Apply online to get an FBN® approval decision instantly.
What should farmers know for their finances this year?
Dan English, general manager of FBN® Finance, walks through his 2025 economic outlook and shares how farmers can best set themselves up for success this season.
A lot of farmers are expecting to see some pressure in 2025. There is more uncertainty than we've had in a lot of other years.
We're continuing to see high input costs and low grain prices.
Folks who had built up a good buffer a couple years ago in terms of their cash position and the overall stability of their operation are probably now going to continue paying down some of that balance that they built up. That's a tough spot for a lot of farmers to be in.
There is the potential for some volatility depending on what happens with tariffs. That has an impact not just on their input prices but also on the price that they'll be able to sell grains. Whether there will be any support from the government to mitigate some of those impacts is certainly something that a lot of farmers are looking at.
Whether there is going to be any change to regulatory policy or tax policy could have an effect on a lot of growers as well.
It’s expected that rates will continue to come down, and farmers will see some relief. A lot of farmers are going to need to bolster their balance sheet and so may need to take some cash out of real estate that they have and use that to make sure that they can weather the full year.
This is a tough year. Farmers need to ask themselves:
What's my plan for the next year?
What am I going to be planting?
What profit am I going to get per acre?
What are the levers that I can pull to make myself more profitable and to put more cash on the balance sheet?
Based on their answers, farmers need to assess: Does that get you where you need to go, or do you need some additional cash?
The answer is going to be different for every single operation but, in general, there is going to be the need for a plan and more cash than you’ve had in previous years.
For some farmers, that might mean doing a cash-out refinance on your real estate to put yourself in a position where you have enough cash to get through the full year. It's not going to be a year where there's a wide margin for error, unfortunately.
Being competitive when you're out searching for your operating loan amount and how you're marketing your grain are going to be critical.
We have a very easy process for farmers to get approved for operating lines. It can often take less than 15 minutes to fill out an application*, and farmers can get a preliminary approval decision in just minutes — up to $1 million — subject to final review and verification.
It’s a good idea to get a second look at what kind of rates you can get. When you go in and talk to your bank, it's always great to have another option to say, "Why is this my rate? I know I can get a better deal from FBN.” If you can't get a better deal from your bank, then you should go with FBN Finance and save money.
In addition, you can sign up for an operating line, and there's no fee if you don't use it. Just knowing you have access to these funds can be a great way to give yourself the peace of mind that if you have to spray one more time than expected or if part of the crop doesn't come in quite like you hoped, you’re not going to run out of money.
An ounce of prevention is worth a pound of cure on the working capital side.
Also, in a year when every penny counts, the FBN Finance Regenerative Agriculture Operating Line is a great product because it gives you a discount on your operating loan interest rate. It’s a great way to make more money in many cases on practices that you are already employing, such as no or low till and precision nitrogen application.
Having a plan for your crop marketing is critically important. It’s important to make sure that you have a plan that you stick to and that you understand that you shouldn't wait till harvest to sell, because that's going to put you at the highest risk and lowest return from a historical perspective.
This is definitely a year for planning, forecasting, and making sure that you have the appropriate amount of risk on your operation. Farmers should ensure they have a plan for their grain marketing, a plan for their cash flow throughout the year, an insurance policy that fits and appropriately manages their risk, and that they’re looking for the best prices they can get on all their inputs.
In boom years, it can be easy to be a little more focused on how much revenue one can get and driving the top line instead of being focused on taking all the costs out. 2025 is really a year to sharpen the pencil and make sure that you're getting the most out of every dollar that you're spending on your farm, and that every dollar you're borrowing to spend on that farm is at the lowest rate possible.
FBN offers free agronomic tools that can help you make informed, data-based decisions.
Inject an influx of capital into your ag operations with an operating line up to $1 million from FBN Finance. You can use it for such expenses as inputs, rent, and labor. Learn more here about our great terms, and apply here with zero application fees.
© 2014 - 2025 Farmer's Business Network, Inc. All rights Reserved. The sprout logo, “Farmers Business Network”, “FBN”, "Farmers First", “FBN Direct” , "F2F", and "F2F Genetics Network" are trademarks or registered trademarks of Farmer's Business Network, Inc.
FBN Finance, LLC commercial operating lines of credit are offered by FBN Finance, LLC and its financing partners, and are available only where FBN Finance, LLC is licensed. Terms and conditions apply. All credit is subject to approval and underwriting. Interest rates and fees will vary depending on your individual situation. Not all applicants will qualify.
The Regenerative Agriculture Operating Line program is subject to the Regenerative Agriculture Rebate Program’s terms and conditions, the Regenerative Agriculture Rebate Program Agreement and all related documentation, and the FBN Finance, LLC operating line of credit financing agreement and all related documentation.
The material provided is for information purposes only. It is not intended to be a substitute for specific professional advice. Neither Farmer’s Business Network nor any of its affiliates makes any representations or warranties, express or implied, as to the accuracy or completeness of the statements or any information contained in the material and any liability therefore is expressly disclaimed. The information and opinions expressed by others in this material are their own and are not endorsed or approved by FBN or its affiliates.
*Length of time necessary to complete the financing process will vary and depend on one's individual circumstances.
Approval is conditional and subject to the product’s terms and conditions, and underwriting.