A successful business always includes a good business plan. A new agricultural enterprise needs to produce profits to be worthwhile for the farmer. In order to assess if a new crop or product, like organics, will work for your business you’ll need to “run your numbers” and flush out the details by preparing a sound plan. The process of developing a business plan allows entrepreneurs to spot risks and pitfalls in a new idea and determine the profitability of that idea. In addition, lenders and funders may require a business plan prior to financing your operation.

An agricultural enterprise budget acts as a financial decision-making matrix wherein the farmer inputs all costs and returns to determine the profitability of a crop or livestock enterprise. Although enterprise budgets are only estimates, they provide an idea of what a farmer can expect to make when producing and selling a new crop.

Business Planning Resources

• Building a Business Plan for your Farm: Important First Steps (PDF)
• Asheville SCORE – free professional counseling for small businesses and enterprises
• Evaluating a Rural Enterprise – ATTRA

Budgets, Pricing & Profitability (not all organic, but good information for all farmers)

• Vegetable Crop Budgets – NCSU Agricultural & Resource Economics
• Fruit Budgets – NCSU Agricultural & Resource Economics
• The New Farm OPX – Organic Price Index
• Agricultural Marketing Resource Center – from Iowa – great budgets for organic and conventional production

Grants

• Grants Available through Southern SARE
• Western North Carolina AgOptions
• RAFI-USA – For former and current tobacco growers

Loans

• Self-Help Credit Union – creating ownership and economic opportunity to those who are under-served by conventional lenders
• Carolina Farm Credit