Mark Modzeleski, Legacy Wealth Advisors of NY, LLC
Over the last several weeks, we have spent a lot of time talking about the softer side of farm succession, continuity, transition, and transfer planning.
And I know “soft side” is not always the phrase farm families want to hear. Most people want to get to the point. They want to know what the structure should look like, what the tax impact is, what the attorney needs to draft, what the accountant needs to know, and what the next step is.
I understand that.
Most conversations around farm transition eventually involve attorneys, accountants, taxes, ownership percentages, trusts, LLCs, insurance, buy-sell agreements, and legal documents. All of those things matter. But this series intentionally started somewhere different. We started with people.
We talked about understanding your goals before you can ever build a plan to get there. We discussed the reality that family goals and business goals are not always the same thing. We talked about the idea that fair is not always equal, and equal is not always fair, especially in family operations where compensation, ownership, workload, leadership, and responsibility are often deeply intertwined.
We spent time talking about leadership. Who leads when everything changes? Who steps forward during tragedy, illness, disability, or unexpected change? What happens if the person making the decisions today suddenly cannot make them tomorrow? How does the business continue? Who has authority? Who has trust? Who has confidence from the rest of the team?
We also talked about the importance of planning beyond production. Beyond yield maps. Beyond this year’s crop, this year’s milk price, this year’s weather, or this year’s input costs. Truly successful farms think beyond next season. They think about culture, talent development, communication, leadership, and the long-term sustainability of the operation itself.
And throughout this entire series, there has been one recurring theme: succession planning is about far more than money.
Farm succession, as it sounds, is determining who succeeds the current ownership or leadership group. I intentionally separate ownership and leadership because those are not always the same people.
Succession asks questions like: Who will lead? Who will own? Who will make day-to-day decisions? Who will make long-term strategic decisions? What role will each generation play financially and operationally?
Continuity planning focuses on something different. Continuity planning asks: What happens if there is tragedy? What happens if someone in leadership passes away unexpectedly? What happens if illness, disability, injury, or burnout suddenly changes the structure of the farm? Who gets called into action? Who has authority? How does the operation continue? How do we protect employees, vendors, lenders, and family members from chaos during a stressful time?
And then there is transfer and transition planning. Does the farm transfer to the next generation? Does it transition partially to key employees? Does it become monetized and sold? Is there a partnership with neighbors? How do we create a structure that allows the business to remain viable for years to come, even if ownership changes?
These are complicated conversations. Emotional conversations. Sometimes uncomfortable conversations. But they are necessary conversations.
One thing we have not spent enough time discussing throughout this series is the technical and financial side of planning. That was intentional because too often people start there before they understand the bigger picture. But the financial side matters immensely.
Once goals are identified, leadership is discussed, and communication begins to improve, the next step is making sure the proper structure and documents are in place.
That means buy-sell agreements, partnership agreements, operating agreements, last wills and testaments, powers of attorney, healthcare proxies, trust planning, beneficiary designations, valuation planning, entity structure reviews, and liquidity planning.
It is critically important that farms build a strong professional team around them. An experienced agricultural attorney. An accountant who understands valuation, taxation, and estate planning. Perhaps an insurance professional or financial planner who can help provide liquidity and structure should the operation need it. A lender who understands the business may also be part of that team.
Mistakes in this area can be incredibly costly and can threaten the long-term viability of the farm itself.
Proper planning techniques matter. Trusts established during life or at death. Valuation discounts. The transfer of land and equipment between generations. Flexible payment structures that allow the next generation to survive financially. Understanding debt obligations and potential technical defaults on loans or mortgages after death or transfer. Protecting surviving spouses. Protecting minority owners. Protecting the operation from unnecessary taxation or forced liquidation.
These things matter.
And while this blog series focused heavily on the people side of transition planning, the reality is that when we work through these plans in real life, more than half of our time is often spent on the financials and the documents. The structure matters because those documents become the roadmap people rely on when emotions are high and stress levels are elevated.
One of the things I often tell families is this: you can always agree later to do something differently than what was written down. But if you cannot agree during a difficult moment, those documents become the guideposts.
If you cannot agree when things are good, it becomes incredibly difficult to agree when things are stressful. That is why planning matters.
But I want to reiterate something that I believe deeply.
Transitioning leadership is just as important as transitioning ownership. Transitioning decision-making is just as important as transitioning assets. Transitioning culture is just as important as transitioning land.
At Legacy Wealth Advisors, our firm carries the word “legacy” for a reason.
Every family has a legacy. Some legacies are prosperity. Some are stewardship. Some are sacrifice. Some are generosity. Some are resilience. Some unfortunately become conflict, dependency, or division.
This planning process gives families the opportunity to become co-authors in the story of what happens next.
Many of the farm families I have worked with over the last 25 years care deeply about the land. They care about stewardship. They care about the people, the crops, the livestock, the equipment, and the generations of work that came before them. Most of them would prefer that the farm continue in some form for generations to come.
But not every farm succeeds long term.
Sometimes economics change. Sometimes markets shift. Sometimes leadership struggles. Sometimes the next generation is uninterested. Sometimes the world changes faster than the farm’s willingness to adapt.
And often, the farms that struggle long term are not lacking work ethic. Farmers know how to work. More often, they are lacking leadership development, communication, talent development, or the ability to embrace reasonable change and risk.
The agricultural industry is evolving faster than ever before. Technology changes faster. Margins change faster. Regulations change faster. Markets change faster. Consumer expectations change faster.
The farms that position themselves best for the future are often the farms willing to develop people, develop leaders, communicate openly, adapt intelligently, take calculated risks, and plan intentionally.
There is no ego in succession planning.
There is success in succession planning, assuming everyone is rowing in the same direction.
The best analogy I can think of is a rowing team.
Imagine your family or leadership team sitting together in a long rowboat. Four people. Six people. Eight people. Ten people. Half rowing on the right side. Half rowing on the left.
For that boat to move straight down the lake, everyone must row together. Same direction. Same timing. Same rhythm. Same purpose.
If one person rows backward, the boat changes direction. If one side rows harder than the other, the boat drifts off course. If everyone rows at different tempos, chaos takes over.
If you have ever watched competitive rowing, it is remarkable how synchronized those teams become.
Now imagine that same challenge inside your own family or business.
Would everyone row together? Would the boat drift? Would it spin in circles? Would some people stop rowing entirely? Would you even finish the course?
The majority of farm families I have worked with over the years have done an incredible job positioning the next generation for success. Not all farms succeed, but many do. And the ones that do tend to focus on communication, leadership, adaptability, and intentional planning.
The future of agriculture remains incredibly bright. The industry will continue to evolve. The speed of change will continue to increase. The farms that understand how to identify opportunity, manage risk, develop leadership, and build intentional continuity plans will position themselves best for long-term success.
As a final thought, I also want to acknowledge the role organizations like the New York Corn and Soybean Growers Association continue to play in helping farms remain profitable and sustainable.
Their work supporting advocacy, education, compliance, marketing, and policy development helps create an environment where farms across New York State have a better opportunity to succeed long term. Their work in Albany and Washington matters. Their partnerships matter. Their commitment to helping agricultural businesses remain viable matters.
This series itself is evidence of that commitment.
The goal is not simply to help farms survive the next season. The goal is to help farms remain sustainable and successful for generations to come.
Whether that future includes transition to the next generation, partnership with neighboring farms, key employee ownership, or simply helping a business navigate difficult times, the objective remains the same: help farm families make thoughtful decisions that position them for long-term success.
It has been a privilege writing this series, and I am excited to continue expanding on these conversations at the Summer Crop Summit with the New York Corn and Soybean Growers Association.
At the end of the day, every farm grows a cash crop.
But the farms that endure for generations grow something far more important.
They grow a legacy.