What’s Resource Planner about ?
Knowledge of the businesses net wealth along with details of the structure of Assets and Liabilities from one period to the next is an essential gauge to knowing how well the business is performing financially over time . Furthermore this information is essential when it comes to any form of planning for the future.
In addition to a thorough knowledge of the businesses statement of financial position it is our view it is important to analyses the use of natural resources as we believe this is the key to maximizing profit where natural resources are limited.
As a result the Resource Planner program is composed of two programs. One program to assist the farmers in the preparation of a comprehensive list of their assets , liabilities to arrive at their net wealth and a second program to assist with summarizing the businesses past and proposed enterprises.
What’s in it for the business ? Why should you use a program to prepare this information ?
Maintaining and monitoring an accurate summary of the businesses financial position from one year to the next along with knowledge in regards to natural resource use provides information to assist with decision making.
The business manager can use this information to assess financial risks and identify negative trends so that corrective action can be taken if required.
In addition to this most farmers need to provide this information to their financiers on an annual basis and our software solution makes this a simple an easy exercise to perform each year.
So how does Resource Planner work ?
Asset and liability information is entered the program to produce a summary statement accompanied by detailed supporting schedules providing additional information in relation to the structure, ownership and current market value of assets and liabilities.
Users also have the opportunity to enter the current year harvest summary – tonnes and grades of commodities produced along with details as to what has happened to the produce –stored on farm, warehoused or sold and to who that produce was sold.
The detailed summary, once prepared, can then be locked and saved .
When it comes to producing a new revised Statement of Affairs, sometime later in the year or the following year, all the user needs to do is select the information they wish to copy to the new report and generate the revised report with a new name and date.
Once generated the user updates details and values, adds new information and saves and lock the new report.
The user can produce as many of these Statement of Affairs as they like. They can be printed to PDF to be shared with their advisers and bank.
In addition to the statement of financial position is an area where the farmer can summarize past and future enterprise paddock activity.
The enterprises are the engine room of the business and effective efficient use of the businesses natural land resources is an essential key to increasing business profitability . It’s our view enterprise rotations, have in some cases, been dictated by agronomists for agronomic purposes not necessarily in relation to overall farm profitability and long term sustainability.
The program provides a visual summary of historical use that can be compared to actual financial performance. More efficient use of natural resources can lead to greater profitability and reduced production risk.
By observing historical performance in comparison to actual financial performance it allows the farmer to consider and plan future use to ensure optimum efficient use of these valuable natural resources.
The online program produces a visual summary of historical and planned paddock rotations which the farmer can discuss with their agronomist or other financial advisers in this process.