University of Maryland Extension

Using a Business Organization Structure to Limit Your Farm’s Liability

Author: 
Ashley Newhall and Paul Goeringer

In Maryland, 82.7 percent of agricultural operations conduct business as sole proprietorships (Census of Agriculture, 2012). As agriculture continues to evolve, however, producers should consider investigating all types of business organization structure for their operations to limit liability and provide additional forms of capital.  This Extension Bulletin gives an overview of different business structures common in agriculture.  Business organization structures that are common include sole proprietorship, partnership, corporation, limited liability company (LLC) and cooperative.

Using a Business Organization Structure to Limit Your Farm’s Liability (EB,422, 2015) can be viewed at http://drum.lib.umd.edu/handle/1903/16325

For information on a Family Farm Business Entity in Maryland, please see http://www.aglaw.umd.edu/blog/a-family-farm-business-entity-in-maryland-what-you-need-to-know

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