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Joe Pennington
501-690-5925 |

Charles Fuller
662-390-6114 |

Farm Lease/Operating Arrangements | Client Reporting
Services Description | For More Info

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.

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.

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.

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.

Client Reporting

For each client, AAS prepares one or more of the following standard reports on a continual basis:

December Budget
  • Analysis of past year
  • Production/reproduction plan
  • Production/reproduction techniques
  • Marketing plan
  • Proposals concerning repairs/new investments
  • Monthly cash flow budget


First Quarter


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
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)

Services Description

American Agricultural Service offers a complete agricultural land management, sales, and consulting services program which includes the following:

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

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

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

For More Information...

We would love to hear from you!

Drop us an email or call (501) 690-5925 to find the American Agricultural Service office nearest you!

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