Farm Table says:
Tually’s 2016 edition of Farm Succession, The Farm Family and Their Family Farm, contains an introduction whereby he encourages farm families to make decisions whereby the family farm is passed down in a viable state. He believes this is not what Solicitors are offering farm families at the moment.
This is a free guide developed specifically for farm families to:
- Assist them in working through Farm Succession and family opportunity issues, and;
- Provide a base for questions to ask their Service Providers, particularly accountants, bank managers and solicitors.
The guide is based on a huge amount of experience around what farming families have said they need.
Tually notes that the traditional purpose of Farm Succession was to continue on a preferred ‘way of life’ and for the succeeding individual(s) to build on what the parents had built up over their lifetime. This, however, is plagued by a focus on inheritance and confuses the process. “The Inheritance focus is a legal solution that has been applied to family farming and has created chaos for many farm families”, Tually states.
One of Tually’s main focuses is the importance of handing on a viable family farm business. He states, “this guide favours the farm business focus or business growth option or building on what parents have built up. asset retention, so all family members can benefit in some way from opportunities the family farm business could provide.
A vital first step is for farming families to answer the following questions:
- Is it viewed as a mainly; family asset or family business?
- Do parents owe their children an inheritance or an opportunity? an inheritance may or may not be an opportunity. Why would you break down, for the provision of an inheritance, what you have built up over a lifetime?
- Is growing the family farm business and encouraging children to build on what parents have developed, a better option?
- If the family farm is used for an inheritance, what are the children giving in return?
- What are the possible opportunities, on and/or off farm, for children and parents?
The Guide contains a Workbook that allows a farm family to work through family, ownership and business issues commonly experienced by farm families.
“This Guide might seem large, but there are two HUGE assets involved, your family and your family farm.”