Crop Share Rental Agreements for Your Farm

Editor's note
The following abstract describes a publication that is available as a PDF. A link to downloading is on this page.

North Central Regional Publication

Cropland rental arrangements vary widely across localities and farming areas. This publication’s purpose is to help operators (lessee) and landowners (lessor) make sound decisions and develop equitable crop-share arrangements. Crop-share arrangements refer to a method of leasing crop land where the production (crop) is shared between the landowner and the operator. Other income items, such as government payments and crop residue, are also often shared as are some of the production expenses. The specific terms – the crop share percentage and which expenses are shared – will vary considerably across geographical regions and should be negotiated between the two parties. The first section of this publication addresses the relative advantages and disadvantages of crop-share leases. Part II of this publication addresses basic principles important for a crop-share lease, while Part III of this publication addresses specific methods and concerns with the development of equitable crop-share lease arrangements. Buildings, pasture, and other cropland are often involved when leasing cropland. How to deal with these parts of the operation is discussed in Part IV of this publication. Part V of this publication discusses the importance of developing a written agreement. A sample lease form is included at the end of this publication.

Topics

  • Advantages and disadvantages of crop share arrangements
  • Establishing a crop-share arrangement
  • Developing an equitable crop-share lease arrangement
  • Establishing rents for other cropland, pasture and buildings
  • Putting the agreement in writing

Pages

24