The benefits of asset separation
The benefits of separating land assets from the operating farm business are outlined in a new Business Management Fact Sheet produced by the Grains Research and Development Corporation (GRDC).
The Fact Sheet points out that while grain-growing businesses are a combination of two key components – the operating business and the real estate (farm land) business – treating these two components separately provides effective and flexible operations for succession and retirement, investment and expansion pathways.
The Fact Sheet provides information on measuring asset performance and details the benefits associated with asset separation, relating to succession and retirement, expansion of farm scale, asset protection, leveraging and third party investors.
Produced as part of the GRDC’s Farm Business Management initiative, the Fact Sheet can be viewed and downloaded via www.grdc.com.au/FBM-LandAssetsVsOperatingBusiness.
For further information
Catherine James, ORM
03 5441 6176
Sharon Watt, Porter Novelli
GRDC Project Code ORM00004
Region South, North