Finance with Don Fraser Fraser Farm Finance

It never ceases to amaze me how we seem to forget the basics and focus on what is not crucial to the business.

Recently, I've seen a number of properties where inadequate fertiliser application has caused production to drop drastically. Yet you chat to the farmer and they play the blame game – the drought, the mother-in-law.

I saw a dairy farm last week where little or no fertiliser went on and production has fallen from 70,000 kg/ms to 55,000 kg/ms. On my own dairy farm, in the 1980s we dropped our fertiliser application and production dropped even faster.

Viewing a kiwifruit property recently where nominal fertiliser had been applied, I noticed a direct correlation with nominal production.

Then there is the avocado industry, where you can see the effect of low fertiliser application from the road in small leaves and yellow trees.

Fertiliser applied adequately and sustainably is fundamental to your business.

This week I dropped my mower off for repairs. I rushed around to get it there only to be told they were a week behind and he'd ring me when it was ready. Not to mention he scribbled my notes on the work to be done on a scrap of paper. Where is the clip board and better communication?

We need to focus down on the key ingredients essential to the success of our business – spotlight them and them only. When they are done, we are free to go fishing.

Write down the essentials and tick them off. As I say: ‘There is only a week between a good and a bad farmer'. Get the jobs done and get them done on time.

I mean I have got a degree in this stuff, but as my wife will tell you, I need to focus on the key ingredients too. That goes right through to spending time chatting with your staff members. Are they okay? Are they happy? Is the job meeting their expectations? Will they stay another year with you? It might be an opportune time to ask our wives the same questions.

You see, life is complex and it has all these distractions. It is so easy to get side-tracked from what is important.

If we get focussed on the basics, the rest will follow.

Disclaimer – These are the opinions of Don Fraser of Fraser Farm Finance. Any decisions made should not be based on this article alone and appropriate professional assistance should be sought.

Don Fraser is the principal of Fraser Farm Finance and a consultant to the Farming Industry. Contact him on 0800 777 675 or 021 777 675. A disclosure document is available on request.