Farm accounts in the busy season: cash flow and feed costs

Keep the farm's cash steady through calving and harvest by recording milk sales, bulk feed deliveries and running costs on the day they happen. Keep feed costs for milking cows apart from investments, check the 30-day milk money still owed to you every week, and manage the whole farm's cash flow in HerdMobile.

Nakuru, Kenya: Farm receipts beside milk cans.
Farm receipts beside milk cans. Field observations support accurate animal records.

Compiled from open-access scientific sources.

Why record every payment on the day in the busy season?

Calving and harvest bring heavy cash movements: big feed purchases, rising milk sales and vet supplies all at once. Recording milk slips, feed invoices and labour costs on the day they happen means no expense is forgotten and your working capital is always in view. Checking milk income against feed cost every week helps keep feed spending between 50 and 55 percent of gross milk income, which is where well-run dairies hold it. Logging money as it moves shows you the herd's cash position before any bill falls behind, so you can plan feed payments instead of chasing them.

How do you keep running feed costs apart from investments?

Book bought forage, concentrate and mineral as running feed costs, and put machinery, barn repairs and new storage equipment down as investments. Daily feed cost per milking cow then shows what each group really earns. Check what the dairy and local buyers still owe you every seven days, and make sure fat and protein bonuses match the delivery dockets. A rolling 30-day cash reserve protects the farm from seasonal price swings and keeps good feed coming in even when a payment arrives late.

How does HerdMobile make farm accounts and milk sales simpler?

HerdMobile gives livestock farmers a simple farm ledger. Record milk collections and milk sales, quality bonuses, animal sales and feed invoices on your phone. Money still owed to you stays on the receivables list until you mark it paid, so nothing slips. The ration calculator shows daily feed cost per head, and CSV or PDF reports let you look back over a month or a season before you plan the next feed order. You need no accounting software and no internet connection.

Questions from the farm

What is a healthy feed cost target for a commercial dairy farm?

Aim to keep feed costs at 50 to 55 percent of gross milk income, leaving enough margin for labour, health and overheads.

How often should you check money owed to the farm in busy periods?

Match milk delivery slips against dairy payments every seven days to keep cash flow dependable.

How does HerdMobile keep milk income and feed costs together?

HerdMobile keeps milk sales, bonuses, feed receipts and animal sales in one place, and its reports show income against expenses for any period.

How HerdMobile helps

Bring your animals, feed stocks and farm accounts together on your Android phone. HerdMobile keeps your daily work moving offline: record events, compare feed quantities and follow sales and payments in one place. Use your own feeds and herd information to prepare a ration, then keep a backup file under your control.

See how many kilos of each feed to give
Keep the day’s work in view: open your animal records, plan feeding, follow farm accounts and manage your backup in HerdMobile.
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Sources

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