The growing season
Cumulative cash = collected proceeds − costs paid
Peak need = largest negative balance before or after collection
The chart records the final monthly cost before harvest collection, so the funding peak is visible even when sale proceeds arrive in the same month.
ILLUSTRATIVE SCENARIO
The inputs are a fictional single season with zero opening cash. It assumes cash collection at harvest and excludes household spending, taxes, crop losses, credit interest, insurance and existing savings. The closing balance is a cash-model output, not investment profit or an expected farmer income.
What the model shows
A production budget needs to show when money is paid and when proceeds can arrive. The model makes that interval visible, including the final cost before collection.
It starts with zero opening cash and one crop season. Initial costs are paid at planting, monthly costs continue to harvest, and the assumed proceeds are collected after the last monthly expense. The peak deficit is the lowest cumulative balance.
Read the assumptions
It excludes household spending, credit cost, taxes, insurance, crop losses and interim income. A real assessment must also consider savings, debt and adverse production or price conditions.
Agricultural finance