work hard, everything will work out was ingrained in him. However, he quickly realized it takes more than just hard work to make the farm thrive. Ruskamp started his own consulting business called Pioneer Farmer, where he helps coach farmers to make wise financial decisions with tools he has created. "I focus on the financial side of things, and we give them the proper tools to manage all those critical components," Ruskamp told producers at the Nebraska Pork Expo, held recently in York, Neb. "But also, within those tools, they're practical and useful. I've used them within my own operation. We've developed some of these tools ourselves so they're real-life tools to make confident decisions within our businesses." Don't make these mistakes On Ruskamp's farm, he works alongside his father, raising row crops and running a cow-calf operation. No matter what you raise on your farm or ranch, Ruskamp says that a farming coach will help you make sense of your finances. When coaching fellow farmers, he advises them to avoid these five things: 1. Poor financial awareness. Managing cash flow and creating a proper balance sheet is crucial for producers to analyze their financial health. "We had to learn the hard way that we need to actually focus on these numbers through having different conversations with the banker and our financial adviser, just trying to figure out how we can move forward and be profitable," Ruskamp said. 2. No strategic plan. It can be easy to keep the same business model as generations before. Farmers and ranchers should take time to sit down and create a strategic plan for the operation, especially when looking to expand or change the business model. "Hope is not a business plan," Ruskamp noted. When Ruskamp's family expanded their cattle operation, they say their plan was based on hope. They emphasize how important it is to plan for the best and worst of times; that way producers are ready for any situation. 3. Poor time management. Producers have a very important job and are usually busy. However, Ruskamp urges farmers and ranchers with busy schedules to look at if they are being effective. Many times, through coaching, they find that producers are spending more time working in the business rather than on the business. "I think for a lot of us, it comes down to time management, because at the end of the day, we only have so much time. You've got 24 hours, and that's it," Ruskamp noted. "Look at people that are really successful; the odds are they are really good at managing the very limited resource of time." 4. Lack of communication. Having difficult business discussions can be uncomfortable. However, communicating through the ups and downs of farming and ranching could be the key to success on your operation. "If you're not talking, you are assuming," Ruskamp explained. "And assumptions cost clarity, connection and cash." 5. Fear of change. Ruskamp shares that not deciding is the most dangerous decision to make. Whether you are waiting for grain prices to rise or waiting to have that succession plan talk, producers need to get rid of the fear of change. "Is waiting going to fix what's not working? Or are we going to try to be proactive? It all goes back to the strategic plan and sticking to it," he said. To read the entire article click here. Tweet |
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