Before the Miss: Using Data to Lead Through Agricultural Uncertainty

Today’s conversation hits at the heart of what many lenders are feeling, but aren’t saying out loud. The pressure on farmers right now is real and increasing, and it is showing up on lender balance sheets. The question is no longer if risk will surface, but when and how prepared are we to see it coming? Do you know how to lead through uncertainty without waiting for the warning signs to become problems? This episode of the Forward Thinking Podcast features FCCS SVP of Marketing and Communications Stephanie Barton and Cameron Burford, Managing Director of SaaS at Growers Edge. Their conversation focuses on the role that data, land intelligence, and proactive risk management can play in helping leaders move from reactive to resilient. 

 

Episode Insights Include:

Insights into the ag market

• The ag market is in a downturn nationwide.

• The farm credit commitment to support farmers in good times and bad holds true in today’s cycle.

• Forecasts for 2026 are not promising.

• What, if anything, will get planted this year?

 

The lender risk of dropping farmland values

• The borrower’s balance sheet is the farmland collateral coverage.

• Deteriorating land values decrease favorable ratios significantly.

• Factors that contribute to risk before stress is visible.

• Missing payments is not the first sign of risk.

• Catching early indicators gives lenders time to do something about it.

 

Understanding adverse assets 

• Definitions for key adverse asset terms.

• Recognizing the early indicators of a higher risk profile can position lenders to effectively partner with farmers.

• Workouts and adverse assets have a negative relationship with borrowers.

 

Lessons for Midwest lenders 

• High-profile bankruptcies in California can provide lessons for Midwest lenders.

• Input and commodity pricing, as well as geopolitical risks, are affecting balance sheets and land value.

• Leading lenders are watching land values and other leading indicators.

 

The cost of reactive mode

• Direct costs will show up on spreadsheets.

• By being proactive, high costs can be avoided.

• Subsequent time can be spent helping farmers grow their operations.

• Every dollar tied into cleanup is an hour spent not serving the farmer.

 

The role of land intelligence and collateral data in a portfolio’s health

• Data can paint a living picture of a borrower’s portfolio.

• Insights available today are vastly different from those of the past.

• Risk profiles are more robust today because of better data.

• Lenders need to focus on “seeing, saying, and serving” their borrowers.

 

Proactive risk management culture

• A proactive risk management culture can be a company’s greatest growth engine.

• A team that is all growing in the same direction should be the goal.

• Winning looks like acknowledging that you can position yourself for success now.

 

This podcast is powered by FCCS.

 

Resources

 

Connect with Cameron Burford – Cameron Burford

 

Get in touch – [e-mail]

 

“These factors can contribute to risk before stress is even visible.” — Cameron Burford

 

“If you can catch these early indicators, you can do something about it.” — Cameron Burford

 

“Every dollar tied into cleanup is an hour spent not serving the farmer.” — Cameron Burford

 

“Lenders need to focus on ‘seeing, saying, and serving’ their borrowers.” — Cameron Burford