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Advisory products

Cooperation of various stakeholders of the advisory system has resulted in a number of advisory products. Some of them also require the adviser's involvement, but the materials of some advisory products are freely available on the web site pikk.ee.

Brief summary of advisory products:
Shovel test
Start up agricultural producer's ABC
Contribution margin calculations
The cross-compliance audit sheets
Diversification calculator
Valuation of the value of the company
The company's investment capabilities
 

Shovel test
A shovel test is a visual soil structure and quality assessment test carried out by the plant production advisor. This method allows, with a few tools, to detect problems with soil structure and provide the impetus for change on soil cultivation. With the help of the shovel test, the producer can know:
• whether the soil in his disposal is compacted,
• the progress of compaction;
• how well the soil is equipped with air and water;
• is there a need to change the cultivation technology,
• is there a need for straw to be plowed in,
• is there a need to change the rotation of cultivated crops in the field or sow such a culture which has
stronger root system and loosen the soil.
Test analysis will help farmers make the right and expedient decisions.

Start up agricultural producer's ABC
Start-up agricultural producer's ABC is a guide for the farmer and a rural entrepreneur going into business. This advisory product allows to independently examine the answers to the questions that arise in the creation and delivery of an enterprise. By using the start-up agricultural producer's ABC the producer will learn:
• opportunities of various forms of business;
• how to register as an entrepreneur to;
• how to set up a bookkeeping;
• which state taxes and when to pay;
• an overview of the main indicators of the financial analysis so that a trader could, before preparation of a business plan, know what is necessary for applying for the investment grant or loan and easily get an overview of their own economic opportunities;
• information necessary for concluding contracts and compiling job descriptions;
• since the commencement of business is often associated with the termination of the business of someone else, then also will be covered the termination of an entrepreneur  and what rights and responsibilities the heirs have in the event of the death of the entrepreneur.

Contribution margin calculations
Advisory products "Cereal contribution margin calculations to the Internet" and "Potato and oil-bearing crops contribution margin calculations to the internet" were developed in the year 2009. In 2010 these calculation modules were supplemented and in addition were developed new advisory products "Grassland contribution margin calculations to the internet" and "Milk cow's contribution margin calculation to the Internet." In 2011 all of the previously developed calculation modules were renewed with an opportunity to do all the calculations in euro instead of kroons and new advisory products were developed "Contribution margin calculations to the Internet -"fattening bulls" and "Contribution margin calculations to the Internet - a pea."

The table processing package Excel applications include the following contribution margin calculations:
• grains (barley, spring wheat, rye, oats)
• oilseed crops (spring rape, winter rape)
• protein crops (peas)
potatoes
• grasslands (fodder grass, cultural grassland, cultural pasture)
• milk cows (5000, 6000, 7000 and 8000 kg)
fattening bulls

Contribution margin calculations are intended as a tool for farmers and advisers.  Knowledge of contribution margin calculation methodology is helpful for income and expenditure planning and decision-making.

All the developed advisory products include instructional materials for accounting purposes and the information that is meant for sample calculations. Sampling calculations are made with the prices of the year 2011.

The sample calculations of the contribution margin calculations have three different harvest levels. Since oil flax cultivation is not very common, in the year 2010 instead of that is a contribution margin calculation of winter rape seed.

Grassland calculations allow us to compare the cost of production on application of various technologies (such as bale silage, storage silage) implementation. Also has been the option to compare the different costs of production of forages (silage, hay and pasture grass) on the using of different seed mixtures, fertilizers, etc.

In Animal husbandry are given cow's milk sample calculations in four production levels (5000, 6000, 7000 and 8000 kg of milk per cow per year) and the possibility to compare the results of different feed rations or different rearing methods. In the calculations of fattening bulls there is a possibility to compare the contribution margins upon the use of different feed rations.

The cross-compliance audit sheets
The cross-compliance audit sheets are the check lists compiled by the advisers which contain estimates of the different requirements. The conformity assessment is given and audit sheets are filled in by advisers who have undergone special training of conformity. With the help of the compliance audit sheet, manufacturers can find out:
• the assessment of the situation of the company in terms of compliance,
• suggestions and comments in terms of compliance.
Following the compilation of the audit sheet of compliance it is signed and handed over to the company as a confidential document.

Diversification calculator
The diversification calculator is a compiled tool for rural business advisers to facilitate the counseling process. The target groups in particular are the smaller (or start-up) companies in the country/ rural areas and for companies who have a need to diversify or expand the activities of their business.
Eighteen advisers have undergone practical training in the use of the calculator and use it in their daily work.

Valuation of the value of the company
The valuation of the value of the company is a tool created by the spreadsheet program Excel which requires, due to the complexity of the calculations, involvement of a trained financial economic adviser. This product is designed for already operating agricultural businesses with up to ten employees. Upon using the advisory tool for valuation of the value of the company the producer will learn:
• the value of assets of the assets calculated on the basis of market value method;
• the value of assets calculated with the biological assets.

The company's investment capabilities
Agricultural production can be calculated by the product to find out how much is possible to invest in the near future without creating too much debt that can cause the death of the enterprise.