Farm Protection and Transition
1. Should I Plan for My Farm’s Future?
Yes! Your farm is your business and your livelihood. You are the steward of the land. Planning from the outset what will happen to your farm in future generations is essential to running a long-term and truly successful farm operation. Here are a few reasons planning is valuable:
a. Maintains the economic value of your lifetime’s work
b. Preserves the ability of successors to continue farming
c. Minimizes legal costs to your heirs after your death by avoiding disputes
d. Satisfies conditions of certain funding sources (e.g., USDA and LMF)
2. Are There Tools that Can Protect My Farmland?
Yes! A variety of tools are at your disposal to help protect your farm. Those tools include:
a. Conservation Easements (a.k.a., Agricultural Preservation Easements)
b. Farmland Tax Programs (such as current use property tax valuation)
c. Private Deed Covenants
d. Business entity
e. Insurance
f. Financing
3. Are There Tools To Transfer the Farm?
Yes! The tools that protect your farm also help ensure a smooth transition. Here are just a few of the additional tools that can help you transfer the farm to the next generation:
a. Deed the land or convey the business to one or more business entities
b. Set up a trust and/or gift the land or business to your children to minimize tax liability
c. Deed the farm to new farmers and consider keeping a life estate for yourself
d. Lease or lease-to-own to new farmers
There are many experts in Maine ready to help you work through options. To learn more, contact the Legal Services Food Hub or one of the attorneys listed here.
Farm Protection and Transition
Agricultural Trades Show
January 14, 2016
