If you’re a swine integrator or producer, chances are high that 2023 has not been kind to you. More integrators are filing for bankruptcy protection or seriously considering it, which puts the producers who grow pigs for them at risk—and, in turn, their employees. Even if you haven’t faced the potential of bankruptcy or debt […]
Economy
Unintended Consequences: The Inflation Reduction Act of 2022’s Farm Debt Relief Causes Farmers Massive Tax Headaches
For a deeper analysis into this topic, see a version of this article written for tax professionals and other interested parties here. On August 16, 2022, President Biden signed the Inflation Reduction Act (IRA) into law. Section 22006 of the IRA provided $3.1 billion for the United States Department of Agriculture (USDA) to provide relief […]
Unintended Consequences: The Inflation Reduction Act of 2022’s Farm Debt Relief Causes Farmers Massive Tax Headaches (Deep Dive)
On August 16, 2022, President Biden signed the Inflation Reduction Act (IRA) into law. Section 22006 of the IRA provided $3.1 billion for the United States Department of Agriculture (USDA) to provide relief for distressed borrowers under certain Farm Service Agency (FSA) direct and guaranteed loans. On October 18, 2022, USDA provided nearly $800 million […]
Before buying or selling a farm, ask “Why?”
Note: This is part one of a two-part blog series on buying or selling a farm. For part two, “Selling a farm: capital idea or capital gains tax?” see here. You want to buy or sell a farm. Before you push a “For Sale” sign into the ground or negotiate with the owner, make sure […]
Don’t confuse money in the bank with profitability
You look at the December bank statement. It shows a checking account larger than a year ago. You’ve had a profitable year, right? Not necessarily. Just because you have money in the bank does not mean you made money. It may seem strange, but profitability and money in the bank are two different things, even […]
Prices up, but some farmers in financial straits
Commodity prices are trending higher, yet many farmers are struggling to pay their bills. The reasons are varied but could spell disaster if producers don’t get a handle on their finances. So say Joe Peiffer, founder and shareholder of Ag & Business Legal Strategies, and Keith Starr, the firm’s chief financial strategist, as they discuss […]
Looking to 2022: Can You Weather the Financial Storm?
Few things capture the attention of agricultural producers like the weather. Farmers and ranchers often check the forecast multiple times a day in an attempt to stay ahead of any chances of inclement conditions. Wind, precipitation, and extreme temperatures can have significant effects on the health of animals and crops alike, so it is important […]
Joe Peiffer on The Big Show 9/17/2021
Attorney Joseph Peiffer recently chatted with Andy Petersen from The Big Show about how to plan ahead looking forward from the beginning of harvest. Listen below and feel free to read along! Andy Petersen: Well, let’s talk a little agricultural business here with a good Big Show buddy, and a business expert, Joe Peiffer, Ag […]
Farmers In Crisis
Joe Peiffer was recently quoted in the Wall Street Journal in an article entitled “Farmers in Crisis Turn to High-Interest Loans as Banks Pull Back.” You can read the full article here: WSJ 11/10/2019 or read the highlights below: “Some bankruptcy attorneys said costlier terms from nonbank lenders can make it hard for farmers to […]
Farms on the Margins: Debt Figures Raise Questions of Whether Farm Debt is on Cruise Control
Joe Peiffer recently chatted with Chris Clayton of Progressive Farmer/DTN regarding the current farm situation. Article: https://www.dtnpf.com/agriculture/web/Ag/news/business-inputs/article/2019/03/19/debt-figures-raise-questions-whether Excerpts: “Right now, we’re having many people find out shortly before they have to pay rent that they aren’t going to have financing,” said Peiffer, who works with farmers in Iowa and Illinois. Some of these farmers needed millions […]
Crisis Resources
Farming is good honest work, but it can be stressful and bad situations can feel overwhelming. Crisis may be as close as next harvest, or a bank not renewing the crop note. If you’re feeling like you don’t have what it takes to keep going, ask for help; there are resources available to people just […]
Joe Peiffer on the Big Show – Cash Flows
Joe Peiffer had the opportunity this week to talk with Doug Cooper on The Big Show regarding cash flows. Listen below! DC: There was some concern going into this year’s planting season that some farmers may have some cash flow issues with their bankers. Joe Peiffer is a bankruptcy lawyer with Ag & Business Legal […]