The types of farm records, their importance, and their meaning will be discussed in this article. African farmers are not used to keeping their farm records and accounts solely because they have not learned, so they have poor farm management skills.
Farm records are the documentation or the writing down of all the activities that are taking place on the farm. It is a written document showing major activities going on in the farming business. Farm records are different from farm accounts in the sense that farm accounts deal only with the financial aspects of all farm operations.
Types of Farm Records
There are different types of farm records, and they are
- Farm Inventory
- Sales Record
- Farm Diary
- Production Record
- Purchase Record
- Labour Record
Farm inventory: It is a complete listing of all farm assets and materials. Farm inventory includes an estimate of the market value of all materials. This is usually recorded on the last day of the business year.
Farm diary: This records every activity carried out daily on the farm. A typical farm diary shows the type of work done daily, date, number of workers, time spent, and other important things.
Sales record: This record shows what customers purchase and how they pay their bills. In the record, the contact of customers is also documented. Your company’s sales records will likely prove your most valuable marketing information source.
Production record: It is used to document everything that is produced on the farm every week. Afterward, they are summed up at the end of the month and the year’s end.
Purchase record: It is used to document all goods purchased and will include a description of the goods, the cost of the goods, and the name and address of the supplier.
Labor record: This is used to document the number of workers that worked on the farm daily, then summed up monthly and yearly. It also helps to keep track of the amount of time spent per worker on given tasks. Labor records track workers’ hourly wages, job descriptions, etc.
Read: Reasons why farmers are better than teachers
Importance of Farm Records
- A farm record helps a farmer know whether he makes a profit.
- It helps to keep stock and manage each aspect of the farm properly
- It helps to know the worth of the farm.
- It helps to make future planning and budgeting.
- It helps farmers make proper farm management.
- Farm records also help to compare farm yields realized from year to year.
- The farmer may use it as a collateral security to obtain, i.e., it is helpful when the farmer needs to access financial aid from banks or other financial institutions.
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