Farm and Business Management (FBM) is a practice that involves coordinating all aspects your agricultural operation to maximize your income and profit potential. This process requires a wide range skills and knowledge including planning and management, economics analysis and marketing.
Key practices for managing a country farm or business include:
Marketing is the sale of products or services to customers; financing is the borrowing of money to finance operations; and risk management is ensuring that you are protected from disasters.
Financial – creating pro-forma and actual enterprise budgets to help forecast income and expenses; calculating ratios; setting financial goals.
The first step is to write down a plan of how you are going to accomplish your objectives. This will help you to think through the different functions involved in your business and to identify weaknesses.
Next, you will need to determine if your land is zoned for production http://www.mountaincountryfarm.com/generated-post or if it has zoning regulations that limit the type of production you can do. You should check with your township and county to see if there are restrictions that could affect your plans.
Your business will also need adequate public facilities, such as parking areas, signage, and customer assistance. These facilities will be needed to accommodate your customers and visitors and should be in compliance with food safety, environmental and zoning laws.
Ultimately, you will need a business that is self-sustaining and generates a steady income. This means having enough off-farm income to cover living expenses and saving for the future of your business.