Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Managing for Today and Tomorrow Succession.

Slides:



Advertisements
Similar presentations
Agriculture Estate Planning Dean Gallimore, CA.CBV KPMG LLP.
Advertisements

WEALTH MANAGEMENT AND ESTATE PLANNING Robert Moore Wright & Moore Law Co. LPA Delaware, Ohio.
Do not put content on the brand signature area ©2014 Voya Services Company. All rights reserved. CN Business Succession Planning.
Presented by: March 9, 2013 Succession Planning for Forest Land Owners 5555 Lakeview Drive, Suite 201 Kirkland, WA (425) |
ESTATE PLANNING. Three questions you probably want answered: How much tax will I owe? When do I pay the tax? How do I pay the tax?
Read to Learn The four main ways to become a business owner and the advantages and disadvantages of each The different forms of legal business ownership.
ENTREPRENEURSHIP Chapter 4.
Managing for Today and Tomorrow Succession, Business, Estate, and Retirement Planning for Farm and Ranch Women Managing for Today and Tomorrow Succession.
Managing for Today and Tomorrow Succession, Business, Estate, and Retirement Planning for Farm and Ranch Women Managing for Today and Tomorrow Estate Planning.
Succession Planning Overview
Financial Planning Financial Planning An Introduction to the Financial Planning Process Conducted by: Lawrence W Wiswall Jr. TCS Financial Services, Inc.
McGraw-Hill/Irwin ©2008 The McGraw-Hill Companies, All Rights Reserved CHAPTER15CHAPTER15 CHAPTER15CHAPTER15 Financing Corporate Real Estate.
Chapter 14 Forms of Business Organization
 Special Elections And Post Mortem Planning.  Estate Planning after Death o Decisions made on the estate that Impact heirs Impact taxes Impact executor.
Don Hofstrand Agricultural Economist Co-Director, Ag Marketing Resource Center
Business Succession Planning Planning Business Succession Succession Business Planning Planning Succession BusinessPlanning Succession Business Buccussion.
Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women What is Estate Planning? The overall process.
Owner Succession Planning Presenters: Scott A. Isdaner, CPA, JD Jim Hamlet, CPA, MT Isdaner & Company, LLC (610)
Well, I’ll Get Around to it.... WHO NEEDS AN ESTATE PLAN? EVERYONE!
Farm Transition & Estate Planning: Helping Ohio Families Face the Future Chris Bruynis, PhD Assistant Professor & Extension Educator David L. Marrison.
Business Plans for Agricultural Producers. General Information  A business plan is a road map for a business.  It describes the key functions of the.
A sole proprietorship is a business owned and operated by one individual Disadvantages:  Sole proprietors have unlimited liability and are legally responsible.
Business Entity Planning. Overview  Most farm and ranch businesses are owned by family members.  Income and estate taxes and the sharing of income often.
Time for a Change on the Family Farm Oklahoma State University National Extension Risk Management Conference March 26-27, 2003 J.C. Hobbs, Area Extension.
Managing for Today and Tomorrow Succession, Business, Estate, and Retirement Planning for Farm and Ranch Women Managing for Today and Tomorrow Introduction.
Managing for Today and Tomorrow Succession, Business, Estate, and Retirement Planning for Farm and Ranch Women Managing for Today and Tomorrow Succession.
Chapter 14 Farm Business Organization and Transfer
Managing for Today and Tomorrow Succession, Business, Estate, and Retirement Planning for Farm and Ranch Women Managing for Today and Tomorrow Succession.
Exit & Succession Strategies for BOLD Farmers and Ranchers.
Planning for Intergenerational Farm Transition Jesse J. Richardson, Jr. Virginia Tech Bob Parsons University of Vermont
Managing for the Millennium
The Financial Plan © 2010 Pearson Education, Inc. All rights reserved Chapter 2.
Entrepreneurship Chapter 4. What is an entrepreneur?  A person who runs and organizes their own business.  Must make good decisions  Find inventive.
Being a Business Owner Section 4.2.
BUSINESS DECISIONS Dave Goeller
Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Managing for Tomorrow Succession Planning.
ACCOUNTING FOR PARTNERSHIPS Accounting Principles, Eighth Edition
Transferring Your Estate You Bought It and Built It: Now What? Brett Crosby Custom Ag Solutions United States Department of Agriculture Risk Management.
Estate Transfer Issues You Built It - Now What Do You Do With It? John Mangus Custom Ag Solutions United States Department of Agriculture Risk Management.
McGraw-Hill/Irwin © 2008 The McGraw-Hill Companies, Inc., All Rights Reserved. 1-1 McGraw-Hill/Irwin © 2008 The McGraw-Hill Companies, Inc., All Rights.
Maximize the results of your hard work 10/19/ Representative Name Agency Name.
Principles of Financial Accounting Chapter 1 Forms of Business Organizations Sole Proprietorship Easy to establish Owner is control of assets and operations.
 Discuss the importance of farm credit.  Explain three fundamentals of credit.  List eight rational credit principles needed for effective decision.
Retirement Planning Session One Visualizing Your Future Business Planning Session One Discussion Evaluation Goal Basics Activity Succession Planning Session.
What Should I Do? Jesse J. Richardson, Jr. Associate Professor Urban Affairs and Planning Virginia Tech Blacksburg, Virginia Farm.
Presented by: Chris Whitcomb. #NFIBLive » Don’t wait until it’s too late » Deal with family and employee concerns before they arise » Get professional.
Cooperative Extension Successful Farm Business Transition David Goeller Transition Specialist Joe M. Hawbaker Attorney at.
Estate Transfer Issues You Built It - Now What Do You Do With It? Brett Crosby Custom Ag Solutions United States Department of Agriculture Risk Management.
BUSINESS SUCCESSION & FAMILY LEGACY: KEEPING THE DREAM ALIVE Preserving Your Hard Earned Family Wealth & Creating a Legacy Presented by Freedom Broker.
CRITICAL SUCCESS FACTORS (can you answer YES to these questions?) Are the parents ready for a partner? Is the child committed to farming? Is the business.
Succession Planning Strategies and Resources Dr. Norm Dalsted & Mr. Eric Peterson
Succession with Judy Wilkinson. Family in Business and Business in Family Who is involved in a Family Business YES NO.
Estate and Succession Planning for Farm and Family Businesses Robert Moore Wright & Moore Law Co. LPA Delaware, Ohio.
Business Organizations Farm & Ranch Business Management Original Power Point Created by Casey Osksa Modified by Georgia Agricultural Education Curriculum.
FARM TRANSITION: PLANNING FOR THE NEXT GENERATION.
Buy/Sell Agreements. If you had died last night…how would these questions be answered today? Who is running the business? To whom do they report? How.
Business Succession Strategies Buy-Sell Agreements: Considerations and Common Mistakes.
Succession Planning For Private Forest Landowners John C. Becker Penn State University University Park PA.
Tax Considerations for Farm Transitioning
Lease Accounting 22.2 LO2 Financial leases are essentially treated as debt financing Present value of lease payments must be included on the statement.
Annie’s Project – Education for Farm Women
Business Planning Using Life Insurance
Annie’s Project – Education for Farm Women
Annie’s Project – Education for Farm Women
Stages of Succession October 6, 2005
Managing for Today and Tomorrow Introduction - Part One
Managing for Today and Tomorrow Introduction - Part One
Managing for Today and Tomorrow Introduction - Part One
Annie’s Project – Education for Farm Women
Minnesota Wheat Growers VP Succession-Retirement Planning
Presentation transcript:

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Managing for Today and Tomorrow Succession Planning Session Three Block three

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Objectives SWOT Analysis – Uses of SWOT analysis Goals and SWOT SWOT exercise Overcoming barriers to successful transition plan – The D’s Equal vs Fair treatment of contributors

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Strengths, Weaknesses, Opportunities and Threats SWOT Analysis Strengths Weaknesses Opportunities Threats Uses of the SWOT

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women SWOT Analysis Strengths, Weaknesses, Opportunities and Threats Hand out and Reference Material: SWOT Analysis: A tool for making better business decisions USDA-RMA, August, 2008 Farm-Risk-Plans.usda.gov

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Risk and Barriers To Successful Transition Plans

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women ambitious low experience new ideas no time horizon time to recover from mistakes have little to lose Risk Profiles Barriers to Successful Transition Plans YOUNGMATURE risk conscientious lots of experience established style sees a horizon with a setting sun little or no time to recover if losses occur have a lot to lose

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Death Disability Disaster Divorce Disagreement Important D’s

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Death Divorce Disability Disagreement Disaster Dissolution Important D’s by Generation YOUNGMATURE

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Techniques to Manage Risk Avoid Reduce Retain Shift Self Insure

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Insurance – Liability/peril – Life – Disability – Crop & Livestock Insurance Contracts – Leases – Production agreements – Prenuptials – Market sales contracts – Estate & retirement plans Asset Management – How property is titled Areas to Talk About Communications – Between family members/generations – Business associates Modified behaviors – Business vs lifestyle – Separating business and family life Financial records – Balance sheet – Cash flow – Income statement – Emergency cash funds

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Frequency of Events Severity of Impact FewMany Low High Avoid Retain Self Insure Reduce Retain Self Insure Reduce Shift

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Fair vs Equal Issues of fairness one perspective on fair vs equal Wills Understand how assets are transferred in probate Identify farm or ranch heirs/managers Do they want to continue Communicate the transition plan Put the transition plan into action

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Some Tools to Consider Life Insurance – Its affordable, life insurance is purchased for off-farm heirs – On-farm heirs purchase life insurance on parents’ lives for buying out siblings Partnership, LLC, Corporation – On-farm heir controls/manages the operation – All siblings share ownership – Operating entity owned by on-farm heir and land entity owned by all heirs

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Some Tools to Consider Off farm heirs understand and agree to inherit less, in order to transition a viable farm or ranch business Shared appreciation agreement – If the on-farm heir sell real estate within a specified time, off-farm heirs share in appreciation Real Estate divided – Long term leases – On farm heir has first right of refusal is off-farm heirs sell

Managing for Today and Tomorrow Business, Succession, Retirement and Estate Planning for Farm and Ranch Women Bench Marking Your Progress Are the parents ready for a partner? How committed is the child to farming? Is the business large enough? Can you live and work together? Are the non farming children supportive? At this point can you answer yes to the following questions?