THE SIGNIFICANCE OF FINANCING FARMS WITH PERSONAL EQUITY IN THE OPINION OF INDIVIDUAL FARMERS IN POLAND

The aim of this research was to present the role and significance of financing with equity capital on individual farms in Poland. The research was carried out with the use of an interviewer questionnaire on a group of 100 farmers running individual farms as well as keeping the agricultural accounts in the FADN system. The research was conducted in the Mazowsze. Limitation of financing of the operational and investment activity only to the equity capital, in the opinion of farmers, contributes to less dynamic development of agricultural production due to a lack of sufficient equity resources for the purchase of machines and devices. The farmers included no requirements concerning warranties and guarantees in the situation of financing with a loan as the most significant advantages of financing with equity capital. Most farmers allocated the saved financial surplus to current or planned investments, assessing such financial strategy as the average level of risk. Such approach to self-financing of the activity was assessed by farmers as average in the context of the effectiveness of using equity capital.


Other Titles:
Znaczenie finansowania kapitałem własnym gospodarstw w opinii rolników indywidualnych w Polsce
Issue Date:
Mar 30 2017
Publication Type:
Journal Article
ISSN:
1899-5241
Language:
English
Published in:
Journal of Agribusiness and Rural Development, 2017, Issue 43
Note:
DOI: 10.17306/J.JARD.2017.00280




 Record created 2017-07-14, last modified 2017-10-06

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