Contract Farming & Share Farming
Facilitating Profitable Business Ventures
There are a number of reasons to consider Contract or Share Farming arrangements, and the structure of these arrangements can vary greatly to meet the demands of the farming business. The ultimate goal with both Share & Contract Farming is for two or more businesses to work together on part of the farming enterprise for the mutual benefit of both businesses.
Arable Contract Farming
Contract Farming is most common on arable enterprises where the Farmer employs the services of a Contractor to undertake certain tasks. This allows the Farmer to concentrate his time on other parts of the business while utilising modern high powered machinery which may be unviable on a small acreage.
This type of arrangement can vary from a small range of contracting services through to the full cropping year, including harvesting and grain haulage to the point of sale.
To discuss how Contract Farming Arrangement may benefit your business please contact us.
Livestock Share Farming
The principle of share farming is that 2 businesses agree to pool their resources to help drive a profitable enterprise and apportion the profits in an agreed manner.
This structure allows for an existing farmer to retain their assets while allowing a new share farming partner to provide the labour and some inputs. This works well with farmers seeking to step back and allow a younger generation to come into the industry which can often be prohibitive due to the initial capital costs required.
If you are interested in Share Farming structures please call our office.