Before renewing your ag loan, it’s important to “develop a good understanding of key elements used by lenders to assess your borrowing positions,” advises Doug Claussen, principal at K·Coe Isom.
Claussen outlines the three key areas for agricultural businesses to pay attention to—especially this year—as it’s expected to be a tough year-end following eroding profit margins.
In particular, he warns against the repercussions of ignoring your loan covenants, provides creative ways to negotiate loan covenants, and discusses the potential impact and unintended consequences stemming from loan consolidation.
Read the full article (as published in the High Plains Journal, October 2018) here: What To Know Before Renewing Your Ag Loan
To learn more about these borrowing conditions and how they affect your business, and to ensure your operation is strongly positioned as you begin the process of renewing your loan, contact a K·Coe Isom agribusiness accounting expert.