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D-staged-investment Dictionary

Staged Investment

Funding a farm plan one proven stage at a time, borrowing for the next stage against the records of the last

All termsIntroduced in Module 2Open the Toolkit
An open dictionary on a farm office desk
Plain meaning
Funding a farm plan one proven stage at a time, borrowing for the next stage against the records of the last
How to use it
Prove the enterprise on part of the land, then borrow against the records to expand.
South African benchmark
South African lenders price farm credit on the borrower's production and payment records.
Country notes
In all four local markets, a season of records is the strongest case a new farmer can bring to a lender.
Go and read
C2 Lesson 2.6
Calculate it
T-C-02 Start-Up Capital Calculator sizes each stage; T-C-04 shows the lowest cash point.
Library sources
LIB-A130
See also
Working capital, Farm strategy
Twelve-month cash flow showing money out before money in and the lowest cash pointTwelve months of cash: money out first, money in laterJFMAMJJASONDRed dot: the lowest cash point, the working capital you must fundMoney in (sales)Money out (inputs, labour, loan)Running cash balance
From Module 2, Money for the Farm, where this term is introduced.

Introduced in C2 Money for the Farm.