Sooner or later, every farming family will tackle the complex issue of handing on the farm business to the next generation. Good planning and funding will help ensure that the hand-over runs smoothly for your family. By contrast, poor planning and alack of funding can lead to frustration and even bitterness among family members. The flexibility provided by a portfolio of off-farm investments can greatly assist the transfer of the family business from one generation to the next. An understanding ofthe financial structure of a typical family farm business high-lights the important role off-farm investments can play in succession planning. The 2000 Planfarm Survey showed the average farm business in the medium rainfall region of the WA wheatbelt hada net equity of 1.97 million dollar. Off-farm assets (largely property and shares) averaged just 150,000 dollar.
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