Whether it is the unexpected or the inevitable; time and fortune will catch up on the unprepared no matter how successful the farming operation is. In a continuation of his theme on succession planning Jarrad Trunbull highlights a few tips that can make all the difference to your planning.
It is inevitable that a farm owner will eventually leave their farm.
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Whether they sell, retire or leave due to health reasons, it is important to be prepared.
Creating a succession plan is a simple and common sense approach to ensure continuity in a family farm. Succession plans enable smooth transitions and decrease the likelihood of disruptions.
Here are four tips to ensure that your farm stays in the family:
1. Hold regular meetings with the family to discuss the future of the family farm and to ensure that there is no communication breakdown between all family members that are involved.
2. Plan for the older generations’ exit to make sure that they are well provided for.
Failing to do this means you risk losing their support, making it harder to plan for the future.
3. Seek professional advice concerning all financial issues.
It is crucial for the success of the financial side of the business to talk to the family’s accountant, solicitor or financial advisor.
4. Keep your plan current.
Strong succession plans require revisions and updates to ensure that the plan stays relevant and suitable for members.
Jarrad Turnbull is a Manager at RSM Bird Cameron.
jarrad.turnbull@rsmi.com.au
