An interview with Ag Focused Advisor Financial Planner, Alex Vasichek by Scott Wagendorf
Farmers in the Upper Midwest manage weather risks, equipment failure, familial issues and commodity price fluctuations, to name a few. As input costs rise and margins tighten, having a clear financial strategy matters more than ever.
Alex Vasichek, an Agricultural-Focused Financial Planner and owner of Elevate Financial in Fargo, grew up in a small North Dakota town working for his father’s multi- generational John Deere dealership.
“Working in the back shop, I was on a first name basis with every farmer in the community and beyond. I knew their needs and challenges. I also know where their pain points are,” continues Vasichek.
“That’s what sets Elevate Financial apart. We become a bridge between farmers and their banks, accountants, lawyers and insurance agents. That working knowledge requires a deeper level of understanding…and that’s what we provide.”
A Bridge Over Uncertain Waters
A perfect example of Elevate’s leadership came in the form of a client who didn’t have a clear understanding of why his banker wasn’t as enthusiastic about his equity as he was. A deep dive revealed that the farmer lacked a clear understanding about why his application was rejected. “We shoot our clients straight about what’s going on.”
“Applicants may be denied without ever realizing why their loan application was rejected. If farmers don’t know how to improve their standing, how can they improve their chances of having an application viewed more favorably next time?”
A bank has to keep deposits at a certain level and lend them out at a certain rate. They are focused on the return they receive from loans and deposits-and to look out for their shareholders. “At Elevate, we don’t answer to shareholders or a board of directors,” Vasichek continues. “We’re just not in the business of that.
Operating under a fiduciary standard, we strive to put the interests of our clients first.
Finding creative sources of working capital is one of the biggest opportunities…
What Does That Mean in Today’s Market?
The steep rise in costs, along with flattening commodity prices have created a more challenging environment for farmers, posits Vasichek. Even though prices at the grocery store have been climbing, farmers and ranchers aren’t the ones benefitting.
As a champion of farmers, Vasichek cites ‘finding creative sources of working capital’ as one of the biggest opportunities at the moment.” In his opinion, cash is king right now. “It translates into flexibility. It’s something they can do based on their financial situation. But not everyone knows that they need it and how to get it.”
In addition, purchasing power to upgrade machinery or add land is necessary to grow. “When you upgrade machinery, you save time,” says Vasichek. “That means more time to farm more land or more time to spend with family, and ultimately building a legacy to pass on to the next generation.
Alex Vasicek is a registered representative of and offers securities, investment advisory and financial planning services through MML Investors Services, LLC, Member SIPC. Elevate Financial is not a subsidiary or affiliate of MMLInvestors Services, LLC, or its affiliated companies. OSI: 100 South Fifth Street Suite 2300
Transition to What’s Next
Only 30% of farmers have a formal financial plan for managing investments and risk, according to research from Farmonaut. In an industry where margins are tight and uncertainty is constant, having a trusted financial strategy isn’t just helpful-it can be essential.
“At Elevate, there are no upfront costs. It starts with a conversation,” says Alex Vasichek. “We sit down, understand your goals, identify opportunities, and build a plan designed to protect what you’ve built and help position your operation for the future.”
For farmers looking to strengthen cash flow, improve lending opportunities, and create a lasting legacy transitioning your operation to the next generation, that first conversation could make all the difference.
