Archive for October 2024
Should We Establish a Formal Succession Agreement with Our Heirs?
As a farm or business owner, planning for the future of your operation is a crucial step that can ensure its long-term success. One key component of this planning is determining how the farm or business will transition to the next generation. You might be asking yourself, “Should we establish a formal succession agreement with…
Read MoreKindred October Updates: The Kindred Advisor Directory is Live!
We’re only a couple months removed from our 6-month journey at Purdue DIAL Ventures, but we’re excited to announce two important Kindred updates: 1️⃣ One thing we’ve noticed in our customer outreach is that many farm families have not engaged, or are “in-between,” one or more trusted advisors. Questions we’ve heard quite often: “Can you…
Read MoreCan Gifting Part of the Farm to Our Heirs Reduce Tax Burdens?
Farm succession planning is an important process for many families who want to keep their farm in the family for generations. One of the key questions that often comes up is whether gifting part of the farm to heirs can help reduce tax burdens. The answer is yes, but it’s a little more complex than…
Read MoreJoint Ownership: Sharing the Load and Responsibilities.
When it comes to farm succession planning, one important decision farm owners face is whether to transfer ownership as a joint ownership or sole ownership. This choice can significantly impact how the farm operates, the relationships between family members, and even the long-term success of the farm. In this article, we’ll explore the benefits and…
Read MoreUnderstanding the Importance of Gradual Transition
Handling the transfer of management responsibilities over time is one of the most important steps in farm succession planning. This process ensures that the farm remains successful and continues to operate smoothly as ownership and decision-making shift to the next generation. To make this transition work well, farm owners must plan ahead, communicate clearly, and…
Read MoreWhy Farm Family Communication is Crucial in Farm Succession
Communicating a farm succession plan to all family members can be challenging, but it’s essential to ensure that the process is fair, transparent, and supportive of family unity. A farm succession plan, after all, is not just about transferring land and assets; it’s about passing on a legacy. To make sure everyone is on the…
Read MoreHandling Legal Disputes Among Heirs During or After the Succession Process
When it comes to farm succession planning, one of the most challenging aspects is managing potential legal disputes among heirs. Transferring a family farm from one generation to the next can be emotional and complicated, as heirs often have differing ideas on how the farm should be managed or divided. These disagreements can lead to…
Read MoreSteps to Take to Minimize Estate Taxes During a Farm Transfer
When transferring a farm to the next generation, one of the most important considerations is minimizing estate taxes. Estate taxes can significantly reduce the value of your farm, impacting what you pass down to your heirs. Planning ahead is crucial to ensure your family retains as much of the farm’s value as possible. Here are…
Read MoreFamily trust or LLC for succession planning?
When planning to transfer a family business or valuable assets to the next generation, one common question that comes up is whether to use a family trust or an LLC (Limited Liability Company) for succession planning. Both options can help you manage assets, protect wealth, and ensure a smooth transition. However, each comes with its…
Read MoreWhat Operational Skills Will the Next Generation Need to Successfully Run the Farm?
Farmers today face a rapidly changing world. As farms grow more complex, passing the farm to the next generation requires much more than a transfer of land. The next generation of farm operators must develop a wide range of operational skills to ensure the long-term sustainability and profitability of the farm. These skills go beyond…
Read More