You need to know you have financial data about your farm that you can trust and rely on. That helps you make good decisions as the farm’s leader. And that goes back to the information found in your farm’s books, the source of your farm’s financial data.

Some farmers are finding that ramping up the quality and timeliness of their farm’s bookkeeping has changed how they can use their farm’s books. That ultimately helps when it’s time to make financial decisions – about crop protection, inputs, machinery, land rents and a host of other financial choices the farm leader must make during any given year.

Go to the source

When it comes to the farm’s books, much of the ability to get quality, timely information has to do with who is handling the books. On many farms, this person is a family member or an employee.

Creating a role in the operation that handles the books can make a big difference as you seek to keep financials up to date, even during busy seasons. This gives the farm’s leaders the best possible information for decision-making. It’s critical since big decisions typically don’t pause just because the farm is in a busy season.

Does your farm have someone who is dedicated to handling the books? If your farm doesn’t have someone devoted to the books, you might start searching for such a person or consider having your books handled by someone who specializes in farm bookkeeping.

The right person

It’s important to find the right person to handle the large amount of information found in the farm’s books. The best bookkeepers have certain traits that make them very good at their job – such as a high attention to detail, an enjoyment of organizing information and a passion for getting things right, down to the very last detail.

When your bookkeeper already does these things – meaning these actions come naturally to him or her – chances are they will truly enjoy doing their job. With that enjoyment often comes a passion for excellence – which ultimately means high-quality information for you as a leader.

You may find that information to be very valuable as you make decisions – both large and smaller – for your operation. Knowing exactly how your farm is doing financially at that moment helps you to run your farm by the numbers. You can make decisions to help create the best possible financial situation.

How are you currently dealing with your farm’s books? What would it mean to you to have timely, up to the minute information available on where the farm is at – because the books are always up to date?

What would it mean to you to know that your farm’s books are accurate, because your bookkeeper is a detail-loving, precise person? What do you need to do to get the information you need for decision-making? Consider seeking a partner for your farm books.

Read the new issue of the Smart Series publication, bringing business ideas for today’s farm leader. This issue features ideas on preparing for land opportunities, thinking ahead about retirement, how to keep pace with the changes of the 2016 crop year, and more advice for farm leaders. Get your free online issue here.

The opinions of the author are not necessarily those of Farm Futures or Penton Agriculture.