Don’t Let Finances Fall Through the Cracks: 3 Reports Every Farmer Should Pull After Harvest

When the dust settles after harvest, the temptation to take a breather is strong—and well-earned. But before turning your attention to the holidays, winter maintenance, or next season’s planting plans, it’s critical to carve out time to review your farm finances. Financial clarity after harvest isn’t just good business—it can mean the difference between growth and foreclosure.

Whether you're a full-time rancher managing 2,000 acres or running one of America’s many small farms, pulling the right financial reports can help you improve cash flow, stay in good standing with lenders, and confidently prepare for tax season.

At FarmRaise, we understand the complexity of financial tracking in agriculture. That’s why our platform helps simplify key financial tasks—giving farmers tools to track income and expenses in a way that supports confident decision-making.

Here are the three essential reports every farmer should pull after harvest—along with why they matter and how to make the most of them.

1. Cash Flow Statement: Understand Where Your Money Went

Why It Matters

Your cash flow statement captures the actual movement of cash in and out of your farm business. Unlike a profit and loss report, which includes non-cash items like depreciation, the cash flow report shows what’s really in the bank—and what went out.

It’s crucial for identifying shortfalls, timing loan payments, and managing interest payments. Many borrowers are surprised by how quickly spending accelerates during harvest: think fuel, herbicide, overtime wages, credit card charges, and repairs. Tracking this flow helps reduce financial stress and plan for next year’s expenses with greater confidence.

What to Look For

• Negative cash flow during or after harvest may signal a need to adjust your pricing or reduce costs.
• Large outflows in categories like farm equipment or inputs might be eligible for tax deductions or depreciation.
• Inflow sources should be diversified. Too much reliance on a single buyer or crop (say, only soybeans) can expose you to price volatility and risk.

How FarmRaise Helps

With FarmRaise Tracks, farmers can log income and categorize expenses to better understand their cash position over time. Our tools support clear, simplified record keeping to make it easier to prepare key documents for your tax professional or lending partners.

2. Profit and Loss Statement: Track Profitability and Farm Income

Why It Matters

Your income statement (also called a P&L or profit and loss statement) offers a snapshot of profitability over a set period—usually the past year. This is one of the first reports a tax preparer, accountant, or lender will ask for.

It breaks down farm income (grain, livestock, dairy, farm products sold, etc.) against farm expenses (inputs, labor, equipment, marketing, utilities, and more). It helps identify which parts of your farming operations are performing well—and which are draining your bottom line.

For example, maybe your corn brought in a higher price per bushel last year, but rising herbicide costs cut into your margins. Understanding these trends can guide decisions about crop rotation, pricing, and vendor contracts.

What to Look For

• Season-over-season changes in income. Was this year better than last year? What changed?
• Expense categories that increased significantly—like fuel or equipment repairs.
• Net profit margins that show how much is left after all costs.

How FarmRaise Helps

FarmRaise helps you organize your farm’s revenue and expense data so that you or your accountant can create a P&L with greater accuracy. While we don’t currently generate full financial statements automatically, our Tracks platform allows you to tag transactions by category, which supports clearer financial analysis and simplified tax prep.

3. Balance Sheet: Measure Net Worth and Financial Health

Why It Matters

While the P&L shows how your farm performed this year, your balance sheet tells the longer story. It details your assets(land, equipment, inventory, livestock, accounts receivable) versus your liabilities (loan balances, credit card debt, real estate mortgages, unpaid bills).

The difference between assets and liabilities is your net worth—a critical number when applying for loans or restructuring debt.

A balance sheet also helps spot potential problems like over leveraging or low liquidity, especially in a year when interest rates or input costs rise unexpectedly.

What to Look For

• Asset-to-debt ratio: Are you increasing or losing equity?
• High-interest loans: Consider refinancing if interest rates drop or terms improve.
• Aging equipment: Farm equipment that no longer generates value might need to be repaired, sold, or replaced.

How FarmRaise Helps

Tracks users can maintain records of farm-related expenses and income, and use these records to build out a simple balance sheet with the help of their accountant or FSA advisor. These records can support decision-making during lender conversations or when applying for farm programs.

Why These Reports Matter—Beyond the Numbers

These three reports work together to tell the story of your farm business. They’re more than just paperwork; they’re tools for:

• Surviving financial stress: Knowing where your operation stands helps prevent crisis-level decisions like liquidation or foreclosure.
• Improving food security: A healthy farm business supports both your family and the broader community.
• Planning for the next year: Whether you're buying new land, switching crops, or investing in real estate or equipment, strong reports help guide your plans.
• Communicating with others: From lenders to landlords to tax preparers, clear financial records show you’re running a serious small business.

Extra Credit: Questions to Ask After Pulling the Reports

Once you've pulled your reports, go deeper by asking:

• Did my farm income come from a stable mix of sources?
• Were any emergency expenses avoidable with better planning?
• Are my loan payments aligned with projected cash flow?
• Should I apply for support through USDA or FSA programs?
• Am I getting the most from my equipment, labor, and land?

These questions can help shape your strategy heading into the next season.

Make Reporting a Routine, Not a Chore

Farm management isn’t just about crops and cattle—it’s about running a resilient small business. While we don’t offer full accounting software, FarmRaise Tracks helps make financial record keeping more manageable, helping you keep farm expenses organized and categorized.

When it's time to meet with your accountant, apply for funding, or prepare tax documents, having a year’s worth of clean, accurate records is a major advantage. And we’re here to support that.

Final Thoughts

Whether you’re raising soybeans in the Midwest or managing cattle in the Southwest, your finances deserve the same attention as your fields. Pulling your cash flow, income, and balance reports each year can make all the difference to your farm’s health.

FarmRaise is committed to helping farmers take charge of their finances—with tools that simplify and clarify what matters most to your bottom line.

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