AGRICULTURAL
DIVERSIFICATION
WHY DIVERSIFY?
Farming subsidies fluctuate.
Commodity pricing.
Cheap food imports.
SOME OPTIONS
New technology
Food production
Renewable
energy
producuction
Tourism
Retail
5 THINGS TO THINK ABOUT
BEFORE DIVERSIFYING
1. Protect your business
Make sure your existing business’s
legal documentation is in place.
Think about succession planning.
2. Weigh up grants & subsidies
Some subsidies support farming; others support
diversified sectors such as renewable energy.
3. Inheritance tax:
Agricultural Property Relief (APR) v
Business Property Relief (BPR)
Agricultural assets are protected by more favourable relief (APR)
against Inheritance Tax - which can make diversification a minefield.
4. The farmhouse
Who lives here and its role in the business can have
big tax implications.
5. Planning permission
Consider if you will get planning permission before
you invest too much time or money.
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