Debt Free Farming

Do not go into debt to start farming. We started our farm without debt and have grown our farming operation with retained earnings. (This means we pay as we go.)

I spent about $5,000 the first year we moved to our farm from personal savings to buy a 1965 IH 656 Hydrostatic drive tractor. We have used it for 12 years and I could probably still get about that much for it. It was an excellent choice for vegetable farming as it can be driven at a super slow speed (about as fast as you can crawl.) It has been very reliable, only in the shop one time for something or other that was easily fixed.

I typically spend $4000-$5000 on equipment every year. Things such as a walk behind tiller, double wide glass door merchandiser, an enclosed trailer, a pick-up, mechanical transplanter, two rototillers, and a walk in cooler. All have been purchased used and can probably be resold at some point for near the purchase price.

Starting small and growing both your expertise and your financial base can allow you to grow your farming operation without debt.

Proverbs 22:7 says "The borrower is servant to the lender". 

You cannot chart your course if you are a slave to debt. Slow and steady wins the race.