I have got a brilliant idea that going to make me a lot of money! That’s the pitch I usually get from budding enthusiastic entrepreneurs. My questions now are: Is a brilliant idea all it takes to start a business? Does a smart business idea guarantee success when starting a business from scratch?
Agricultural is one of the evergreen sectors that would continue in the normal way even when there is a global recession. There are hundreds of agriculture related business ideas that are emerging now. While some agriculture business needs low investment, some require medium to large investments.
To be successful, a farmer must know a great deal about his land and the products he plans to raise.
Every plant and animal are a complicated organism. He who wishes to succeed in the culture of wheat, rye, corn, tobacco, or cotton, for example, must be thoroughly familiar with the characteristics of the plant, its germination and growth, the diseases and blights to which it is susceptible, and the methods of controlling them.
After carefully weighing the pros and cons of farming versus other occupations and deciding in favour of the former, you are ready to consider the questions: Shall I buy or rent a farm? Where shall I farm? What kind of farming shall I undertake?
A wise choice takes many factors into account. To begin with, you should not buy or rent a farm unless you have had real experience in farming. You are almost certainly doomed to disappointment and failure if you undertake so complex a business without some experience on a good farm, under the guidance of a man who is a successful farmer. If you have had no experience, you should start a farming career as a hired man. After that you may be in a position to manage your own farm.
Though if you do have your heart set on purchasing a farm, it is probably best to start out small as they are
- More sustainable. Farming on a small scale is more sustainable than growing on a large scale. Proportionally, less chemicals and inputs are needed when growing on a small scale. Smaller farms also tend to create less soil erosion and other environmentally-damaging side effects. Crops can be rotated according to natural nutrient cycles. Or better yet, permaculture systems can be put in place.
- More diverse. A small-scale farm can diversify and grow a wide variety of different crops. In a small space you might grow tomatoes, lettuce, herbs and many other kinds of produce. A more diverse group of plants attracts a wider range of beneficial insects and wildlife. It can also help to cut down on pest pressure. Contrast this with large-scale farms that may only grow a single crop like corn or soybean across hundreds of acres.
- Supports the local economy. In rural communities, many residents prefer to shop locally from nearby farms instead of taking a longer trip into town. Shipping costs are reduced. Money circulates through businesses and families in the immediate area instead of going to large corporations. Since small farms are able to sell directly to consumers, they can cut out wholesalers and distributors and offer lower prices to customers while actually making more money.
- Better for the environment. Building on the last point, selling produce from a small farm locally helps to cut down on shipping costs and means a smaller carbon footprint associated with each purchase.
- Fresher food. Much of our food nowadays is grown far away in other countries, or even on other continents. Items like tomatoes need to be picked while they’re still green so they stay fresh long enough to be purchased.
Local farms can sell produce to customers the same day that they harvest it, which results in an unbeatable taste and fresher ingredients.
Many experienced farmers stress the desirability of starting in as a tenant rather than purchaser. It is unwise to plunge into farming as an owner-operator until you have tried yourself out and know whether you like farming as a business, whether you can make a success of it, and whether you have chosen the kind of farming and location you want.
The region selected should be familiar, if possible. It is also helpful to settle where your family is known.
But many aspiring entrepreneurs are met with a rude awakening upon launching their endeavors. Not only are they their own boss, but also their own human resources, talent acquisition, marketing, public relations, facilities, and events. The price to pay for unlimited freedom is a substantial amount of responsibility.
You’ll increase your chances for success (and your enjoyment level) if you make your entrepreneurial efforts realistic and scalable. You don’t need to start small, but you definitely need to start smart. In the early stages, efficiency is the name of the game.
If you’re looking for the fastest and simplest way to get started in entrepreneurship, consider becoming a freelancer or consultant.
You can be in business with as little as a smartphone and laptop (sometimes even less). You don’t have to spend months building a product or creating an online course. You can charge money for your services, starting as soon as today. And you can leverage the skills you already have. You just need a reputation for getting results. For example, I don’t have a degree in marketing. I write copy for a living and I never studied English or grammar. But it doesn’t matter, because as a freelancer or consultant, all you need to do is deliver results. That’s what people pay for.
Many of the millennials will have an off-farm income stream to offset mortgages that may be held by Mom and Dad. When they choose to dedicate all their working time to the farm, it may mean a change in lifestyle or not. The young farmers I’ve talked to are entrepreneurs who see a future in agriculture. They have multiple skill sets and work strategically with new farm business models to create the future they envision. This may mean joining another existing farmer and that business to create a larger dairy farm, with two non-related families on the business partnership.
Australian agriculture has overcome many challenges and obstacles in the past, but I feel our greatest contest is yet to come. With increasing regulation, more competitive global markets, and a general population who continues to grow removed from and distrust modern agriculture, we as an industry must ensure our livelihood and rural heritage endure. It is easy to sit back and say, “Well, I can’t do anything about it. I’m a little guy.”
I am here to tell you that you are doing so much better then you fell right now.
- Contemplate what makes you truly happy – what brings a smile to your face and excites you when you think about it? Identify what it is that you love and enjoy and embrace it.
- You need to work on yourself if you are lacking inner confidence. This takes time, but the rewards are worth it. Every time you think negatively about yourself, counter that thought with a positive one, or when you feel a negative thought coming on – list three things that you are appreciative of.
- Now you have learned what it is that makes you happy, and you have built those confidence levels up, express yourself – every day!
- Try not to care what other people think of you. It might seem impossible to totally disregard other people’s opinions, but really if you think about it, what do other people’s opinions actually matter
- Then keep carrying on doing what you are doing regardless of what paths those around you might be treading – each individual’s footprints are unique
Your uniqueness and the individual small business you could create and build over time will become stronger over time. With support of mentors and others wise people who have your back, you will have a strong sustainable business that stands on its own two feet, regardless of what other established businesses are doing.
Almost every step of Australia’s food supply chain has grown more concentrated in the past few decades. From manufacturers of agricultural inputs such as pesticides and equipment to commodity buyers and meat processors, growing corporate power has left relatively small farms and ranches vulnerable to exploitation at the hands of the oligopolies with which they do business. Recent mergers and acquisitions continue the relentless trend toward increasing corporate concentration across many agricultural markets. Market concentration has resulted in considerable corporate market power, to the detriment of Australia’s farmers.
While a wide range of economic forces—from volatile international trade relations to climate change to technological upheaval—put economic pressure on Australia’s farmers, the impact of monopoly power on farmers can no longer be ignored. Like millions of workers whose wages have been stagnant in recent decades, farmers are quite simply not receiving a fair share of the returns from their labour. With 1 in 5 rural counties dependent on farming, and a rural poverty rate 3.5 percent higher than in urban areas, rural Australia cannot afford depressed farm earnings.
There’s so much that can be added to your life by learning how to start a small business at home, but we also need to talk about the deductions. As in, tax deductions. Also known as write-offs, these expenses can lower your tax bill because they’re tied to your business.
For example, let’s say you purchase a new computer and printer for your home office. New technology can be expensive, but as long as the computer and printer will be used for your business, you can deduct the cost from the amount you owe on your taxes.
The specifics of tax deductions vary from region to region, but the general rule of thumb is that the expense needs to be both reasonable and clearly tied to your business. So you can’t just buy a new ski boat and then claim that you’re using the boat for occasional work retreats to the lake.
Before you can accurately begin tracking your work expenses, you’ve got to once again create a line of demarcation between your personal and private lives, this time from a financial perspective. This means separate bank accounts, mileage tracking for your automobile, and in general, a studious approach to your monthly expenses. Tax officials have never taken kindly to the “I just got a little mixed up” defense.
You’ll want to work with a tax professional to get expert insights and ensure you’re crunching the numbers correctly. Not only will they keep you out of trouble, but they can also suggest new deductions to save even more money.
So if you do have a great business idea, then pursue it as you just might make your own local community that little bit stronger.