Archives for May 2019

Credit Decision Scorecards

Every now and again there’s a FINPACK tool available we, the FINPACK Team, suspect is underutilized.  That may be because it doesn’t fit the bank’s analysis needs or maybe it’s because the tool is out of sight and out of mind (and if only given a chance, users would fall in love with it). We feel the latter may be true for Credit Decision Scorecards available in the Credit Analysis section of the FINPACK file navigator.

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2018 FINBIN Report on MN Farm Finances

Minnesota farmers continued to struggle with low prices and low profitability. Median net income was $26,055 in 2018, down 8%. After adjusting for inflation, Minnesota farms earned the lowest median farm income of the 23 years included in FINBIN. The economic pain was widespread; median incomes were $31,000 or lower for all of Minnesota’s major commodity farms; crop, dairy, pork and beef producers. Not every operation struggled though. Across all farms, the farms earning the highest net incomes, those in the top 20%, earned an average of $184,000. Those in the lower 20% lost almost ($72,000).  View the 2018 FINBIN Report on Minnesota Farm Finances to learn more about the financial health of the state’s agriculture industry.

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How Much is a Good Manager Worth?

How much is a good business manager worth? As you analyze commercial business credits you likely wrestle with this question often. The longer you work with businesses you can pick out the good managers versus the bad ones. But, how is this measured? The cash drivers report in FINPACK’s commercial analysis tackles this question.

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