Your Farm Business Podcast

Matt O'Dea walked into a big four bank at seventeen and walked out roughly thirty years later, having run the agricultural division for South Australia and Western Australia. He now runs O'Dea Farm Finance from the Clare Valley — and he is unusually candid about how farm credit decisions actually get made.

Mike Krause asks him what has really changed since the Hayne Royal Commission. Recommendation 1.114 requires banks to use experienced agricultural bankers on distressed farm loans and to offer farm debt mediation early. Meanwhile more than one in three regional branches have closed since 2017, credit decisions have moved to centralised city teams, and agricultural lending has grown to $120 billion.

In this episode:

• Why compliance, not interest rates, is the biggest change since the Commission
• How closely banks actually read your cash flow — and why it depends on your debt level
• What changed with land valuations, and when paying for an independent one is worth it
• The structural mistake Matt sees constantly: 80% of debt on the overdraft, 20% on the cheaper term loan
• Who really approves your loan, and why it is not your local banker
• Why brokers went from 1 in 10 agricultural loans to nearly 5 in 10
• Looking past the headline rate at line fees, management fees and undrawn limit fees
• What happens inside a bank's "bad bank" — and why farm debt mediation is not offered early enough

Matt also discloses his own incentive: brokers earn an upfront fee when a client switches banks and only a trailing commission if they stay. He explains why he still tells people not to move if their existing bank is competitive.

Chapters:

00:00 Introduction: the Royal Commission and shrinking branches
01:59 Matt's background: 30 years inside a big four bank
03:52 The biggest change since the Commission: compliance
04:21 Know your customer, and the new focus on cash flow
06:33 Does the bank actually read your cash flow?
07:46 Land valuations after the Royal Commission
10:07 When an independent valuation is worth paying for
11:05 Branch closures, centralised credit, lost local knowledge
12:59 Two hard seasons, and bankers who haven't seen them
14:16 Where farmers should go now for finance support
17:52 Does the bank care if you know your own numbers?
18:44 Broker share: from 1 in 10 to nearly 5 in 10 ag loans
19:49 Who approves the loan — the credit manager, not your banker
22:29 Is it worth shopping your finance around?
24:05 Look past the rate: the fees that add up
24:59 Matt's full disclosure on broker incentives
26:56 Loyalty when things get tight, and farm debt mediation
27:41 Inside the "bad bank"
29:57 Why mediation isn't offered early enough
32:44 Generational shift: loyalty versus price

Guest: Matt O'Dea, O'Dea Farm Finance, Clare Valley, South Australia
Host: Mike Krause, CEO of P2P Agri

The information in this episode is general in nature and does not take account of your individual circumstances. It is not a recommendation to take any particular course of action. Please seek advice specific to your own situation before making financial decisions.

Learn more about P2P Agri: https://p2pagri.com.au

Most farmers are told to know their numbers. Lisa Jeitz actually does. In this episode of the Your Farm Business Podcast, Mike Krause steps inside the farm office of a 6,500 hectare cropping operation in Esperance, WA, run by someone who spent more than a decade as a farm business management consultant before becoming the farmer herself.

Lisa shares the systems that keep the business on track: cash flow as the number one budget (under a company structure, staying solvent is a legal obligation for directors), printed reports for the family every second month, and a 20-plus year spreadsheet of yields, prices and input costs with no gaps in it.

She also explains the grain marketing approach that helps her sleep at night: standing targets of $400 plus for wheat and $800 plus for GM canola, set so every tonne sold locks in a profit, not just break even. Plus the KPI that keeps a self-confessed "shiny new things" machinery habit honest: finance payments capped at 10% of gross farm income.

WHAT YOU'LL LEARN:

• Why cash flow budgeting comes first when you farm under a company structure
• How comparing planned vs actual gross margins sharpens next year's decisions
• Why Lisa budgets with 5 to 10 year average costs (memory says everything was cheap; the spreadsheet says otherwise)
• Setting grain price targets that lock in profit, not break even
• The 10% rule: keeping machinery finance under 10% of gross farm income
• Why new technology has to pay for itself within one to five years
• The management balance sheet: measuring growth with and without rising land values
• Why they chase more profit per hectare instead of expansion
• Succession thinking: why the kids can't come home before 25
• Lisa's advice for anyone starting in the farm office: do the numbers thoroughly and keep the records

CHAPTERS:

0:00 Welcome 
01:02 From farm consultant to Esperance farmer 
02:44 The farm: 6,500 hectares, 
100% cropping 
04:58 Cash flow comes first: budgeting as a company director 
06:50 Gross margins: planned vs actuals 
08:52 Twenty years of records: budgeting on long-term averages 
10:17 Pricing crop two years ahead 
11:52 Price targets that lock in profit, not break even 
14:02 The 10% machinery finance rule 
16:20 Optimal timing: the key driver of success 
17:03 Why water use efficiency doesn't suit Esperance 
19:16 A farmer's balance sheet vs the accountant's P&L 
20:22 Measuring growth without rising land values 
21:43 Five year budgets and the expansion question 
23:52 Their "why": more profit from the same land 
27:12 The next generation: not home before 25 
28:35 Hindsight and advice: do the numbers early 
31:07 "Charlie from Clarkson's Farm" and closing thoughts

ABOUT THE GUEST:

Lisa Jeitz farms 6,500 hectares of wheat and canola with her husband Kirk at Esperance, WA. A farmer's daughter with an ag science degree from UWA, she worked as an agronomist before spending more than a decade as a farm business management consultant with an accounting firm, experience she now applies daily in her own farm office.

LINKS & RESOURCES:

• P2P Agri (free demo & Essentials tier): https://p2pagri.com.au
• Plan to Profit financial literacy course (search "plan to profit tocal")
• "Farming the Business" by Mike Krause (GRDC)

SUBSCRIBE for more conversations with the people shaping the future of Australian farm business.

#YourFarmBusinessPodcast #P2PAgri #FarmFinance #FarmBudgeting #AustralianAgriculture

Learn more about P2P Agri: https://p2pagri.com.au

When the bank says yes to a $3 million loan, does that make it a good decision? Not necessarily. In Episode 13 of the Your Farm Business Podcast, host Tom Moir sits down with Mike Krause, founder and CEO of P2P Agri, to unpack the real relationship between farmers and their banks — and how to walk in with confidence.

Drawing on four years as a bank economist and three decades helping farmers put their numbers together for lenders, Mike explains what actually motivates a bank (hint: it's their shareholders, not your profitability), the three things every lender checks before approving finance, and the one grey area where a well-prepared farmer can genuinely move the needle on their interest rate.

It's a clear-eyed look at lending — why "set and forget" can quietly cost you, why the bank should never be your final decision-maker, and how to make the bank a partner rather than a risk.

WHAT YOU'LL LEARN:

• What really motivates a bank — and why their interests aren't the same as yours
• The three things every lender assesses: security, ability to repay, and you as a manager
• Why seasonal finance is priced differently to a land loan — and the catch with line-of-credit facilities
• The "set and forget" trap, and a cautionary tale of a farm sitting at 17% equity
• Why shopping your business around every few years keeps the big four honest
• The documents that get a loan over the line: business plan, cash flow, balance sheet
• How banks treat trends like carbon farming, green loans and AI
• Two banking myths worth debunking — and how to actually be "bank ready"

CHAPTERS:

0:00 Welcome 
00:57 Mike's background with banks 
02:01 What actually motivates a bank to lend 
04:34 The three things every bank looks for 
09:39 Seasonal finance vs buying land 
13:04 Common mistakes farmers make with banks 
16:26 What documents to bring to the bank 
18:47 The danger of "set and forget" — a cautionary tale 
21:54 Carbon farming, green loans & AI in banking 
25:29 How to be "bank ready" 
27:30 Two banking myths to debunk 
29:00 Where to find the financial literacy course 
31:05 Closing thoughts: treat your bank as a partner

ABOUT THE GUEST:

Mike Krause is the CEO and founder of P2P Agri, an Australian software and training business that helps farmers analyse profitability, model "what-if" scenarios, plan succession and make confident long-term decisions. P2P Agri delivers training one-on-one and in partnership with TOCAL Ag College in NSW.

LINKS & RESOURCES:

• P2P Agri (free demo & Essentials tier): https://p2pagri.com.au
• Plan to Profit financial literacy course — search "plan to profit tocal"
• "Farming the Business" by Mike Krause (GRDC)

SUBSCRIBE for more conversations with the people shaping the future of Australian farm business.

#YourFarmBusinessPodcast #P2PAgri #FarmFinance #AustralianAgriculture #FarmBusinessManagement

Learn more about P2P Agri: https://p2pagri.com.au

Most farmers judge their accountant by one number: how little tax they paid. But is that the right measure? In Episode 14 of the Your Farm Business Podcast, host Tom Moir sits down with Mike Krause, founder and CEO of P2P Agri, to unpack the relationship between farmers and their accountants, and the assumptions that can quietly cost you.

Drawing on a consulting career spanning 200-plus farms, Mike explains what really motivates an accountant (protecting their ATO accreditation and minimising your tax, not necessarily growing your profit), and shares the moment that opened his eyes: a farmer who'd posted five straight years of losses, whose accountant never mentioned it because "that's not my role."

It's an honest look at where accountants add real value, where farmers expect too much, and why sometimes paying a bit more tax is the smartest decision you can make.

WHAT YOU'LL LEARN:

• The two things that actually motivate your accountant, and why they're conservative by design
• Why your tax numbers and your bank numbers are not the same (and the 1966 land value still on the balance sheet)
• The "$1.2M header trap": how chasing a tax deduction can leave you exposed in a drought
• Tax strategies farmers often overlook: FMDs, prepaying inputs, machinery timing, business structures
• Why more trusts and structures mean more tax returns, and more fees
• How to set up a chart of accounts that works for you, not just the ATO
• Why government incentives and depreciation write-offs shouldn't drive your decisions
• How to work with your accountant year-round, not just at tax time
• Where AI may take tax and accounting in the next five to ten years

CHAPTERS:

0:00 Welcome 
01:20 Mike as "a farmer's accountant" 
02:31 The accountant's perspective: two motivations 
07:19 Don't assume your accountant sees the whole picture 
08:25 Balancing tax minimisation with long-term growth 
10:58 Do farmers expect too much? (Accountants make mistakes too) 
13:22 Tax numbers vs bank numbers: why they differ 
16:09 The $1.2M header trap: when minimising tax backfires 
18:48 Tax strategies farmers often overlook 
22:26 Record keeping, technology & your chart of accounts 
25:54 Government incentives & changing tax laws 
28:43 How to work with your accountant year-round 
30:35 The big myth about farmers and accountants 
32:05 The future: AI and the accountant 
35:11 How the P2P Agri software fits with banks & accountants 
38:24 Closing thoughts

ABOUT THE GUEST:

Mike Krause is the CEO and founder of P2P Agri, an Australian software and training business that helps farmers analyse profitability, model "what-if" scenarios, plan succession and make confident long-term decisions. P2P Agri delivers training one-on-one and in partnership with TOCAL Ag College in NSW.

LINKS & RESOURCES:

• P2P Agri (free demo & Essentials tier): https://p2pagri.com.au
• Plan to Profit financial literacy course (search "plan to profit tocal")
• "Farming the Business" by Mike Krause (GRDC)

SUBSCRIBE for more conversations with the people shaping the future of Australian farm business.

#YourFarmBusinessPodcast #P2PAgri #FarmFinance #FarmTax #AustralianAgriculture

Learn more about P2P Agri: https://p2pagri.com.au

Succession planning is one of the biggest risks any farming family will face — and one of the most avoided. In Episode 12 of the Your Farm Business Podcast, host Tom Moir sits down with Mike Krause, founder and CEO of P2P Agri, for an honest conversation about getting the farm from one generation to the next without tearing the family apart.

Mike has helped around 20 farming families work through succession — with outcomes ranging from genuine success to outright disaster. He shares what separates the two: open and honest communication, a skilled third-party facilitator, and a willingness to name the "elephants in the room" before they detonate. He also explains why fair doesn't always mean equal — and why treating every child identically can be the very thing that ends the farm.

From the worst case he's witnessed (a son who gave the farm ten years, only to have his future end at the reading of the will) to the brothers who split a property and both thrived, this episode is full of hard-won, practical wisdom.

WHAT YOU'LL LEARN:

• Why succession is really about management and control — not just money
• Fair vs equal: how to keep the farm viable without leaving siblings behind
• The "hand grenade" facilitator — and why combative lawyers and accountants make it worse
• Mike's facilitation process: one-on-one conversations, setting the agenda, naming the elephants
• Why you don't have to hand over management and assets at the same time
• The "chequebook before 30" rule for bringing the next generation into decision-making
• Why passing on the farm with debt isn't a bad thing — if it keeps the farm's size
• How contested wills get divided equally — and why transferring assets early protects the farm
• Strategies for paying out non-farming siblings fairly
• How financial modelling shows the next generation exactly what they're walking into

CHAPTERS:

0:00 Welcome 
01:20 How Mike fell into succession planning 
04:09 Why it's the biggest elephant in the room 
06:31 The worst case: a son's future ended at the will reading 
08:26 Fair vs equal — and the emotional pull of the farm 
09:06 How Mike facilitates a family meeting 
12:23 What good succession planning looks like 
16:43 Where to start if you've done nothing yet 
18:59 One mouth, two ears: the facilitator's job 
20:34 Modelling the numbers: the two brothers' story 
24:08 Advice for families: go in with your eyes open 
26:58 Splitting land: management matters more than acres 
32:10 Strategies for paying out siblings fairly 
35:37 Using the software to model the outcome 
36:45 Wrap up

ABOUT THE GUEST:

Mike Krause is the CEO and founder of P2P Agri, an Australian software and training business that helps farmers analyse profitability, model "what-if" scenarios, plan succession and make confident long-term decisions. P2P Agri delivers training one-on-one and in partnership with TOCAL Ag College in NSW.

LINKS & RESOURCES:

• P2P Agri (free demo & Essentials tier): https://p2pagri.com.au
• "Farming the Business" by Mike Krause (GRDC)

SUBSCRIBE for more conversations with the people shaping the future of Australian farm business.

#YourFarmBusinessPodcast #P2PAgri #FarmSuccession #AustralianAgriculture #FarmBusinessManagement

Learn more about P2P Agri: https://p2pagri.com.au

What does it actually take to plan your farm's future with confidence? In Episode 11 of the Your Farm Business Podcast, host Tom Moir sits down again with Mike Krause — founder and CEO of P2P Agri — for a deep dive into the software itself: what it does, how it came about, and who it's built for.

Mike reveals what "P2P" really stands for (Plan to Profit), and traces the journey from building one-off Excel spreadsheets for every farm he visited, to the "Risky Business" farming game farmers refused to hand back, to a 200-farm benchmarking project that exposed a hard truth — benchmarks tell you how you compare, but they rarely answer the big questions. Like: should I buy the neighbour, and will the bank still love me if we hit two years of drought?

A practical look at how farm business modelling works — and why understanding your own numbers changes every conversation you have with your bank, accountant and advisors.

WHAT YOU'LL LEARN:

• What P2P Agri stands for and the real problem it was built to solve
• Why generic advice and benchmarking fall short — and what bespoke modelling does instead
• The "teach a farmer to fish" philosophy behind the training
• The three levers of every farm business: liquidity, wealth and efficiency — and why focusing on just one is a mistake
• How the bank, the accountant and the advisor are each motivated differently from you — and what that means for your decisions
• A walkthrough of the scenario analysis tool: modelling a drought, testing a land purchase, and reading your farm through your banker's eyes
• How AI and cloud tech (including Xero integration) have made the platform 5x more productive
• Who P2P Agri is for — and the free Essentials tier you can start with today

CHAPTERS:

0:00 Welcome 
01:07 What "P2P Agri" actually stands for 
01:46 The development journey: from Fortran to spreadsheets 05:14 More than advice: software built around your farm 
06:20 "Teach a farmer to fish" — the training philosophy 
07:37 How the training actually works 
08:54 Technology adoption in farming: GST, cloud & Xero 
13:07 The bank, accountant & advisor triangle 
17:27 The three levers: liquidity, wealth & efficiency 
20:16 Live software walkthrough: modelling a drought 
24:03 Training 100 farmers a year with TOCAL Ag College 
27:24 Who is P2P Agri for? 29:38 How to get started: free demo & Essentials 
31:01 Wrap up

ABOUT THE GUEST:

Mike Krause is the CEO and founder of P2P Agri, an Australian software and training business that helps farmers analyse profitability, model "what-if" scenarios, plan succession and make confident long-term decisions. P2P Agri delivers training one-on-one and in partnership with TOCAL Ag College in NSW.

LINKS & RESOURCES:

• P2P Agri (free demo & Essentials tier): https://p2pagri.com.au
• "Farming the Business" by Mike Krause (GRDC)

SUBSCRIBE for more conversations with the people shaping the future of Australian farm business.

#YourFarmBusinessPodcast #P2PAgri #AustralianAgriculture #FarmBusinessManagement #AgTech

Learn more about P2P Agri: https://p2pagri.com.au

What does it really take to help Australian farmers make smarter financial decisions? In Episode 10, host Tom Moir sits down with Mike Krause — agricultural economist, author, and founder of P2P Agri — to unpack his journey from wheat-breeding glasshouses at Roseworthy Ag College to building one of Australia's most trusted farm business modelling platforms.

Mike shares the full story: growing up the son of a wheat breeder, studying agricultural economics at the University of New England, completing a Masters in computer simulation at Lincoln University in New Zealand (back when he was coding in Fortran), and cutting his teeth as a government ag economist in the Riverland. From there it was four years inside a bank during one of the toughest periods Australian farmers have faced — when keys were being taken off properties on Eyre Peninsula — before a move into ag insurance consulting and eventually launching his own farm business advisory practice.

A conversation packed with practical wisdom for any farmer thinking seriously about profitability, succession, expansion, and long-term resilience.

WHAT YOU'LL LEARN:

• Why financial literacy is the single biggest lever most farm businesses are underusing
• The "Risky Business" simulation workshop that proved farmers love what-if modelling
• Two real case studies — a citrus grower's seven-year forecast that hit "to a T," and the farmer who bought the neighbour at auction, weathered two droughts, and didn't lose a night of sleep
• Why benchmarking against other farmers can do more harm than good — and what to do instead
• The story behind "Farming the Business," the GRDC manual now in its 7th reprint (and how dyslexia helped Mike write it simply)
• Mike's outlook for 2026: how AI, drones, satellite imagery and virtual fencing are reshaping farming — and how P2P Agri has 5x'd its development speed using AI
• Advice he'd give his 20-year-old self about building a career in agriculture

CHAPTERS:

00:00 Welcome & what is P2P Agri 
02:23 Growing up at Roseworthy Ag College 
03:27 University, Fortran & computer simulation 
06:11 Government, banking & the keys-off-farmers era 
10:07 Closing the farm business knowledge gap 
12:08 The Risky Business workshop that changed everything 
14:08 Why P2P Agri was born 
15:47 Real client stories: the citrus grower & the drought question 
20:37 Writing "Farming the Business" for GRDC 
23:00 Dyslexia as a gift for simplifying complexity 
25:21 Advice to 20-year-old Mike 
27:36 AI, drones & the future of Australian agriculture 
30:00 Benchmarking vs modelling: what actually works 
32:07 Wrap up

ABOUT THE GUEST:

Mike Krause is the CEO and founder of P2P Agri, an Australian software and training business that helps farmers analyse profitability, model "what-if" scenarios, plan succession and make confident long-term decisions. P2P Agri also delivers financial literacy training one-on-one and in partnership with TOCAL Ag College in NSW.

LINKS & RESOURCES:

• P2P Agri: https://p2pagri.com.au
• "Farming the Business" by Mike Krause (GRDC) — available in print or free on iTunes with 50+ embedded training videos

SUBSCRIBE for more conversations with the people shaping the future of Australian farm business.

#YourFarmBusinessPodcast #P2PAgri #AustralianAgriculture #FarmBusinessManagement #AgTech

Learn more about P2P Agri: https://p2pagri.com.au

What is the economic outlook for 2023 and how may this impact Australian agriculture? 
In 2022, farmers experienced significant increases in interest rates, important input costs, particularly fertiliser, chemical and fuel, and changes to their commodity prices. While changes to these important components of the farming business are common, we haven’t experienced these large increases for some time.

It’s important to be informed on what changes might be expected in 2023 so that we can be proactive in our planning for the coming season. Darryl Gobbet is an experienced economist with the rare ability to communicate clearly on these complex issues. He will provide you a background to what is driving these changes and what 2023 may hold for us.

Learn more about P2P Agri: https://p2pagri.com.au

This week's Your Farm Business Podcast focuses on the impact of recent significant geo-political events in Ukraine, as well as the ongoing pandemic, on Australian farm businesses.

Darryl Gobbett,  currently a Visiting Fellow at the SA Centre for Economic Studies at the University of Adelaide, shares his thoughts on these two significant developments, particularly their  impact on commodity prices, input costs, interest rates,  inflation, and the value of the Australian dollar.

Learn more about P2P Agri: https://p2pagri.com.au

Peter Aikman began his journey toward greater understanding of his farm business by trying to discover the information behind his financial data. 

“I wanted to improve my knowledge. I wanted more confidence in my numbers. I wanted more accuracy, transparency with business partners, whether that be people in your business or your banks and to enjoy it.”

This has given Peter confidence in not only understanding his own data, but also empowering his business planning and decision-making.

Learn more about P2P Agri: https://p2pagri.com.au