DO NOT panic as ONE of our farmland renters. What follows is just (some interesting farm info) and number estimates for re-negotiating our farmland rent with you for 2023. Everything is NEGOTIABLE ... One must Learn to Negotiate:  https://sites.google.com/view/phd123-xyz/learn-to-negotiate-123 

(click on banner above) or --> https://www.gov.mb.ca/agriculture/markets-and-statistics/crop-statistics/grains-oilseeds-market-prices-current-year.html 

(click on banner above) or --> https://youtu.be/X5rVPc7lvjQ?t=275 

Farmland Rental rates at May 1, 2023

eg. Understanding 'Governments Hidden Inflation' on its citizens (farmers):

$7,646,447 (2023 Farmland value) - $6,559,653 (2022 Farmland value) = $1,085,794 'Gain'

• $1,085,794 / $6,559,653 = 16.55% over 4 years or 4.13% per year (inflation)

• 
  

2023 Rent is $7,646,447 (2023 Assessed Farmland value) x 4% - (the 1.8% LFTBODLTR discount) = $305,858 + $48,042 (Property Taxes) + $17,695 (GST) = $371,595 yearly (or $185,797 spring & fall)

• $7,656,447 / 2585.634 = $2,961.15 per acre x 4% = $118.45

• 2585.634 acres x $118.45 = $305,858 + Property Taxes + GST

2022 Rent was $6,559,653 (2022 Assessed Farmland value) x 4% - (the 1.8% LFTBODLTR discount) = $262,386 + $45,321 (Property Taxes) + $15,385 (GST) = $323,092 yearly (or $161,546 spring & fall)

• $6,559,653 / 2585.634 = $2,536.96 per acre x 4% = $101.48

• 2585.634 acres x $101.48 = $262,386 + Property Taxes + GST

100% of land rental income goes to 'WHOM' (really) owns the 'farmland'

eg. the 1st option:

• 100% owned by the farmer/banker means the farmer/banker gets 100% of the 'benefit'

or 2nd option:

• 20% downpayment (the 'CEO/GM (General Manager)' farmer gets, LESS THAN 4% ROI on his 20%)

• 80% borrowed at 5.8% (NOT 4%) means YOU farm for the BANK + 1.8% tip

(moving from option 2 to option 1 slowly can take over 50 years)

(Thinking into the Future: a 100% sale of farmland at retirement causes 50% capital gains taxes but a 100% stake in public shares (of 1 to 1,000,000 acres of farmland) means you can (accummulate or decrease) your number of shares (slowly or never) and slowly 'get out of' the farm labour as other (younger) farmers 'get into doing' the farm labour without a capital gains tax (trigger) event.)

or the 3rd option: (the 50/50 partnership) both parties 'Fast track' their way to 50/50 from 20/80

• 50% owned by partner 1 (a farmer/'banker') with (owned but restricted) Class A shares listed on the public (or private) stock exchange

• 50% owned by partner 2 (a 'farmer'/banker) with (owned but restricted) Class A shares listed on the public (or private) stock exchange-

• 50% + 50% = 100% and when floated on a public stock exchange this gives retiring farmers alot of wiggle room ... one only needs to sell enough to live on!

Hint: LFTBODLTR - Learn From The Best Or Die Like The Rest

What did the CEO/GM Larry Fink ... the (C-Suite) farmer do? 

1. He owns 0.3% of BlackRock (BLK) https://ca.finance.yahoo.com/quote/BLK?p=BLK 

2. He is paid 0.00712% of the Profits of BlackRock every year.

3. He is Risk Averse. (he DOES NOT like 'Risky Business' Investments)

(samples) Publically traded: 

1. BlackRock (BLK) https://simplywall.st/stocks/us/diversified-financials/nyse-blk/blackrock/management 

2. Berkshire Hathaway (BRK) https://simplywall.st/stocks/us/diversified-financials/nyse-brk.a/berkshire-hathaway 

SVCU loan rates at Apr 21, 2023

SVCU loan rates at Jan 15, 2023

SVCU loan rates at Nov 10, 2022

SVCU loan rates at May 1, 2022

Point of Contact:

https://www.facebook.com/randy.colbert 

https://wheresheworks.com/public/profile/randy-colbert