Farm Management

Technical equipment and the nature of production

The technical equipment of the farm (machinery, buildings, vehicles) must correspond to its business intentions and to the operating strategy adopted. The nature of the equipment used (own or service equipment) must correspond to the needs of the business.

Above all, the purchase of technical equipment must be guided by an accurate economic calculation, as it is very easy to over-invest. Profits from running the farm must be sufficient for its technical replacement, which, given the prices of increasingly high-tech equipment, may not be feasible, especially for smaller farms. In any case, and this one in particular, it is worth considering sharing equipment with neighbours, and remembering to properly train workers in its use.

More planning in Area 3 Financial sustainability