Quote:
So, if the land could be rented for more, you actually have costs that aren't really figured in there, as the farmer is getting something in return other than cash.
I let the neighbor cut a couple acres of alfalfa on my property, usually for nothing. He also runs an excavating and trucking company. I was doing a drainage project today when he came to cut. I asked him if that alfalfa was worth five yards of pea gravel and he said he'd bring it over tomorrow. Free gravel? Not really, but it sounds good.
So, if the land could be rented for more, you actually have costs that aren't really figured in there, as the farmer is getting something in return other than cash.
I let the neighbor cut a couple acres of alfalfa on my property, usually for nothing. He also runs an excavating and trucking company. I was doing a drainage project today when he came to cut. I asked him if that alfalfa was worth five yards of pea gravel and he said he'd bring it over tomorrow. Free gravel? Not really, but it sounds good.