Capital Generation - Benefits

Conservation easement liberates your land value

Most farms and ranches yield too little cash flow compared to the total value of land and equipment, requiring continued burdensome debt to finance operations and living expenses.  Inflated development prices distort agricultural land’s true value and make “selling out” a seemingly attractive option.  One way to stay on the land with sufficient future cash flow and asset growth starts by selling a conservation easement. The benefits include:

• Capitalization through a conservation easement means liberating the value of the land into lifelong cash flow to support continued production and lifestyle.
• The ongoing financial needs of the farmer/rancher are balanced with the future needs of retirement income and estate planning for following generations.
• The success of others who have properly entered into this type of transaction can serve as guidance. Ask us for sources to reference.
• The landowner has negotiating power to solve issues of control and continuity in selling an easement.
• This step establishes the asset base of the captive bank that will sustain cash flow and asset growth into the future.

We will guide you through the entire capitalization and captive banking process.   Contact us at any time to learn more about getting started.

Next Step: Capital Generation Process