GERMANY 06

1. Intro

The farm, which is a pure market fruit plant, has almost 70 ha. On the farm, root crops (potatoes and turnips) and cereals (wheat, barley, triticale, winter rape and peas) are cultivated. The potatoes are marketed directly and are the main income source for the company. The work is mainly done by family members. The parents of the successor and the two older sisters help as needed. The future of the company is still uncertain. The young manager is single and does not have any children yet.

2. Promoter Profile

Name n.n.
Age 32
Gender Male
Education Master of Science in agricultural sciences
Marital status Single
Number of children 0

3. Farm Profile

Address Bavaria in Germany
Farm Area in ha 70 ha
Date since when the family owns the farm For 90 years
Nº of workers on the farm (Family members) 0 (Full time) 4 (Part time)
Nº of workers on the farm (Other than family members) 0

Farm description before succession

Before the transfer, the operation did not differ from its current state. The succession of the farm took place no longer than one year ago in the summer of 2016. During the successor’s studies, the father was 65 years old and retired. The company was leased to the successor, but he could not always be present during the study period, so the father remained the manager. Despite the fact that the business was leased to him, the successor was not actually involved in the decision-making process. In most cases, however, he could rely on his father to make the "right" decision. After completing his studies, the entrepreneur still worked in Munich at the National Agricultural Institute. After completing his last temporary project contract, he took over the farm.

FARM DESCRIPTION AFTER SUCCESION

Nothing has changed since the succession of the company in July 2016, except that the entrepreneur has been the new manager since that time and earns his money as a full-time farmer. It is possible that in the future, the successor will only continue the farm as a secondary business. He is thinking about giving up direct marketing, since it takes too much time. He currently needs family support. That is why he tries to involve all family members and, above all, to let his parents participate in the decision-making process.

4. Succession Process

The older sisters of the successor never had the desire to take over the business. The idea of ​​a possible takeover first came to the successor at the age of 16, although within the family, it was always clear that the son would take over the company. The father merely asked, "Don’t you like it at home?", to which the son replied: "Well, I do." There were no deep or clarifying discussions. Also not discussed was how much time such an operation takes up, or how much income can be generated. The client did not perceive a problem, because he grew up on the farm. He also leased the farm while he was still studying, and thus, during this time he could think about his perception of the future. The family members did not have an exact timetable for the transfer of the company. When it came time for succession, they had external support in tax matters. The other heirs were compensated with property.

Threats/Challenges

How to handle business partners must first be learned.

The successor was not fully aware of what it would mean to be responsible for a company. He was surprised at the amount of effort involved in management.

The majority of the assets are usually given to the successor. The situation with the heirs can then become a problem. Therefore, the fact that the succession is also associated with financial burdens must be clearly communicated within the family.

During the transfer process a good relationship among all is important. One has to keep in mind that handing over the operation is not easy for parents.

Main Training/Skills/Competences

Experiences outside the company: it is very important to also gain experience outside of one's own company. This knowledge is irreplaceable, as there are important impulses for the reflection of one's own actions on the farm.

 

It is very important to have understanding for one another. 

You have to know the strengths and weaknesses of others and, above all, be able to cope with them. 

Siblings must be involved in the succession process.

advice

5. Considerations, skills/competences and queries/questions.

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