Cash is King · But Profitability is the Kingdom!
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Farm managers are currently in an
agricultural environment of high
risk and major changes in the farm
business model (e.g., increases in
leasing arrangements and
outsourcing services). Cash is
certainly important during these
times, but it is even more important
to make long-run decisions that
generate earnings or profits. These
profits should buffer the farm from
the large amount of present and
future risk and enable it to operate
well into the future. Given today’s
agricultural environment it may not
be an overstatement that “cash is
king, but profitability is the
kingdom!”