How to Start a Succession Planning Conversation

Here’s a glance at this episode:

• [04:11] A solid majority of farms do not have any type of transition plan.
• [08:53] Succession planning is seeing a trend where transitions are not just happening between generations, but among the next generation of neighboring farms, too.
• [11:57] Succession planning is often less about the money and more about the people.
• [16:50] A large obstacle to succession planning is “fear of the complicated.”
• [20:55] Communication is king. Have an open dialogue about your goals.
• [24:38] The first hard step to starting a succession plan is having a conversation.
• [25:19] Work with someone you trust to help facilitate a succession planning conversation - a financial advisor, an attorney, an accountant, etc.
• [37:18] After putting a plan in place, you then have to plan and prepare for things such as retirement, long-term care, and other considerations.
• [37:34] Long-term care insurance can be a bigger detriment to the farm than death because it’s an ongoing expense.
• [39:53] Farmers often neglect to save back money for retirement on top of putting money back into the farm.
• [43:46] It’s important to take the time to review your liability insurance and farm coverages every year.

Bios

Guest: Eric Brown

Eric Brown is a financial advisor at Legacy Capital Advisors, LLC. For over 16 years, Eric has been providing farmers and small business owners with practical, common-sense strategies to grow, preserve, transition, and pass along their financial estates. Outside of work, he owns and operates his own family farm with his brother and father.

Host: Brenna Finnegan

Brenna has been an account officer serving Lorain County for three years. She’s worked in the agricultural industry for over 16 years with experience in livestock production, specialty crop production, seed production and processing/distribution. She grew up on a small family farm raising row crops and cattle. She currently has her own herd of beef cattle that she breeds and sells as show stock calves for 4-H and FFA members. At AgCredit, Brenna enjoys being able to work directly with the local farmers and especially helping young farmers achieve something that they didn’t think they could.

Host: Phil Young

Phil is an account officer for AgCredit serving Van Wert County. He’s been in ag lending for over three years but his agricultural background goes back much farther. He grew up on his family’s farm where his father raised a large herd of sheep. Currently, he helps with the family farm raising corn, soybeans and wheat. Phil likes working at AgCredit because he can help people achieve their dreams. Whether that is purchasing a new piece of farm ground, updating a piece of equipment, or helping a borrower understand their financials, helping his clients succeed is always his goal.

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