Whether you're retiring or changing career direction, it's essential to prepare properly for the sale of your farm. Here are a few tips to help you find the right buyer for your farm.
Before actively looking for a buyer, it's important to prepare your farm:
- Carry out a full diagnostic of your farm, including technical, economic and environmental aspects. This will give you a clear picture of the value of your property and its assets.
- Update your administrative and accounting documents. A well-organised file will reassure potential buyers.
- Carry out any necessary repairs and improve the general appearance of your farm. A well-maintained farm will be more attractive to buyers.
If the majority of transfers take place with buyers from your close circle of acquaintances (family, friends, employees, neighbours, etc.), you may need to look further afield.
Three years before your normal retirement age, you will receive a letter from the MSA asking you to fill in a form called ‘DECLARATION D'INTENTION DE CESSATION D “ACTIVITÉ AGRICOLE” (DICAA). This form will enable you to be contacted by an adviser from the Chamber of Agriculture to register your farm in the Répertoire Départ Installation.
To find a buyer, it is vital to publicise your offer widely:
- Register with the Répertoire Départ Installation (RDI) managed by the Chambers of Agriculture. This tool brings together sellers and prospective buyers.
- Post your advert on websites specialising in the sale of rural properties and farms, such as ma-propriete.fr.
- Use the services of firms specialising in farm transactions: we have a large number of advertisers who specialise in farm sales and cover a large part of France. We also offer a free matchmaking service.
- Call on your professional network: farming unions, cooperatives, suppliers. They may know people interested in your farm.
- Contact the agricultural colleges in your region. Some young graduates may be looking for a farm to take over.
When you receive expressions of interest, it's important to be well prepared for the meetings:
- Prepare a detailed presentation of your farm, including its history, current operations and future prospects.
- Organise a full tour of the property, highlighting its strengths and potential.
- Be transparent about the strengths and weaknesses of the farm. This honesty will be appreciated by serious buyers.
- Listen carefully to the buyer's plans. His vision for the future of the farm may differ from yours, but it may be just as viable.
Once you've found a potential buyer, the negotiation phase begins:
- You need to have set a realistic selling price based on the real value of your farm and local market prices.
- Be open to discussion about the terms of the sale. Some buyers may need gradual financing or transition periods.
- Don't hesitate to call in an expert to help you with the legal and financial aspects of the transaction.
Once the sale is completed, your role is not over:
- Propose a transition period during which you can train the buyer in the specifics of your farm.
- Pass on all the information needed to ensure continuity of the business: supplier contacts, specific features of the land, etc.
- Remain available to answer the new owner's questions in the first few months after the takeover.
Finding a buyer for your farm takes time and preparation. By following this advice and remaining patient, you will increase your chances of finding the right buyer for your farm, thereby ensuring the continuity of your work and contributing to the generational renewal of the farming industry.
If you don't think you can manage these stages yourself, it will be very useful to call on the services of a professional negotiator.
Here are some additional resources we have put at your disposal to provide you with all the information you need for your transfer project.
