Family Farms Should Consider a Family Business Governance Plan

Author: 
Paul Goeringer

Photo by Edwin Remsberg

This post is not legal advice or advice on how to deal with family members, in-laws, or other relatives

I want a show of hands: How many of you have a family business governance model for your family farm?  For those of you who raised your hand, you can stop reading now, but if you did not raise your hand, you might want to consider such a model for your farm.  Although you might not think they are a good fit for family farms, a governance plan can be a useful tool to facilitate bringing the next generation into the operation and ensuring the future success of the farm.  With a governance plan, you can include family members into key business decisions, enabling future generations to learn how to make business decisions.  Key components of a family governance plan will be annual family assemblies, possibly family council meetings, and a family constitution (Davis, 2001).

Continue reading on Maryland Risk Management Education Blog

Maintained by the IET Department of the College of Agriculture and Natural Resources. © 2017. Web Accessibility