Industry sector:

Poultry farm: Cash sales or Cash from debtors


To decide on the split between 'Cash sales' and 'Cash from debtors' you need to think about who your customers will be.

Depending on who you sell to there are some customers that will generally expect to pay you some time after you have supplied them. These customers may include:

  • supermarkets and other large retailers
  • egg packing stations
  • processors
  • wholesalers
  • local retailers
  • local restaurants and hotels
  • other poultry enterprises (sales of chicks)

Sales to these type of customers come under the category of Cash from debtors if you receive payment at some point after you have made the sale.

Your Cash sales customers may include:

  • members of the public. You may have people buying produce directly from the 'farm gate' (possibly something as simple as an honesty box), from your farm shop or from a stall that you operate at a farmers market
  • local retailers or catering establishments that you supply infrequently or retailers whose orders are generally of relatively low value

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