Volatile input and output prices, variable yields and weather conditions can all have a major effect on farm cash flow. It is important to establish the level of working capital support that your farm will require and when it is required. If you are experiencing, or expect to experience, farm cash flow pressure, we would encourage you to make early contact with AIB.
We understand that on most farms there may be periods during the year where cash outflow is greater than cash inflow. In such circumstances, it is important to establish if additional working capital is required for your business and when it is required.
When examining income and expenditure receipts from the previous year, a cash flow budget can be used to determine the level of working capital that the farm will require.
This can be used to monitor the farm cash flow during the year.
By establishing the level of working capital support required, you can discuss with your bank the level of bank finance that you need.
The AIB Farmer Credit Line is a flexible way to manage your farm’s seasonal working capital throughout the year.
Should you find yourself experiencing cash flow difficulties, for any reason, seek the necessary support at an early stage.
We will work with impacted customers on a case-by-case basis to find an appropriate solution to suit their farm.