Unique Farm Management Fee System

Unique Farm Management Fee System

Fees for custom and custom-share operations are based on adjusted net crop income, a fee system offered by very few farm management firms.  This arrangement has a basic fee of $3.00 per acre plus a percent of the net crop income.  Net income is derived by subtracting crop production costs including:

  • seed
  • fertilizer
  • pesticides
  • drying
  • storage
  • crop insurance
  • machine hire
  • trucking

Crop input costs continue to rise each year resulting in silent fee increases under gross fee systems.  Our net fee method provides incentive for your manager to control costs while maximizing income for you.  No management fee other than the basic fee is due until crop income exceeds crop expenses.

Cash Rent Management Fees

Management fees are based on a percentage of cash rent income.  Although there are many important issues for a manager to handle with a cash rent lease, our time requirements are less without the day to day responsibilities of growing and marketing crops.  Our cash rent fee schedule is approximately one-third less than other lease arrangements.