Selling your Business to a Third Party - Is it Time to Sell the Family Farm? (Part 2)
Updated: Feb 19, 2020
As we reviewed in part one of this series, the first option when planning the future of your farm when you retire is to transfer or pass down your business to someone (normally in most cases this is a family member or close relative). But what if you don’t have anyone to pass your business down to? Well, this is where it’s great to have a default plan – in which you have a couple of paths you could follow. In this part of the series, we’ll review your different options when selling and how to prepare your farm to sell.
Selling to someone who will take over your farm.
Perhaps there isn’t anyone in your immediate family or close relation that wants to carry on the family business, but there may be someone you can mentor or a young farmer out there looking to run their own business. However, that’s a lot of trust and time to invest in someone. What if it turns out that they don’t have the financial resources to buy your farm, equipment, livestock and existing inventory? Many young farmers will not have the financial resources or ability to get a loan without major colla