Increased profitability
Our managers take a pro active hands-on role in crop planning, input purchasing, soil management, machinery operations, crop scouting, and stored grain management. Each manager uses a 4-wheel drive vehicle to get out on the farm and in the field to actively manage crop production and improvement projects.

Our net fee system (production expenses are deducted before calculation of management fees) provides an incentive for the manager to utilize top management practices at the lowest cost to produce the best bottom line results.

We have developed our own GPS soil mapping/soil sampling system to more accurately assess soil fertility. This system is achieving three goals; applying fertilizer where it will produce the greatest returns, protecting the environment by using rates based on existing soil fertility, and maintaining in-house control of soil fertility records to guarantee independent decision-making and dealer selection flexibility.

Managers are constantly learning about and applying new practices to enhance our clients' bottom line and improve the value and productivity of their farms. The knowledge gained in directly managing crop operations also provides benefits to cash rented farms. We transfer our experience to our farm operators to help them become more efficient and produce more income to justify top cash rents.

Analysis of Operating Alternatives

Leasing or operating alternatives are tailored to fit the farm and match your income, risk tolerance, and farm involvement goals. The basic leases we use are cash rent, modified 50-50 crop share, 75-25 crop share and custom farming.

Management based on a complete inventory of your farm resources

When assuming management of your farm, a complete inventory is made of the land, soils, buildings, drainage, conservation improvements, and problems that need attention. After gathering the physical information, along with courthouse and government program data, we are in position to make recommendations to you and work with the farm operator.

Crop planning decisions including type of crop, tillage methods, fertilizer, herbicide and insecticide recommendations are agreed to with the operator. New production technologies are studied, analyzed, and transferred into results on your farm. When assuming management of your farm, a complete inventory is made of the land, soils, buildings, drainage, conservation improvements, and problems that need attention. After gathering the physical information, along with courthouse and government program data, we are in position to make recommendations to you and work with the farm operator.

Crop planning decisions including type of crop, tillage methods, fertilizer, herbicide and insecticide recommendations are agreed to with the operator. New production technologies are studied, analyzed, and transferred into results on your farm.

GIS Analysis- for appraisal purposes is the computerized process of combining soil maps, satellite photos, soil productivity ratings, and digital land measurement to produce accurate maps of a parcels productivity rating (CSR). Corn Suitability Rating is a standardized method developed by Natural Resources Conservation Service to compare relative productivity of soils. Most buyers use CSR ratings as a comparison method to evaluate potential purchases.

Knowledgeable grain marketing
Grain marketing requires daily attention. We monitor the Chicago Board of Trade and local elevator prices using the internet, analyze market information and talk with industry contacts on a daily basis to stay current. Being aware of the best market in the area when selling grain adds to our clients' profits

Marketing methods include cash sales, forward contracts, put or call options, and no-basis-established contracts. New demand from ethanol production and increased livestock feeding will be substantial. On-farm grain storage will become more important to control costs and maintain the flexibility to sell to the best markets.

Successful marketing requires combining knowledge of past market performance, current crop prospects, world economic conditions, and market psychology with the cash flow needs of each client.

A unique management fee system based on net crop income emphasizing expense control
Fees for crop share and custom operation are based on adjusted net crop income, a fee system offered by very few farm management firms. This arrangement has a basic fee of $2.00 per acre plus a percent of the net crop income based on the size of the farm. Net income is derived by subtracting seed, fertilizer, insecticide, herbicide, crop drying, storage, crop insurance, and trucking costs.

This is a more equitable method than the gross income fees most firms use:

• No management fee other than the basic fee is due until crop income exceeds crop expenses.
• It Provides incentive for your manager to hold down costs, while maximizing income for you.
• Crop input costs continue to rise each year resulting in silent fee increases under gross fee systems as expenses become a larger percentage of farm income.
• Our net fee system reduces fees 15 to 25% for our clients over common gross fee rates.
  
  

Realistic cash rent management fees

Although there are still many important issues for a manager to handle with a cash rent lease, our time requirements are less without the day to day responsabilities of growing and marketing crops. To fairly reflect our reduced time input, our cash rent management fee schedule is approximately 1/3 less than other lease arrangements.

We believe you will find a favorable advantage if you compare our fee schedule to other farm management companies.

Useful, complete financial reports A farm checking account is established in a bank as directed by the client or we can arrange for a farm account at a Storm Lake Bank.

Quarterly operating statements and inventory reports document all income and expenses.

Progress reports during the growing season update crop conditions and other projects on the farm.

Year end reports provide complete financial accounting, inventory, marketing intentions, proposed changes in the operation, plans for next year and other pertinent information. This gives you complete information for tax preparation and keeps you informed of the farm's business affairs.

Cash flow budgets
An annual cash flow/budget is prepared for each farm in January. This allows the manager to analyze profitability of the planned operation and project cash flow. By analyzing projected cash flow, we can tell our clients when to expect profit distributions or when additional capital will be needed to finance the farm operation or planned improvements.

Progress reports

Stalcup Agricultural Service managers provide periodic reports on crops and improvement projects in addition to updates in quarterly reports.

Crop production and agriculture in general is a constantly changing business that requires constant attention to ensure success.

Our goal is to keep our clients fully informed and involved in their farm investments.

Succession planning - real estate services

Many families consider their farmland to be more than an investment, it is part of their family heritage.

We have worked with many people over the years to design successful farm ownership transition plans.

There are some important concepts that many families should adress as they consider the future ownership of their land:

• Determine who is interested in land and who would be satisfied recieving other assets. It is important when land is transferred that the ownership is not fractionalized to the point that an ownership interest is not significant or that management progress is compromized by too many owners.
• We regularly send farm reports and correspondance to the next generation to keep them informed and generate interest in the families' farming operation
• Consider long term care insurance. This insurance can provide the confidence to transfer assets later in life and still have the ability to pay expenses, and make sure the land investment will not have to be liquidated to cover long-term care expenses

 

If you need a succession plan we have the experience to help your family maintain or increase their level of farm ownership.

 

Farm managers serve as advocates for you and your farm

Stalcup Ag Service managers Routinely provide additional client services and representation beyond the day to day management of your farm business at no cost.

• Drainage district improvements or neighborhood drainage projects
• Distribute farm profits to family members as needed for living costs
• Propose farm division plans, if needed, to meet family ownership goals.
• Income management to minimize income taxes.
• Analize the feasability of expanding by buying additional land.
• Handle discussions/negotiations with state or county road departments on projects affecting your land.
• Report on any enviromental practices or potential risks that could impact your property
• Inform you and manage any opportunities, such as wind energy, that might provide additional profit opportunities for your farm.
• Operating partnership agreements that allow family members to combine seperately owned land interests for a more efficient operation.

Stalcup Agricultural Service managers will handle any issue that effects your farmland and make sure that you are fully informed to make good decisions.

One of only a few firms in the nation with a fully accredited farm manager staff

Stalcups' farm managers and appraisers are all accredited by the American Society of Farm Managers and Rural Appraisers (ASFMRA). The titles AFM (Accredited Farm Manager) and ARA (Accredited Rural Appraiser) are awarded to individuals who meet stringent requirements:

• Completion of educational requirements, AFM , 8 schools, 134 hours, ARA, 9 schools, 259 hours.
• 5 years experience
• A rigorous two-day written and oral exam which thoroughly tests the candidates practical knowledge and response to unexpected challenges posed by seasoned veterans.

Every Stalcup Ag Service manager and appraiser is required to become accredited as soon as possible. Our current staff is 100% accredited.

In addition, Stalcup Ag Service has a decades-long educational leadership heritage in the ASFMRA. Recognition of that leadership is provided by the H.E. Buck Stalcup Excellence in Education Award that is presented annually to an outstanding participant in the ASFMRA educational process.

When you work with Stalcup Ag Service, you can be sure of having qualified, experienced, and motivated people represent you and your interests.