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Smart Steps to Starting a Farm Transfer

Smart Steps to Starting a Farm Transfer


By Jamie Martin

When young farmers consider returning to their family farms, the question of how to begin the transfer process is paramount.

A practical approach often recommended is initiating a pre-agreement—a kind of trial period where both the future and current farm owners evaluate their working relationship and readiness for transition.

This pre-agreement should ideally focus on three core areas - collaboration methods, skill development for the junior generation, and the duration of the trial period. Although not legally binding, this agreement serves as a foundation for a more formal arrangement and should be simple yet comprehensive.

Collaboration Dynamics - Both generations should clearly outline their expectations and responsibilities. Discussing remuneration, work hours, autonomy, and decision-making processes upfront can prevent misunderstandings. It's also crucial to consider how to amicably part ways should the arrangement not work out, as not every trial period may lead to a successful partnership.

Developing the Next Generation - Recognizing that the incoming generation might not initially possess all the necessary management skills is important.

The senior generation should take an active role in mentoring and consider external educational resources like cooperative extension programs or farm management courses to bolster these skills.

Determining the Trial Period - Agreeing on the length of the trial period is essential. This timeframe should provide ample opportunity to assess compatibility and effectiveness of the partnership.

Regular evaluations during this period can help adjust the agreement as needed, ensuring both parties remain satisfied with the arrangement.

This structured approach to farm transitions can significantly increase the likelihood of a successful handover, benefiting both the family and the farm's long-term viability.

Photo Credit: photos-simazoran


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