Additional Tools
There are three kinds of budgets generally used for farm financial planning; enterprise budgets, partial budgets and whole farm budgets. Enterprise Budgets are the most useful in the transition scenario as they will help the farmer to evaluate all the costs and opportunities associated with a particular crop or activity. In comparison, Partial Budgets tend to be used when modifying part of an enterprise (such as shifting from wholesale to direct marketing). Whole farm budgets are generally used for major changes to a farm (such as completely switching crops or a change in ownership structure).
Additional information on utilizing Enterprise Budgets can be found here:
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