If you often find yourself overwhelmed and burdened by a seemingly endless list of tasks, it might be time to embrace the power of delegation.

Effective delegation is a skill that can transform your work life, leading to fewer mistakes, reduced stress, and increased team cohesion.

However, many people struggle with delegation because they confuse it with abdication.

What is Abdication?

Abdication occurs when you hand off a task to a team member without providing clear instructions or guidance.

It’s like expecting someone to fix a fence without giving them a proper understanding of what needs to be done. When the results fall short of your expectations, frustration sets in, and you realise that the task was not delegated effectively.

The Essentials of Effective Delegation:

To delegate tasks successfully, consider these seven essentials:

ONE. Choose the Right Person: Picking the right person for the job is paramount. Ensure the individual has the necessary skills and capabilities to handle the task.

TWO. Match the Task to the Person: Align the requirements of the task with the abilities of the person you’re delegating to. This ensures they can perform the job to the best of their abilities.

THREE. Delegate with a view to empower responsibility: Effective delegation frees you up to focus on higher-value tasks. Teach and delegate essential responsibilities to others, allowing you to invest time in tasks only you can handle. If you do this well, over time, you really can create a freedom farm as your team on more and more responsibility.

FOUR. Empower Newer Staff: Build the confidence and competence of newer team members by delegating smaller tasks to them. This gradual approach helps them grow and contribute more effectively over time.

FIVE. Delegate Full Responsibility: Assign the entire job to a team member, giving them 100% responsibility. This motivates individuals to excel and become more competent.

SIX. Define Clear Outcomes: Explain the task’s objectives and make the outcomes measurable. When you can measure progress, you can manage it effectively.

SEVEN. Encourage Participation and Discussion: Invite questions and be open to suggestions when delegating. The more engaged team members feel in the process, the more they’ll understand, accept, and commit to the task. I personally like to get them to write down what I am asking them to do, and then have them feed this back to me to ensure we are on the same page.

If you find team members are not doing what you ask them, then there is an excellent opportunity to look at how you communicate with them and work on improving this. 

Have a great day,

Robbo

I remember it like it was yesterday.
 

There I was, two years into my journey of helping business owners.
 

The year was 2013, and I was 26 years of age.
 

It was 10am, and I was still in bed.
 

I didn’t want to get up.
 

It almost felt like I couldn’t get up.
 

A thought washed over my mind that I MUST be depressed.
 

Maybe I needed to see a doctor?
 

I just didn’t know what to do. I decided I needed to pack it all in.
 

Time to accept defeat, time to acknowledge that I was broke.
 

I thought I was bankrupt.
 

I called my mentor – an amazing guy named Simon.
 

I told him I needed to speak with him about something important.
 

We met in his office a few hours later. His first words to me were, ‘You look like crap.’
 

I told him I knew – and with that, for the first time in 2 years, in front of Simon, I cried.
 

He asked me what was wrong – and I broke into my story; ‘I’m bankrupt, Simon. I am $180k in debt. Last night was the first time I COULDN’T afford to feed myself. I need to quit. My girlfriend left me last week, my parents think I’m in some sort of cult, and I hate my life. I don’t want to get out of bed. I just want to run away. I feel like a fraud because here I am, pretending to be a Business Coach – but I can’t even look after my own life. 

I am the world’s biggest loser.’  

 

Simon didn’t say much for a while. He just sat back and let me finish talking (and crying) – which actually helped me feel better.

He then asked me three questions that would change my life…
 

‘Would you cut your arms off if I were to give you $1 million dollars?’
 

I looked at him, a little shocked by this question, ‘of course not,’ I said.
 

His second question shortly followed; ‘What about your legs?’
 

‘No’, I quickly answered.
 

What about your eyes – would you allow me to cut your eyes out in exchange for $1 million dollars?’
 

‘Absolutely not’, I firmly replied.
 

He looked at me with a smile and said, ‘You have just told me you are worth at least $3 million dollars, yet I am sitting here and listening to you telling me how sorry you are for yourself and how stressed you are about not having any money.’
 

Simon could see the puzzled look on my face, so he continued.
  

‘You see, Robbo – you are focusing on all the things you DON’T have in your life instead of seeing the things you DO have.’
 

‘You are caught up in the misery of life, and you have become a victim. You have not taken full responsibility for what you have created for yourself. Instead, you are wrapped up in your own crap, in your head – and you THINK your life is over. Yes, you are $180k in debt – BUT WHO THE HELL CARES!’
 

I had never been so shaken. WOW…
 

But in many ways – I knew Simon was right.
 

Over those past two years – I was constantly feeling stressed and worried. I wasn’t having any fun. I wasn’t looking after my health.

I had stopped calling my friends, spending quality time with my family, and I just wasn’t happy at all!
 

And for the first time in 2 years, I started to see that maybe it was ME creating this, and NOT other people or society.
 

Seeing my realisation, Simon added, ‘Robbo – until you believe in you, no one else will. You see – what we believe is what we think. What we think is what we say. What we say, is how other people will treat us, and the way that other people treat us, is what we believe.’
 

I had to get Simon to repeat this – because I needed to get my head around it.
 

He went on, ‘Robbo, it’s what you are saying to yourself, about yourself when you are by yourself that matters most’.
 

Okay, this was starting to really hit home for me.
 

I started to understand that for things to change, first, I must change.
 

That I must be thinking poorly, and this is what was creating havoc in my life.
 

If I change my beliefs and thoughts, maybe I could change my life! Simon had a term for this – ‘STINKING THINKING.’
 

For the next 60 days, Simon helped me with this. He really helped me understand that I needed to work harder on myself than I do on my business.
 

To work on changing my beliefs and my thinking.
 

And for the first time in 2 years – I committed to EVERYTHING he taught me.
 

For the first time in 2 years, I started focusing ON WHAT I HAVE INSTEAD OF WHAT I DON’T HAVE.
 

I started focusing on WHAT I WANTED INSTEAD OF WHAT I DIDN’T WANT.
 

I started to experience gratitude and happiness. And then something interesting started to occur.
 

It happened about three weeks after the meeting with Simon.
 

I went out to visit a prospect who was interested in Coaching.
 

I was in a very positive space – to the degree that I had removed the desperation of needing them to become a client.
 

After a 1-hour meeting – he agreed to become my client. And also, he wanted to pay me for a whole year UPFRONT.
 

I was away, and amazed!
 

Two days later, I signed another client, then another – and within about 30 days, I had more clients than I could handle.
 

I made more income in 1 month than I used to make in a year in my previous job. And it didn’t stop there. I kept focusing on what I wanted.  

 

This stuff was really starting to work. Fast forward two years, I had a team of 25 people, one of Australia’s largest Business Coaching companies (at the time), and a yearly turnover of $3 million per year.
 

We were coaching some of the most successful companies around Australia at the time. Five of our clients were on the BRW Fastest 100 growth list, and one was number one on this list.
 

WE WERE JUST TEACHING THEM TO FOCUS ON GRATITUDE AND WHAT THEY WANTED INSTEAD OF WHAT THEY DIDN’T.
 

And when I look back on it, I realise my entire life and been ‘Flipped’.
 

That I just needed to change myself.
 

I needed to understand HOW to begin working on myself – to believe in myself. This knowledge had SUCH an impact on my life. I knew I had to share it with others.
 

The reality is, It doesn’t matter where you are at.  You can change and improve your life significantly when you finally wake up and realise, ‘ For things to change, first I must.’
 

Have a great week,
 

Robbo 

 

P.S. For those who are interested, we will be hosting a free webinar on September 20th – all about how to create a winning team. You can register for the webinar here: Team Webinar Registration

I had a great 50-minute conversation recently with Ben Law from “The Financial Bloke.”
 

I highly recommend checking out his podcast – Click Here!
 

During our discussion, we delved into the topic of personal and company values, covering various aspects such as:  

• How values can create conflict in family companies. 
• The difference between personal and company values. 
• The importance of defining your company values. 
• Contrasting the values of the older and younger generations. 
• The significance of establishing the right structure for your farm. 
   

I thoroughly enjoyed this conversation with Ben, and I’m confident you will too.

Robbo
 

P.S. For those who are interested, we will be hosting a free webinar on September 20th – all about how to create a winning team. You can register for the webinar here: Team Webinar Registration

A few years ago, I visited one of our members on-farm. 

They are an amazing couple who run a great farm. 

While we were out in the paddock, I asked the owner what his biggest weakness was, and he told me he didn’t make enough time to do the “office stuff.” 

We refer to this stuff as the $500-hour work, which will help you grow your business.

When we returned to his house for lunch, I asked to see his office, and I could instantly understand why he didn’t go in there much.

The office had terrible lighting, there was paperwork everywhere, and it had a slight mould smell.

No wonder he wasn’t motivated to go in there.

I share this a lot, but when the goldfish is sick, you treat the water, not the fish.

In other words, changing your environment is often the key to improving performance.

After I shared this with him, he really got it.

A few weeks later, he sent me a picture and he had: 

• Given it a nice paint job to brighten it up 
• Added a sunroof for lighting 
• Cleaned up all the mess 
• Added a new table and chair 

It was completely different, and he told me he now really enjoyed the new energy of his new office.

Improving any environment where you work can make a big difference.

Have a great day,

Robbo

Most farmers struggle with profits.

Even if your revenues are high, you can still lose money after all your costs, interest payments, and other expenses are paid out.

Like our student Travis..

In the 2014/2015 year, he and his brother had a great revenue on the farm – $2.12Million.

But they actually lost money that year. After they paid back the bank interest, it eroded their profits which led to a NEGATIVE return on equity (-4.2%).

The bottom line: despite high revenue, they ended up LOSING $57,000 in profit that year.

Far out!!

When you’re working so hard on the farm, day in and day out…that’s not a situation any farmer deserves to be in.

Luckily, there are ways to turn it around…

We helped Travis make some changes (which had nothing to do with working harder, by the way) that completely transformed his situation.

Because of these changes, in the 2017/2018 year, his business profit grew to over $500K (a 997%  increase…in just three years!)

So how did these farm owners turn things around?

The first thing they did was analyse their numbers.

If Travis didn’t look at his numbers, he’d still be working his backside off for very little return. And that just doesn’t make sense.

In this blog post, you’ll learn about the 3 key financial figures to analyse your results so you can increase profits.

This ties into Take Stock – Step 2 of the TOP Producers Model, the system that helps our students achieve 4.6% higher returns than the average farmer. 

The Take Stock step is all about understanding and interpreting your numbers so you can make smart financial decisions from them.

And it all starts by understanding these 3 key financial figures…

 

The Importance of Tracking Your Numbers
 

I know what you’re thinking:

“Andrew, I have enough on my plate…do I really need to add one more job in tracking these numbers?”

The answer is “hell yes .” Here’s why…

Think about a pilot…

Even when the flight is smooth, they’re always looking at their dashboard. It’s full of dials that provide feedback – Are we on course? Is the pressure right? Any bad weather up ahead? – which allow them to make good decisions.

Profitable farmers do the same thing. They look at their key financial figures (their “dials”) to measure their businesses and make good decisions going forward.

But don’t worry, you don’t need to study accounting or finance to master this! It starts with just three figures that will help you make profitable decisions in the short-, medium- and long-term…

RELATED PODCAST: Generate More Profit by Getting Your Financial Records in Order

The Cash Flow Statement (Short-Term)
 

What it is: A snapshot of how much liquid cash you have available

How often to analyse it: Weekly when things are tight, but monthly is ok

There’s a saying: “Sales are vanity, profit is sanity, but cash is reality.”

The Cash Flow Statement tells us what’s going on in the business right now. You can think of this as your ongoing day-to-day budget – it’s the liquid cash you’ve got to play with.

Did you know more businesses fail due to a lack of cash flow than making trading losses? That’s why it’s key to track your cash flow and make sure you always have enough to keep the farm afloat. 

 

I also recommend farmers create a Cash Flow Forecast, where you predict your revenue and expenses for a year. This allows you to roughly predict incoming cash and outgoing cash…so you can spot any bottlenecks before they occur.

For example, let’s say you notice on your Cash Flow Forecast that in July, your costs are very high. You could take action to balance that out by:

1. increasing revenue
2. decreasing costs, or
3. negotiating with a supplier to pay the goods at a later date 

Maintaining your Cash Flow Statement really helps you make good decisions and look for cash gaps.

You’ll also get better as you go. Your first year, you might not be very accurate in your predictions and that’s okay! Every year, you’ll learn more by tracking your numbers and you’ll get better at predicting your cash flow.

Profit and Loss Statement (Medium-Term)

What it is: A recording of your true revenue and expenses

How often to analyse it: Yearly and also quarterly. (If you can do it monthly, too, that’s ideal.)

While the Cash Flow Statement focuses on liquid cash, your Profit and Loss Statement takes into account non-cash assets and costs to give you an accurate picture of what the business actually made in profit over a period of time. 

 

I recommend breaking your income down by category, so you can see which crops and products are bringing in the most revenue over time. You may decide to reallocate land to focus on your highest-revenue products and get rid of ones that aren’t bringing in much money.

You’ll also see your true expenses (including things like finance, tax, and FCF) pulled together in one place. This helps you spot any areas where you can reduce your costs…or maybe even eliminate an entire category if you don’t truly need it.

Analysing your Profit and Loss Statement helps you make great future decisions. You can also use the data to update your budgets in the Cash Flow Forecast, so you’ll have even better predictions going forward.

Balance Sheet (Long-Term)

What it is: A statement that records ALL of your assets and liabilities to give you a clear idea of your true Net Worth

How often to analyse it: Yearly (your accountant should provide this to you on an annual basis, which makes it easy!)

Your Balance Sheet totals all the cash in the business account and the value of all the assets (land, plants, livestock, etc.)…

And also includes all of your liabilities (money owed to suppliers, banks, etc.)

This shows your true Net Worth: the equity left over when you take EVERYTHING into consideration.  

Your goal is to increase your Net Worth every year.

The Balance Sheet paints a great picture of where you’re going on a long-term basis. It helps you objectively see if you’re improving year on year. It’s also a very good indicator of the ability of the business to cope with poor seasons or prices.

RELATED PODCAST: It’s How You Respond to the Drought that Matters Most

Putting It All Together: What to Track When
 

So how do these financial figures fit into the farming season? Here’s a quick breakdown:

Start of the Farming Season: Analyse & Plan:

• Set goals
• Project forward:
  • Cash Flow Forecast
  • Profit and Loss Statement
  • Balance Sheet

Each month of the farming season: Implement and Track:

• Monitor Cash Flow
• Profit and Loss Statement (recommended monthly but not required) 

After the farming season has finished: Evaluate and see how it compared to your estimates:

• Profit and Loss Statement
• Cash Flow Statement
• Balance Sheet

   

You’ll use your evaluations from the end of the season to help you project forward at the start of the new season. 

It comes back to what I always say…

Sometimes, you need education to change direction instead of motivation to speed up.

When you measure your numbers, you’ll see the full financial picture of what’s really happening on the farm. Then you’ll have the ability to make tweaks that can improve the overall performance of your business.

A profitable farm starts with these 3 simple financial statements.

Don’t just think about tracking your numbers. Let’s DO IT.

Unless you have a system to track and review your numbers, you can’t use this priceless financial information to make better decisions that lead to higher profits.

Inside our Take Control Program, you’ll learn our proven system to track and review your key financial figures – along with spreadsheets and formulas to make it all so simple.

Click here to learn more about Take Control and sign up for the program.

Between Greg and I, we’ve been working with farmers for 50 years.
 

And during that time, we’ve noticed a really troubling trend:
 

Most farmers stay stuck, forever.
 

Longer than forever, actually…
 

Because they spend a lifetime stuck and then pass that legacy down to their kids and then they stay stuck and the cycle continues for generations.
 

We’ve also seen the other side…
 

Our Farm Owners Academy students make, on average, 4.6% higher Returns on Assets Managed than the average Australian farmer – meaning that they make $108,000 more every year (assuming a $3million property).
 

In analysing the TOP producers compared to the average “stuck” farmers, we noticed 7 key mistakes that the average farmers were making.
 

These mistakes keep the average farmers stuck, grinding away but never achieving the financial success they know they’re capable of.
 

The good news is that all 7 of these mistakes are fixable. Once you learn what they are, you can improve on them and get out of the “stuck” cycle for good.
 

In this blog post, we’ll break down each mistake and then give you the first action step to fix it:
 

Mistake 1: Thinking They Don’t Have Enough Time
 

I’m the son of a wool farmer so I know how busy you are.
 

You’re working 10, 12, 14 hours every day…and there’s still work to be done when you pack up at night.
 

So it makes sense that you reckon lack of time is your problem.
 

But in reality, it’s not about time management…it’s about priority management.
 

The most profitable farmers manage to find time to grow their businesses. So you can, too.
 

It’s really about focusing your limited time on the MOST important tasks. It’s about getting clarity on the $500/hour tasks that will really propel your business forward… and hiring help to do the $25/hour jobs that eat up your time.
 

Your first step to cure this mistake: Open yourself up to the possibility that you DO have enough time.

There’s so much power in the beliefs we have. (We’ll talk more about this in our next blog post.) So if you keep telling yourself, “I don’t have enough time,” you’ll never have enough time!

 
The key is to start paying attention to how you use your time. Throughout your day, ask yourself: “Is this really the best use of my time? Is it moving me towards my big goals? Or would I be better off hiring someone else at $25/hour to do this job?”

(Priority management is a key module inside our Take Control Program. Many people have told us that this is the best time management course they have ever done and that they have tripled their productivity since completing this module! Click here to learn more.)

Mistake 2: Lack of Big Vision

For most farmers, there’s so much to do on the farm that they’re not really thinking big picture.

They’re just trying to get through the day! They never think about how it will affect their year, 3-year picture, 10-year picture, or the life of the farm.

As a result, they keep repeating the same day, month, and year over and over again…never really improving or growing.

To get un-stuck, you need to create a big vision of where you want the farm to be 10 years from now.

Really let yourself dream and imagine how great life could be if the farm was more profitable and could run without you. What would that look like?

And here’s the kicker…

Don’t be skeptical about this. Don’t fall into the trap of thinking anything that looks good is too good to be true. Don’t reject the idea that you have the ability to transform your life.

(Farm Owners Academy students like the Freak Family who took a five-month holiday and David who cut his work hours in half have already proven that it’s possible!)

You CAN have more money, time, and freedom on the farm. But you have to be open-minded or you’ll miss the opportunities in front of you.

This picture says it all:

Your first step to cure this mistake: Start believing in what’s possible. (A coach is a massive help here!)

A coach will see more in you than you will. I should know…a coach pulled me out of my darkest time and helped me build two million-dollar businesses…simply by helping me believe in that bigger vision!

You can speak to one of our coaches for a free session where you’ll start to see the possibilities in front of you. (What do you have to lose…it’s free!)

Click here to book a complimentary coaching session with a farmer.

Mistake 3: No Ongoing Education

If you think education is expensive, try ignorance!

All jokes aside, ongoing education is something all top farm owners invest in. The stuck farmers reckon they know it all…but the profitable farmers know there are always ways they can improve.

TOP producers are constantly learning. They’re listening to podcasts, reading books and articles, taking courses. They’re always looking UP – to people who are doing it better than them and can help them continue to get better.

RELATED PODCAST: The More You Learn, the More You Earn

Henry Ford said: “Anyone who stops learning is old, whether at 20 or 80. Anyone who keeps learning stays young. The greatest thing in life is to keep your mind young.”

I don’t know about you…but I want to stay young. Top farmers never reach a point where they stop learning. That’s when you plateau, which is a fancy word for “stuck.”

The good news is that you’re here reading this blog, which shows me you’re taking steps to learn and grow. You’re already ahead of the game!

Your first step to cure this mistake: Learn with us (for free).

Hop on our FREE webinar The 3-Step System for a Highly Profitable Farm to learn how to free up 20 hours in your week (yes, really!)

You’ll walk away with proven strategies to better leverage your hours, so you can make time for the high-level work to grow your business. This is an easy step to continue your education and become the best farmer you can be.

Click here to sign up for the training.

Mistake 4: Letting Fear and Doubt Stop Them from Having a Go

Here’s something I’ve learned over my 20 years as a business coach…

Doubt kills more dreams than failure ever will.

A comfort zone is a beautiful place…but nothing ever grows there. The only time you’re actually growing is when you’re uncomfortable and stretching yourself to be better.

Average farmers let fear and doubt dictate their actions:

●       What if I try my hardest and it doesn’t work out?

●       Am I really good/smart/strong enough to do this?

●       What will people think if I fail?

The fear and uncertainty stop most farmers from taking action, forever staying stuck in place.

But successful farm owners know that fear is part of the process of growth. So they feel the fear…and then do it anyway.

As I always say, you can’t steer a parked car. You need to be moving! Even if you’re driving in the wrong direction, that’s okay — you can use your momentum to turn around and try again.

TOP Producers know that failure is just feedback to start again more intelligently. And they’re not afraid of messing up…they’ll just get back up and start again.

Your first step to cure this mistake: Because the fear of failure is something we all struggle with, we recorded a podcast episode to talk more about ways to outsmart it. Click below to listen:

RELATED PODCAST: How to Deal with the Fear of Failure

Mistake 5: C.A.T.F.W.

Complaining

About

The

F*cking

Weather
 

Enough said. 😉
 

Seriously, though. There are plenty of things you can’t control in farming – the weather is one of them.

A TOP Producer will make money, no matter what the weather is. An average, stuck farmer won’t make much money, even if the weather’s perfect.

RELATED PODCAST: It’s How You React to the Drought that Matters Most

You can complain about the weather all day and blame it for your misfortune. OR…you can get serious about creating a business that won’t be broken by one or two bad seasons.
 

The choice is yours.
 

Your first step to cure this mistake: Stop CATFW. It’s that simple!

Mistake 6: All Learning, No DOING
 

Most people believe that knowledge is power. But knowledge is only potential power.
 

Implementation is the true power.
 

Success is rather simple:
 

1. Plan the things you need to do to grow your business
2. Do them

That’s it!
 

Some people succeed because they are destined to. But most people succeed because they are DETERMINED to.
 

Actually doing all the things you plan to do is the difference between staying stuck and being successful.
 

This is why coaching is so powerful.
 

A coach doesn’t just help you strategise how to grow your farm, they’ll also push you to follow through. They won’t accept excuses or let you coast by. They’ll help you make the time and create the systems so that you’re taking action every day, week, month, and year, to help you achieve your big 10-year vision.
 

Your first step to cure this mistake: If you’re really ready to commit to taking action and making big changes to increase your farm’s profits, check out our Take Control Program.
 

This is a 12-week coaching and mentoring program to help you become the best farmer you can be. Click here to learn more about Take Control.
 

Mistake 7: Not Following a Model
 

Many farmers go to courses and learn about the technical aspects of farming, but they don’t know how to put it all together.
 

They don’t understand how to balance the mindset stuff with the action steps with the day-to-day running of the farm. As a result, nothing really changes.
 

That’s where a model comes in.
 

A model gives you a framework to follow. It’s a set of processes that, when put together, help you achieve your goals and objectives.
 

It’s kind of like paint-by-numbers. You simply follow the steps inside the model and before you know it, you’re making huge progress towards your big vision.
 

When you take a passionate farmer and add the right business model it leads to PROFOUND RESULTS.
 

At Farm Owners Academy, we created a business model that is proven to help you maximise your returns. When you give yourself a few years to implement this model, you’ll completely transform your business and your life.
 

Your first step to cure this mistake: Read next week’s blog post. We’re going to start walking through the TOP Producers Model. ← This is the model you need to transform your farm!

“Some people get results, other people find excuses.” – Arnold Schwarzenegger
 

What about you?
 

Are you ready to step up and become the best farmer you can be? Or will you continue making excuses for why you’re staying stuck?
 

I really hope you choose Option #1. Because over the next few blog posts, you’re going to learn the model to help you transform your farm.