Integrated Farm Financial Statements (IFFS) Software

Damona Doye

OSU Extension Economist

IFFS applications and links

Planning and analysis tool IFMAPS Case study development for workshops and courses Farm management courses and labs Other educators Lenders Producers

Enterprise budget software will create IFFS budgets Quicken data can be imported into IFFS

IFFS

Additional Information

Crop and Livestock Budgets

Cash flow statement

Debt worksheet

Balance sheet

Income statement, financial ratios, stress

test

IFFS data collection Worksheets that are useful to complete for the farm

before beginning software use:- Trend worksheet - Cash operating expense allocation worksheet- Worksheets summarizing production and, if possible,

monthly expense allocation- Asset inventory- Debt worksheet- Other income worksheets- Family living expenses worksheet

Worksheets at http://www.agecon.okstate.edu/iffs/

Developing a whole farm/ranch plan

Collect farm financial and production information

Develop enterprise budgets (CLBUD)

Complete Additional Information worksheet (AI)

Record asset and liability information (MULTSTAT)

Load budgets (enterprise budgets and additional information) into MULTSTAT

Review financial statements and summary

Measuring financial performance and positionLiquiditySolvencyProfitability

Financial efficiency

Repayment capacity

Evaluating options for change

Control costs, withdrawals Increase returns Insurance protectionChange enterprise mixChange asset ownershipSupplemental incomeDebt restructuring or rescheduling

Steps in developing alternative financial plans

Outline changes to be madeModify budgetsAdd, remove budgetsRevise balance sheetModify debt worksheetSave new plan

Keys to successfully using financial plans and measures

Develop plans, measures annuallyBe consistent in how they are developedNote reasons for “unusual” measuresUse information to deal with potential

problems before they get out of hand

Getting Quicken data to IFFS

Map Quicken categories to names in IFFS reports, for example:FeedPurch in Quicken to Feed Purchased in IFFSFert and Lime in Quicken to Fert, Lime, Chem in

IFFSChemicals in Quicken to Fert, Lime, Chem in IFFS

Import Quicken data into IFFS

Getting Quicken data to IFFSProgram Action Files

Quicken Print to file Category listMonthly cash flow reports, by class (enterprise)

QLink Import Quicken categories

Import Quicken data

By class (or whole farm)

Generate IFFS data

By class (or whole farm)

IFFS Load QLink- generated files using AI, CLBUD

References

Osuextra.com for fact sheets and current reports IFFS: http://www.agecon.okstate.edu/IFFS/ IFMAPS: http://www.agecon.okstate.edu/IFMAPS/ Center for Farm Financial Management, U of Minnesota:

http://www.cffm.umn.edu Farm Financial Standards Council: http://www.ffsc.org Farm.doc: http://www.farmdoc.uiuc.edu/finance/business.html Iowa State U: http://isufarmeconomyteam.org Montana State U: http://www.montana.edu/extensionecon/index.html National Ag Risk Library, University of Minnesota: http://www.agrisk.umn.edu/ Purdue U Ag Econ Department: http://www.agecon.purdue.edu/extension/ QuickBooks and SPA Texas A&M Extension Economics: agrisk.tamu.edu U of Tennessee: http://www.utextension.utk.edu Virginia Tech Cooperative Extension (Timely Topics newsletter – farm business

management): http://www.ext.vt.edu/cgi-bin/WebObjects/Docs.woa/wa/getnews?cat=tt-news-fmu