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Transition planning in starts with understanding your operation’s finances
A mediation expert says understanding the financial health of an ag operation is a critical first step in transition planning.
Kay Prather, program coordinator with Kansas Agriculture Mediation Services says there are several questions to consider that help families get started. “Can they afford to bring someone back to the farm? Have they already brought somebody back to the farm? Did that tighten their belts? How did that work? Did somebody comeback to the farm with their own ideas of the operation that could help them expand?”
She tells Brownfield owners also need a clear picture of how their operation is structured and who fills key roles. “What are your acres? What are your operations? What are your entities? What then are your resources? Who can do what? Do you have somebody who’s your bookkeeper? Do you have somebody that’s great with livestock? Do you have someone that understand agronomy?”
Prather says open communication is critical to help everyone understand expectations and what’s possible.
Kay Prather: