By Chris Vanderkolk
As farming becomes an increasingly precision oriented business, and the profitability of farms gets put under the microscope, not having access to accurate financial data isn't just a disadvantage for farm businesses, it’s a recipe for disaster.
Accurate financial data is about more than just how much cash is in the bank today, and forecasting how much will be there tomorrow. Accurate financial data is about being able to see at any time the financial impact of every decision which is made on the farm as it happens. Being able to forecast the profitability of specific crops, and measure the variance to that forecast as the season progresses, modelling the long term impact on profitability of major equipment purchases, or having confidence in decisions to sell or store harvested products.
Stacks and Suites
Very few software suites available today have the power or sophistication to process bank data, create detailed, precision oriented planting plans, and produce complete financial management reports which can be shared between the many stakeholders. While legacy farm management systems have developed products intended to be all things to all users, Xero, Figured and Agworld focus on perfecting their respective areas of a growers, accountants and agronomists workflows.
Xero has set the standard for day to day financial management - bank feeds, account coding, and invoicing in Xero is peerless. Figured has created financial planning, management and three way financial reporting capability unlike any other, and Agworld has been proven as the industry leader in row and permanent crop season planning and in season management.
Since 2015, Figured has integrated with Xero to bring actual financial data together with farm production data, giving farmers and their advisors a planning tool which is always up to date and provides them with an accurate current and forecast cash position, balance sheet and P+L.
By partnering with Agworld, we are now entering a new phase of connected farming systems, to create the complete Financial and Production management technology stack for crop farming teams. This integration partnership will bring the power of precision agri planning together with real time financial data to give Farmers, Agronomists and Accountants a level of business insight which is unavailable in traditional desktop systems.
Empowering Farming Teams
The power of cloud technology enables the sharing of data between multiple systems, but more importantly it enables the sharing of data between the many stakeholders who contribute to the management of an operation.
Figured has always worked closely with agri accountants, providing a platform to enable accountants to build a valuable, scalable agri financial advisory service on. With Agworld we create the opportunity for accountants to step into a whole new realm of ag advisory, by linking farm management decisions with financial data. Financial advisors can begin to look across the whole farming operation and work with their clients to make better decisions supported by accurate financial data previously unavailable to the farming team.
We’re working closely with the team at Agworld to build an integration which creates value for every member of the farming team. We’re just beginning work and we welcome the feedback of our partners and customers - we’ll keep you in the loop as we build the integration.
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