As my family works to transition the business from one generation to the next, we like to talk with others who are trying to do the same. In my previous column, I discussed how my dad recognized his children’s interest in the business, encouraged our involvement, and gave my siblings and I the option to return to the operation — but it was not a requirement. That was the emotional side of the transition.
The next important steps are the legalities that come with business transition. These are crucial in protecting your family and the business at various stages of the transition process or upon death.
Decisions in writing
If you have assets and/or are married, you need to have a will and life insurance. Do you want to make decisions about your assets and the future for your spouse and family? Or do you want the courts to do it?
If those questions scare you because you haven’t had these legal documents prepared, it should. Please finish reading this article and call an attorney as soon as possible. If you don’t know which lawyer to call, contact your local extension office or local bar association as they may be able to provide a list of agricultural attorneys. Making the initial call can be the hardest step.
These are not fun topics, but they are critical and must be addressed to protect your family and your assets in the ways you want. Pieces of the plan may look different depending on the age of your successors and how far along you are in the transition process. Documents will need to be updated regularly and accordingly.
If successors are young or not prepared to take the reins, a will may include specifications to sell the business and assets. If successors are in Zone 3 — which means they are adult children who have had the opportunity to have some responsibility in business operations — the will may contain information on how the business can be transferred to interested children. I say interested children because fair is not always equal.
The owner or older generation should ensure that someone has the ability to make legal decisions about the assets if that person becomes incapacitated. All parties (older and younger generations) should discuss who has decision making abilities in case of an emergency.
Prepare for the worst
In my previous article, I mentioned how our family is in Zone 3. My father is actively working on transitioning himself out of his job, starting with the official transfer of ownership. My brother, David, and I work on sales. I do the billing, know the finances in and out, and prepare loan documents as needed. My brother oversees all maintenance and modifications of equipment in the shop. We all work together in the field, and our dad double checks things as needed.
Because the business has evolved, it is going to take both David and me to eventually replace our dad. It would not be pretty, but I am confident David and I can take care of things if he was suddenly no longer here. That’s not something any family wants to think about, but I share this because I believe in our abilities and am proud of how our dad has trained us over the years.
Communication is key
Communication is undoubtedly a foundational piece of a succession plan. Communication is a two-way street with each generation stating their desires and also listening to other perspectives. I admit that sometimes discussions among our family members has been loud, but we talk through all things, and our business keeps moving forward because of it.
Our transition is still a work in progress. We need each other’s skills, experience, and knowledge. And there are still many things we need to learn from each other. For instance, who knows the passwords and where they are kept . . . ?
This article appeared in the February 2026 issue of Journal of Nutrient Management on page 24.
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