Ask a farmer whether last season made money and many will say, “I think so.” That uncertainty is expensive. Without records, you cannot tell which crop is paying, where money is leaking, or how much you can safely borrow. Keeping simple farm records is the single most useful financial habit a farmer can build, and it needs nothing more than a notebook.
Why records matter
- You see your real profit. Sales minus every cost, not just the cost of seed.
- You compare crops and seasons. Records show which crop, plot or planting date earned the most.
- You build trust with lenders and buyers. A chama, SACCO or bank is far more willing to lend to a farmer who can show what the farm earns. Big buyers prefer suppliers who track quantities and quality.
- You plan better. Next season’s budget starts with this season’s numbers.
What to record
Keep it simple. For each season and each crop or fish cage, write down:
- Inputs bought: seed, fingerlings, fertiliser, feed, chemicals. Date, item, quantity, cost.
- Labour: paid workers and the days they worked. Note family labour too, even if unpaid, so you know the true effort.
- Other costs: transport, water, equipment hire, market fees, packaging.
- Harvest: date and quantity (kg, bunches, crates).
- Sales: date, buyer, quantity sold, price per unit, total received.
- Losses: produce that spoiled, was stolen or could not be sold.
A simple notebook layout
Divide a page into columns: Date | Item | Money Out | Money In | Notes. Write in it the same day you spend or earn. At the end of each month, add up the two money columns.
Working out your profit
At the end of the season: Total money in minus total money out = profit (or loss). Here is an illustrative example for a small vegetable plot:
- Seed, manure and fertiliser: KES 6,000
- Labour: KES 8,000
- Transport and market fees: KES 3,000
- Total costs: KES 17,000
- Total sales: KES 28,000
- Profit: KES 11,000
Divide the profit by the number of weeks the crop took and you can compare it fairly with another crop or another use of your time.
Making it stick
- Keep the notebook in one place and write the same day.
- Keep receipts and M-Pesa messages; they are records too.
- Review your numbers with your chama or a trusted friend each month.
- Start with one crop if the whole farm feels like too much.
Records are the foundation of every other money decision: budgeting, saving and borrowing. In upcoming issues of the Sirongo Farm Digest we will build on this with season budgeting and how to read a loan offer before you sign.