Ag Lenders
Better Loan Decisions Start With Knowing the Farmer’s Break-Even.
Grain Basis gives ag lenders a clear, standardized picture of a farm operation’s true cost of production and grain marketing plan — so you can assess risk with real numbers instead of estimations.
The Problem Every Ag Lender Knows Too Well.
You’ve done this long enough to know that “feels right” is not a repayment strategy. But without hard numbers from the farmer, your risk assessment is built on the same guesswork they’re using to market their grain.
Grain Basis changes that conversation entirely.
What a Grain Basis Report Shows You
When a farmer uses Grain Basis, they can generate a standardized report that gives you a clear picture of their operation — one you can actually underwrite against. That report includes:
- True cost of production broken down by crop and input category
- Break-even price per bushel at current cost and yield assumptions
- Percentage of crop already priced vs. still open and exposed to market risk
- Contract types in use — cash sales, forward contracts, HTA, storage
- Grain marketing plan with target price levels and timeline
- Season-to-date marketing history showing how the farmer has executed past decisions
This isn’t a projection or a loan application narrative. It’s a live snapshot of where the farmer actually stands — built from their own numbers, not industry averages.
How This Changes Your Risk Assessment
| The Challenge Today | With a Grain Basis Report |
|---|---|
| Farmer doesn’t know their break-even | Grain Basis calculates it precisely from their actual cost inputs |
| Hard to compare risk across your farm portfolio | Standardized reports make side-by-side comparison straightforward |
| Loan renewal conversations are vague | Review the farmer’s full season marketing history at every renewal |
| No visibility into how much crop is still unpriced | Open vs. priced position is tracked in real time |
| Difficult to identify high-risk borrowers early | Break-even vs. current market price flags margin pressure immediately |
A Practical Tool — Not a New System to Learn
Grain Basis doesn’t require any integration with your bank’s software. There’s nothing for your team to install or manage. The farmer generates their report and shares it with you as a PDF — the same way they’d share a tax return or a balance sheet.
What changes is the quality of the conversation. Instead of asking a farmer to estimate their cost of production from memory, you can ask them to bring their Grain Basis report to the loan review. The numbers are already there.
Recommending Grain Basis to Your Farm Borrowers
Many lenders find that recommending Grain Basis to a borrower starts a useful conversation about grain marketing discipline — one that pays dividends in repayment reliability over time.
- Recommend Grain Basis to borrowers during the operating loan application process
- Request a Grain Basis report as part of the annual loan review package
- Use the break-even figure as a reference point in repayment planning discussions
- Identify borrowers whose cost of production exceeds current market prices early — before it becomes a problem
FAQ
- Is this easy enough for farmers to actually complete on their own?
Most farmers are up and running within minutes. The inputs are straightforward — acres, crops, basic cost categories they already know. For borrowers who aren’t comfortable with technology, their grain consultant or advisor can set it up and manage it on their behalf. - Is the report detailed enough for a proper loan analysis?
The report includes cost of production by crop, break-even price per bushel, total priced vs. open bushels, contract types in use, and a full marketing plan with price targets. It gives you a standardized, operation-specific snapshot that goes well beyond what most farmers can articulate verbally in a loan review. - How do I introduce this to a borrower without it feeling like an added requirement?
Frame it as something that benefits them first. A farmer who knows their break-even walks into every marketing decision — and every loan renewal — with more confidence. Lead with that. The visibility it gives you is a secondary outcome you don’t need to make the centerpiece of the conversation. - Can I use this consistently across my farm loan portfolio?
Yes — and that’s one of its strengths. Because every Grain Basis report uses the same structure, you can compare risk profiles across borrowers in a standardized way, something that’s nearly impossible when each farmer tracks their operation differently. - What if a borrower already works with a grain consultant?
Even better. Consultants who use Grain Basis manage the platform on behalf of their clients, which means the report will be more complete and more current. You can request it directly from the farmer, and their consultant will typically have it ready.
Please fill out the form below to contact us with any additional questions. All communications remain strictly confidential.
GRAIN BASIS FREE CROP MARKETING GUIDE
We’ll walk you through a sample report and show you exactly what data it contains.