Ins-TRUCK-tion Manual: Lease, Buy, or Other?

Description

One major expense of food hubs (and many other Good Food businesses, including farms) is vehicles. How do you decide whether to lease or own? There are many expenses including repair, resale value, potential lost business due to malfunction, typical delivery miles, frequency of delivery, garage fees, etc... How do you weigh all of the financials in a clear way? Farm Credit of the Virginias and Farm Credit Council have created a new tool that will give you a definitive financial answer to that question. We will illustrate how to use this tool with an engaging example so that you may apply it to your unique business situation.

... and then there is a third option: neither lease nor own, but using a third-party trucking company. Though it may seem counter intuitive, there are many cases where this option is the most reliable, and the most cost effective solution. Dennis Derryck of Corbin Hill Food Project, will relate their story of trying all three options, and found great efficiencies, including monetary, using a third-party logistics company.

This webinar will takes through theory and practice of making the right decision for your business.

Recording

Slides

Resources

• Farm Credit buy / lease calculator

Presenter Bios

Dennis Derryck

Dennis Derryck Professor of Professional Practice at The Milano School of International Affairs, Management and Urban Policy at the New School for Public Engagement. He has over 30 years of experience in both research and executive management positions, and he has been involved in three successful start-ups. His most recent start-up, now entering its fifth year, is the Corbin Hill Food Project (CHFP), a mission and values driven social venture that provides fresh food to those who need it most and with a long-term vision of sovereignty.
His most recently published article, with Nevin Cohen, “Corbin Hill Road Farm Share: a hybrid food value chain in practice,” appeared in the Journal of Agriculture, Food Systems and Community Development (www.AgDevJournal.com) and has been reprinted in the current issue of Nonprofit Quarterly He is the former Chair of WE ACT for Environmental Justice and he is currently Vice Chair of South Bronx Economic Development Corporation (SoBro). Dennis has a BSc. in Mathematics from Manhattan College, and MSc and PhD in Education Supervision and Administration from Fordham University.

Gary Matteson

Gary Matteson works for the Farm Credit Council in Washington, DC, which is the trade organization of the Farm Credit System. Farm Credit is a nationwide network of borrower-owned lending institutions, providing credit for the nation’s farmers and ranchers.
As the Vice President for Young, Beginning, Small Farmer Programs and Outreach, Gary seeks to identify and meet the needs of the next generation of farmers and ranchers as a part of Farm Credit’s enduring mission of service to agriculture and rural America. Farm Credit provided some $7.7 billion to young farmers, $12 billion for beginning farmers, and $14.2 billion in financing for small farmers in 2008.
Until recently Gary was a small farmer operating a wholesale greenhouse business in New Hampshire, including raising cattle for the local freezer beef market. He holds bachelor’s degrees in agronomy and biology from the University of Connecticut.

Adam Shiflett

Adam Shiflett is the Commercial Agriculture Team Leader for the Harrisonburg VA area for Farm Credit of the Virginias.  Adam has been an agriculture lender for 15 years with Farm Credit and has headed up the agriculture leasing program for Farm Credit of the Virginias for the past 10 years.  Adams team strives to be a resource for agriculture by providing advice and financial options to producers and agribusiness people so that agriculture can remain strong.
He grew up on a production agriculture farm in the Shenandoah Valley with beef cattle, sheep, and contract broiler houses.  He still enjoys working with a small produce garden and helping on the family farm from time to time.
Adam got his BS degree from VA Tech in Agriculture Economics, his masters in Food and Agribusiness Management from Purdue University, and his MBA from the Kelley School of Business at Indiana University.