Is he mad?

Discussion in 'Agricultural Matters' started by Steakeater, Jan 11, 2017.

  1. PSQ

    PSQ Member

    In his twenties, and earning £60k from engineering? - Tell him to stick with his job in F1.
    Or if he can, take some of his work 'home' with him, and run a separate specialist engineering business from the farm.
    While he might think "the grass is greener", the rest of us are trying to diversify away from the core business of farming. So yes, rent a farm to use as premises, but as for thinking he'll make a fortune / maintain his lifestyle pulling tits, FFS NO!
     
    SFP, graham99, jade35 and 4 others like this.
  2. Steakeater

    Steakeater Member

    He is in the automotive industry as a design engineer but not F1. Also, his job is miles away from his family farm so not an option to do both.
     
  3. Blod

    Blod Member

    Location:
    E Carmarthenshire
    I would encourage him to imagine both the best and worst case scenarios for buying his dream and again for staying put. It might give him some perspective.
     
  4. Fleeced

    Fleeced Member

    Depends how much financial security he has. If he owns his own home and has savings it's possible. He could rent out his house and that income might cover some or all of the rental costs of the farm . As long as he doesn't blow savings and security it might be viable.
     
    Bill the Bass likes this.
  5. Yes.
    I would call him stupid as well but he cant be if he is earning 60k per annum.


    Actually,No - let him try, see how he gets on small farming,what with tb testing and all.
     
    onesiedale likes this.
  6. DrDunc

    DrDunc Member

    Location:
    Dunsyre
    Ahem....

    It's not mad to follow your dreams.

    I have absolutely no regrets whatsoever relinquishing a salary in excess of £60k in engineering near twenty years ago to return to the life I grew up with.

    It was definitely worth the 100% pay cut :D
     
  7. neilo

    neilo Member

    Location:
    Montgomeryshire
    So, this 'friend' of yours @Steakeater , has he been looking at dairy farms previously? Or is this a new idea.

    As above, money isn't everything if you're not happy. Going into it with some savings would be a good help, or rather, essential if tendering a rent for a half decent sized farm. Enough money to buy 60 cows isn't going to go far though.
     
  8. Got a big btb problem in Scotland ?
     
  9. Goweresque

    Goweresque Member

    Location:
    North Wilts
    Free trade deals with non-EU countries? Ones where agricultural products are likely to be allowed into the UK tariff free in return for the City of London getting access to the other country's markets for financial products and services etc? Farming is a tiny part of the UK economy - if the price of access for services is cheap imported food then that will be seen as a win/win situation - open access for one of our major export areas, and cheap food for the public.

    Post 2020 farming could be looking at no subsidies and lower output prices due to cheaper foreign import competition. Whether that double whammy comes to pass is anyone's guess, but its got to be considered a possibility. We are in uncharted territory - the general direction of farming policy has been largely the same since 1939 (namely subsidising farmers for one thing or another, initially food production, then latterly more for environmental/social reasons) and has been out of the hands of UK politicians since 1972. Now all the bets are off, everything is up for changes to be made. Nothing can be considered completely impossible. So making a major investment decision to go into farming in the next 5 years or so has to be taking a real leap into the dark. Literally no-one knows what UK farming policy will be in 2020 and beyond. Even the people who will be making the decisions don't know at the moment.
     
  10. Hilly

    Hilly Member

    Location:
    Scottish Borders.
    Total idiot.
     
    C.J and Bury the Trash like this.
  11. Will be competing with a big rent offer no doubt.
     
    Hilly likes this.
  12. DrDunc

    DrDunc Member

    Location:
    Dunsyre
    The worst case scenario where all uk subsidies are withdrawn and our industry is thrown to the wolves in exchange for a trade deal will cause an awful lot of businesses to fold.

    @Steakeater friend may have factored in the investment and working methods necessary to return a profit in their Crystal ball gazing of farming future.

    Where there are significant changes, with a large number of businesses going broke, there is also opportunities for some.

    If it all goes tits up pulling dairy teets for a living, they could go back to automotive design work.

    Few "established" farmers have a skill set that would allow them to go do another job if they lost the farm business.

    Let's hope the industry isn't thrown to the wolves though.
     
  13. ISCO

    ISCO Member

    Couldn't agree more. I farmed from 16 and now work away from the farm in an office environment as I had regrets about not trying this at a younger age and son works on farm. Office work not all cracked up to be and if you really want to farm and have the opportunity then go for it.
     
    ThatsSomeSheep and Thick Farmer like this.
  14. Steakeater

    Steakeater Member

    He has never even viewed any farms before, it's a neighbour from his parents who knows him well and had is retiring so has offered him the farm to rent. He wouldn't tell me at what rate but it may be quite cheap if its a family friend.
     
  15. I suppose it depends on what information he is using to calculate his numbers. If he uses the reported average 25.4p /ltr of milk for 2016 farm gate prices (and a potential to see maybe 27/28 p/ltr in 2017), then if a cow produces say 24 ltrs day of milk, that stacks up to a reasonable gross figure if working on 130 cows?

    Would he be comfortable with his numbers, can he trust them?

    The problem for him will be what information will he trust to build his Business Model on, as there are a lot of variables in the reliability of information around, and you cant jyst walk up to a farmer and ask.
     
  16. D14

    D14 Member

    His actual take home would be £42,000 or thereabouts. Off that he will be paying rent etc and everything around him would be expensive. He would be fighting traffic to get to work or relying on public transport and I bet he's out of his house 12 hrs a day with transport included.

    If he rents the farm he gets the house in the countryside to live in. No traffic stress and whilst he'll be working 7 days the actual work ours may be less per day. So if the 200ac costs him £25,000 to rent then he might be in a very similar financial position in that he has nothing left every month but is now living a better lifestyle.

    It all depends on the rental price.
     
  17. Happiness

    Happiness Member

    Essentially swapping one kind of stress for another. Definitely a better lifestyle farming, but not sure about Dairy farming. Its tough making money when you own your own farm never mind if you gotta pay someone rent.
     
    ThatsSomeSheep, Janovich and Hilly like this.
  18. Zippy768

    Zippy768 Member

    Location:
    Dorset/Wilts
    I'd imagine he would soon clock up 60 hours over 7 days
     
  19. Zippy768

    Zippy768 Member

    Location:
    Dorset/Wilts
    My cousin, three years ago, jacked in his job as an accountant for some bank in London. He came back this way and took on one of his late fathers farmstead - two barn job with 60 acres. (Up to then we had rented the ground since his father pasted and had kept 30 odd cattle in the barns in the odd winter) He has spent a fortune converting and covering part of the yard, tidying, concreting etc . He is now rearing calves on contract. Very smart job, all designed for purpose.
    I have been so impressed with his motivation and drive to make it work, but not so impressed with where he has directed it. Seems odd thing to do

    Pssst if he can show he is making a profit in three years he gets planning permission for a house #justsaying :whistle:
     
  20. Happiness

    Happiness Member

    To off topic summarise:
    We will all be eating dodgy stuff shipped in from everywhere and there will be a food crisis.
    The British countryside will change, for the worse and then we'll realise that actually, we really do need to protect our food production.
     

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