There is little point developing succession and retirement plans based on false hopes/ assumptions. This will only lead to considerable disappointment at a later stage. Consequently an important step in succession planning involves
Preparation of a statement of assets and liabilities based on current values
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Preparation of a business plan with projected cash flows
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Examination of options for increasing farm profit
Following this you are in a position to make a reasonable assessment of the farm’s capacity to meet family and retirement needs.
