$avannaPlan-Beef$ense: Helping to improve business viability

30 Jul 2015

Thirty five families are closely examining their stocking rates, herd productivity operational costs and profitability through the $avannaPlan-Beef$ense program. The $avannaPlan-Beef$ense ‘business health checks’ are sponsored by the DAF Beef Team, Northern Gulf Resource Management Group and Southern Gulf Catchments.  This confidential service includes a whole-of-business analysis from breeder productivity and stocking rates through to cash flow budgeting, debt management, succession and marketing. 

With poor equity a major concern, we are spending considerable time helping beef producers develop debt management and servicing strategies. Many families are caught on high fixed interest rates and the interest bill is the largest annual expense. If possible re-negotiate interest rates with your current lender or look elsewhere for a better rate.

So what else is the program achieving? $avannaPlan-Beef$ense is assisting beef producers to:-

  • understand their business position, credit risk rating and current lending rates
  • use financial and herd performance benchmarking to link decision making with business performance
  • optimise sell-down strategies and better match cattle numbers with available feed and water.
  • investigate agistment options to reduce overgrazing, feed costs and mortalities.
  • weigh up the feasibility and affordability of on-property infrastructure projects with that of off-farm investment options,
  • examine cost effective supplementation and production feeding programs
  • combine safe stocking rates with wet season spelling systems
  • explore heifer segregation and targeted supplementation programs.
  • use cash flow budgets to identify income deficits when transitioning from weaner to 18 month turnoff.
  • convene family meetings to improve family communication, clarify roles-responsibilities and negotiate asset transfer.
  • test the viability of business exit strategies including the sale of some or all business assets
  • examine the feasibility of establishing improved pastures (Seca, Verano and/or Leucaena).Compile and analyse pasture planting cost per hectare, establishment timeline, predicted live weight gain improvement, additional carrying capacity and projected cash flows.
  • compare the feasibility-affordability-profitability of capital improvements versus off-farm investments.
  • compare the profitability of weaner vs older turnoff.
  • improve their herd and financial records.

There are many things we can assist you with under $avannaPlan-Beef$ense so don’t be shy to make contact and ask to be involved. It is really about trying to get a better understanding of your financial position and what this means for your future.  Business analysis is even more valuable when fully integrated with practical herd and grazing management knowledge. Our team has a genuine interest in the industry and the well-being and financial success of the people in it. 

If you are interested in being involved in $avannaPlan-Beef$ense please contact any member of the delivery team. 

 

Northern Gulf:

Alison Larard (0458 007 999)                   Joe Rolfe (0427 378412)

Bernie English (0427 146 063)                 Tim McGrath (0427 405 011)          

Melissa Bethel (0499 059 907)

 

Southern Gulf:

Emma Hegarty (0467 808 340)

Related Projects NRM Topic
$avannaPlan-Beef$ense