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Farm Lease/Operating Arrangements | Client
Reporting
Services
Description | For More Info | Gallery Images
Quality farm management and consulting requires more than good intentions. Business partners demand results, along with hard and fast answers to apply to the ever-changing agribusiness world. A farm investment can produce competitive returns but only if the operations of that farm are handled efficiently and professionally. That's where we step in.
American Agricultural Service, Inc. (AAS) can take the burden of selecting, managing and producing on your farm investment off your shoulders.
Farm
Lease/Operating Arrangements
The following four types of farm lease/operating arrangements
are the ones that are commonly adopted by the clients of AAS:
Crop Share
AAS selects the operator and
often makes the normal production, purchase and marketing decisions
for the owner. It is the responsibility of AAS to see that the
owner's wishes, as specified in the lease or otherwise, are carried
out. In return, AAS receives a percentage of the gross sales.
Crop share leases work best for the farm owner who can stand
weather and price risks.
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Cash Rent
AAS selects the operator and
often makes specifications in the lease regarding crop rotations,
fertility levels and tillage practices which the operator must
follow. It is the responsibility of AAS to see that the owner's
wishes, as specified in the lease or otherwise, are carried out.
In return, AAS receives a percentage of the rent. Cash rent leases
work best for those owners who need a guaranteed return from
the farm.
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Direct Management
The owner owns all of the farm
equipment and pays all expenses and receives all income. AAS
supervises a resident farm manager who is responsible for the
day-to-day operation of the farm. In cooperation with the resident
farm manager, AAS is responsible for production, purchase, and
marketing decisions. AAS receives a percentage of the gross sales.
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Custom Operated
The owner does not own the farm
equipment but pays all expenses and receives all income. The
farm work is done on a custom basis, and AAS is responsible for
all of the work performed, including the day-to-day operations.
AAS receives a percentage of the gross sales. Custom operated
farms require a tremendous amount of supervision and management
and are highly dependent upon the ability of the custom operators.
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Client
Reporting
For each client, AAS prepares
one or more of the following standard reports on a continual
basis:
| TIME |
REPORT |
CONTENT |
| December |
Budget |
- Analysis of past year
- Production/reproduction plan
- Production/reproduction techniques
- Marketing plan
- Proposals concerning repairs/new
investments
- Monthly cash flow budget
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April
July
October |
First Quarter
Mid-Year
Third Quarter |
- Situation report, crop/livestock
status, etc.
- Weather/health report
- Marketing report
- Report concerning work on improvements/reproduction
- Income statement for past quarter,
including variance analysis
- Bank balance for last quarter
- Forecast
- Bank ledgers and statements
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| January |
End of Year |
- Summary/analysis of year (yields,
quality)
- Income statement
- Analysis of income statement
- Bank ledger
- Bank balances
- Tax return with balance sheet
(by CPA)
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Services
Description
American Agricultural Service offers a complete agricultural land management, sales, and consulting services program which includes the following:
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Agricultural Land Management
Analysis of property's productions
potential, including soil and water;
Planning and supervision of all agricultural activities, such
as fertilization, plant protection, tillage, irrigation, etc.;
Supervision of on-site manager or tenant;
Supervision of harvest;
Procurement of all goods and services necessary for proper farm
management;
Supervision of capital improvements;
Arrangement for and supervision of government programs affecting
property;
Arrangement for legal, accounting, and insurance services;
Budget preparation;
Bookkeeping, including collection of receipts and disbursements
of funds;
Management of operating funds;
Standard reporting on investment;
Marketing, if necessary;
Special projects as requested by investor
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Agricultural Land Sales
Analysis of property's sales
potential;
Investor representation;
Seller/owner representation;
Property advertisement with prospective buyers;
Coordination of real estate services required (i.e. legal, insurance,
title)
Review and/or negotiation of sales contract;
Supervision of real estate closing
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Agricultural Land Consulting
Technical consulting to investors,
institutions, and/or local farmers;
Environmental analysis (on a limited basis);
Tenant selection;
Irrigation/drainage improvement capabilities;
Crop damage analysis;
Improvement planning;
Building construction or repair;
Commodity marketing;
Risk management - insurance
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For
More Information...
We would love to hear from
you!
Drop us an email or call (501) 945-2426 to find the American Agricultural Service office nearest you!
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