Is your Heir Apparent? | How Two Families Negotiated Equitable Succession Plans

Considerations in succession planning

Michael Duffy, director of Iowa State University’s Beginning Farmer Center, offers an outline for approaching the farm succession challenge:

• What do you want to achieve – continuing the farm or simply transferring assets?
• Work with a team of advisors – lawyer, accountant, financial advisor, etc. – who understand your goals and can give objective guidance.
• Explore resources and expectations within your family and keep the family informed.
• Determine if your farm generates enough income to support the new ownership you’re considering.
• Consider personal dynamics – how you work with your potential successor and how you make decisions.
• Develop a written plan and consult it regularly.
• For resources on farm succession, check out the International Farm Transition Network at www.farmtransition.org/netwpart.html.