Wisconsin farmer focus group program aims to improve profitability

Following record-high farm income in 2022, Wisconsin farmers in 2023 saw rising interest expenses, increasing debt and reduced working capital due to lower-than-expected commodity prices. To make sound, strategic financial decisions, the University of Wisconsin Extension partnered with 12 agricultural associations and community organizations, including the Wisconsin Farm Bureau, to implement focus group discussions with more than 120 participants.

The Extension Farm Pulse: Financial Management and Analysis course helped producers learn how to use financial data to explore farm business decisions. After completing an eight-module training, producers could transfer the skills they learned to their own operations by developing financial statements and interpreting financial statements for the analysis of a farm’s financial position and financial performance.

Extension collaborated with U.S. Department of Agriculture-Farm Service Agency to offer accreditation upon course completion, helping farmers meet the requirements of the USDA Beginning Farmer Program. Producers also increased their knowledge of how to prepare farm business financial statements, review farm’s financial position and financial performance.

In collaboration with the Professional Dairy Producers of Wisconsin (PDPW), Extension also provided expertise and instruction for an in-person PDPW Financial Literacy for Dairy® education program for Wisconsin dairy farmers.

95% of participants who completed either course agreed that not only had their ability to analyze farm finances had improved due to their participation, but they were making direct management decisions based on those analyses. As a result of these outcomes, producers will be able to decide about a business opportunity or new enterprise and learn how to determine if a business opportunity will succeed.

Project supported by state appropriations and Smith-Lever funds.