In today’s evolving agricultural landscape, succession planning isn’t always about passing the farm to the next generation. For many farmers, exiting the industry might be a viable and attractive option. This article draws on real life experiences of multiple clients that have benefited from our succession planning services and explores the various pathways available to farmers, emphasising that there’s no one-size-fits-all approach to planning your future.
Traditionally, farming has been seen as a lifelong commitment, with farms passed down through generations. However, times are changing, and so are the expectations and desires of farmers. It’s important to recognise that choosing to exit farming is a valid option and doesn’t diminish the years of hard work and dedication you’ve invested in your land. Some reasons you might consider exiting include:
- Desire for a different lifestyle
- Financial considerations
- Health or age-related factors
- Opportunities in other industries
- Lack of a willing or suitable successor
Some of the exit options available available to you include:
- Selling the farm outright
- Leasing the land
- Rent to own arrangement
- Consider non-farming income options like renewable energy or farm stays/tours to reduce reliance on traditional farming.
- Gradual sell-down of assets
Remember, choosing to exit doesn’t mean you’re abandoning your legacy. Instead, you’re making a conscious decision about how to best secure your financial future OR potentially create new opportunities for yourself and your family.
It’s crucial to approach this decision-making process with an open mind. Consider your personal goals, financial needs, and the long-term implications of each option. Consulting with Rural Financial Counsellors skilled in succession planning can provide valuable insights as you navigate this significant life change.
By broadening your perspective and considering all available options, you’re taking control of your future narrative. Whether you choose succession, exit, or a combination of strategies, the key is to make an informed decision that aligns with your values and aspirations, as well as your business capabilities and capacity.
At RFCS Gippsland, we understand that these decisions can be complex and emotionally charged. Our team is here to provide impartial, professional guidance as you assess your options and plan for the future.
Ready to explore your options? Contact RFCS Gippsland to access our services on 1300 045 747 or visit rfcsgippsland.org.au to speak with our experienced team about developing a plan that’s right for you.
At RFCS Gippsland we have experienced team members that can assist with your succession planning. Call 1300 045 747 or book an appointment online.