Expert Opinions

American Farmland Management: Challenges and Solutions

Challenges Facing Landowners
Farm management requires an understanding of agricultural trends, market headwinds, financing, and agricultural technology. In recent years, many ranch and farm operators and tenants have faced a landscape with less working capital and unpredictable swings in commodity prices. Issues could also arise if the next generation of landowners is inexperienced or unwilling to tackle the demands of running a farm.

On-Site Assistance
Specialists from the Farm and Ranch Management Group at U.S. Bank work closely with landowners to help maintain and optimize their farms, harnessing years of firsthand experience. Many are accredited by the American Society of Farm Managers and Rural Appraisers. U.S. Bank has been in the farm management business for over 70 years. The team spends plenty of time in the field to ensure that the land is being taken care of and all potential income is realized.

Passing Down the Land
In addition to checking crops and livestock, the Farm and Ranch Management team helps owners by negotiating leases with tenant farmers and serving as an unbiased third party. They also assist in guiding the transition of farm ownership to the next generation, helping to ensure that land is kept within the family.

One Family’s Story
For example, two siblings inherited their family’s corn and soybean farm. Despite being second-generation owners, they were uncomfortable with managing the farm and concerned about fair market value and land issues. The Farm and Ranch Management team addressed their concerns, resulting in increased income and improved farm management. The siblings were reassured that their land was being well taken care of while preserving their relationships and the value of their farm.

Source: https://www.usbank.com/