Iowa farmer Rusty Olson runs a parallel operation with both conventional and organic acres, but his biggest transformation didn’t come from production practices, it came from shifting his mindset. After expanding too quickly and struggling financially, the fifth-generation farmer learned to keep a closer tab on his numbers and prioritize net profit over pride. Now he’s right sizing his operation, embracing new technology, working with an advisory team, and bridging the gap between organic and conventional farming.
From Bigger to Better
When Olson was establishing his operation, he equated size with success. He was renting more and more land on top of his 900 owned acres near Garner, in north-central Iowa, but was struggling financially. "I'd be up all night with my phone in my hand doing math on the calculator because I wasn't keeping a balance sheet or a cash flow and I was constantly worried," he said.
After researching some added value-crops to help make ends meet, Olson decided to shift some conventional corn and soybean acres to organic corn, soybeans, oats, alfalfa, and other small grains. "We had some pretty good success and just kept rolling with it," he said. Still, he needed to tackle the business end of the operation.
Olson's wife, Jennifer, shared a podcast with him, hosted by farm business coach and Legacy Farmer founder Jace Young. He then sought coaching from Young, who focuses on the importance of knowing your numbers. "We made deep cuts, and we did it fast, and the math started matching," he said. "Being a bigger farmer didn't make me a better farmer; it just made me a busier farmer. I wasn't paying attention to numbers. I was always worried about the gross dollars coming in but never looking at the net. Now we focus on the net income and that has changed everything."
Over time, he shifted more acres away from conventional. Today around half of his acres are organic, with plans to transition more. He represents both sides as a board member for the Iowa Corn Growers Association, Organic Farmers of America, and Hancock County Farm Bureau. He said he strives to bridge the gap between organic and conventional farming by drawing on methods and lessons those farmers can learn from each other.
Now, Olson only expands if it makes sense, like a recent addition that was already being farmed organically. "The growth is low and slow now," he said. "I used to rent twice the acres I'm farming now. And it was literally bleeding me dry."
Shifting from doing everything himself to a team approach was another game changer. Freeing himself from some of those tasks leaves more time to focus on the basics of farming. Olson said, "You have to be hands on. You have to be there."
EDITOR’S TAKE:
I hope you find this story interesting. It certainly has a lesson for many farmers and businesses. The theme of bigger isn’t always better offers some poignant advice for everyone to consider. The scope of what we immerse ourselves in should match our ability to manage that level of complexity. Many of us can probably relate to what Mr. Olson experienced. Maybe it pays to focus more on quality and being better versus simply striving constantly to be bigger. Bottom line results are what is most important.
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