How does budgeting help a farming business?

Take a look at the DairyNZ video and see how budgeting helps farmers run a successful and proﬁtable business.

http://lnkiy.in/dairy-budget

Have a go:

1. Why is developing a budget for your farm important?

2. What’s the ﬁrst step in preparing a budget?

3. What’s the aim of a budget?

4. What’s the difference between an annual budget and a monthly forecast?

Stretch yourself:

5. What would happen if your monthly spending exceeded monthly income for a given month?

6. How would having an up-to-date forecast help?