News + Insights

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Minnesota Farm Income Declines Again in 2024

Minnesota farmers faced another challenging year in 2024, with net farm income continuing to decline. Falling crop prices coupled with below-trendline crop yields resulted in low incomes, especially for crop producers. As a result, many crop producers are bracing for an economic storm as they plan for the 2025 crop year.

Loan Refinancing in a FINPACK Projection

Refinancing loans is a common strategy for business owners facing reduced profits and tight cash flows. By reviewing repayment capacity measures, you can assess a borrower’s ability to repay debts on time. The Debt Coverage Ratio is a reliable indicator of whether the business generates enough income to cover current interest expenses and all intermediate and long-term debt payments. It is important to realize the calculation of these repayment capacity measures includes non-farm income and debt, so reflect the full picture of the borrower’s debt repayment abilities and do not solely reflect business performance.

Business IQ Assessment

The FINPACK Team is excited to partner with Dr. David Kohl to launch an electronic version of his Business IQ Assessment. This free assessment is available to any farmer, rancher, or businessperson and will help evaluate current business acumen and identify areas for improvement.

FINPACK Lender Training – Register Now

Registration is now open for the next in-person FINPACK Lender Training session, May 7th & 8th, right here on the University of Minnesota, St. Paul campus. FINPACK lender training offers lenders two days of practical, hands-on training with insights into all the components of FINPACK.