Farm Business Strategic Review turning reliance to resilience
The Farm Business Strategic Review (FBSR) is receiving widespread acclaim after its successful pilot and rollout to South Australian dairy families and expansion in June 2017 to assist pork producers as well. in 2018 the review will be delivered to grains farming families.
This new proactive approach to financial and strategic awareness was developed by RBS in 2016. The Government of South Australia provided a $300,000 grant to RBS through Primary Industries and Regions SA (PIRSA) as a result of the active support of Primary Producers SA and SA commodity groups.
The fundamental questions of “Where are we? Where are we going? How do we get there? How much will it cost? Will the bank support us? Who will help us?” are addressed through strategic briefing sessions, followed by on-farm support with the program assisting each family business to develop a Strategic Action Plan.
The program uses new web based tools to assist with identifying improvements in productivity, profitability and people. It also provides a clearer understanding of what banks think of each business and supports effective negotiation with banks and advisors.
Pilot’s success in SA dairy industry paves the way
An initial 30 SA dairy families were involved in the pilot, which commenced just prior to the Murray Goulburn price crash that resulted in five families having to leave the program. Of the 25 families that completed the pilot, 19 indicated $3.65 million in new investment intentions and a subsequent $2.7 million in bank funding was generated from their participation in the FBSR.
The pilot also assisted five families to respond to the price crises and continue to operate through effective bank negotiations backed by a formal family plan, budget and monthly cash flow.
Ultimately the success of the pilot resulted in the SA dairy industry and SA Government funding the rollout of the program to a further 30 dairy families in 2017. Furthermore, United Dairy Victoria has endorsed the program and negotiations are underway to commence a pilot across the border in 2018.
FBSR expands to assist pork families with industry support
Building on the success of the process developed by RBS for the SA dairy industry, Australian Pork agreed to fund an adapted pilot with 10 pork producing families in SA and Victoria.
The engagement process, web tools and on-farm support have had an excellent response from pork farming families.
Grains producers next in line to reap rewards of FBSR
In 2018 the Grains Industry Farm Business Strategic Review is the result of a $200,000 commitment through PIRSA, building on its $300,000 commitment to develop the program in dairy. The SA Government’s commitment is being supported by $100,000 from Grains Producers SA (GPSA) and $50,000 from Grains Research and Development Corporation (GRDC).
The program is funded to provide places for 35 families, giving them access to $7500 worth of professional business training for a registration fee of just $500.
For more information about the Farm Business Strategic Review please contact:
Business Development Manager
T: (08) 8364 2577
M: 0499 556 488