November 30, 2017
From the Alabama Cooperative Extension System
Financial assistance supplied by banks and agricultural lenders is integral to daily farm operations, in addition to developing new ag technologies and techniques.
The Alabama Cooperative Extension System (ACES) is offering workshops throughout the state through February to help farmers determine their financial health and learn how lenders analyze credit applications.
Ag lending is a key business line for many banks, especially those in rural areas. Lending in the agricultural market involves seasonal funding, generally repaid after harvest. If a renewal is hanging in the balance, ACES professionals want to help producers understand the importance of conducting a financial analysis.
Extension's Farm and Agribusiness Management Team will conduct a series of workshops titled “How Does a Lender Determine Whether to Renew My Line of Credit?,” developed by Extension specialist Dr. Robert Tufts.
“The purpose of the program is to reinforce the importance of records so a farmer can determine his financial health, and to show the value of automated recordkeeping," Tufts said. "It is hard to pull a balance sheet out of a box of receipts."
Visit aces.edu/lender for a workshop agenda, location addresses or to register.
Dec. 11 Dallas County
Jan. 9 Lauderdale County
Jan. 10 Limestone County
Jan. 15 Escambia County
Jan. 17 Talladega County
Jan. 18 DeKalb County
Jan. 23 Henry County
Jan. 24 Macon County
Jan. 30 Chilton County
Feb. 1 Baldwin County
Feb. 13 Coffee County
Feb. 26 Marion County
Feb. 27 Tuscaloosa County
Extension personnel will discuss financial statements and ratios calculated from that data. The ratios then measure the farmer's financial health.
In addition, credit analysts from First South Farm Credit, Alabama Ag Credit, Alabama Farm Credit and PNC Bank will speak at each program. These lenders will discuss the inner workings of the agricultural credit approval process and answer questions.