Not many people look at farming as a lucrative venture, but if you’re patient and willing to put in the hard work, you can see the profits start to grow. The average salary of farmers, ranchers, and other business owners in the agricultural sector can reach $75,790 a year.
Of course, this will depend on a lot of factors: a farmer with a couple of orange trees to sell fruit at a weekend farmer’s market won’t make the same as a farmer with an orange orchard that sells to orange juice manufacturers producing orange juice with pulp. But if you’re starting and looking at this as a long-term venture, here are some helpful tips to help you start a farm.
Get the Right Farming Equipment
If you already have the land to start your farming, it’s highly likely that it’s a big plot of land that can take a lot of time to manually plow, seed, and harvest your produce. It’s a good idea to start investing in the right farming equipment from the very start of your business. That way, you can save time and manpower for the more labor-intensive tasks.
Aside from equipment, it may be time to learn a thing or two about repairing equipment in case your equipment malfunctions. It’s more practical to know the basics of repairs and part replacements than to buy new stuff every time a minor problem arises. So aside from understanding the basics of how your machines work, it can pay off to have a few tools and disc harrow parts on your farm when the time comes.
Besides equipment costs, there are other important costs to consider when starting a farm. It’s not necessarily required but you can consider buying livestock. If everything is well planned and organized it may bring you high returns. Other than that you need to take into account the cost of soil, water, and everyday ground maintenance.
Identify Your Strong Suit
If you’re planning to grow corn in a place that is saturated with corn farms or grow apples in an environment where apples can’t grow optimally, you might be losing out on profit. It’s essential to do your research first before you start growing anything. You should know which products can thrive in your area’s climate and if there is a demand for any product.
Remember: You’re a Farmer AND a Businessperson
Remember that the end goal of your farming is not just to harvest good products but also to profit from your food. It’s important to set attainable and reasonable goals. It’s good to be ambitious, but setting unreachable and unfeasible goals in your first year of operations can demotivate you or make you feel like you’re not profiting from your business.
Scale Down When Necessary
As a farmer, you may feel like you’re not being as productive as you can be if you’re not taking advantage of all your land. But it may be the smarter and more practical choice, mainly if some of your acres are not producing despite the time and labor put into it. In this case, it may be better to scale back to your profitable acres to reduce your costs and see if your profits can put you in a position to buy better farmland.
Farming can be a lucrative venture for those who aren’t afraid of hard work. While there are plenty of costs that go into starting a farm, it’s possible to earn back your investments through the profits of smart farming.