Starting or Diversifying an Agricultural Business

A wide variety of production conditions and marketing opportunities provide Pennsylvanians with a multitude of possibilities for starting or diversifying an agricultural business. Several major metropolitan areas are within just a few hours' drive of different regions of Pennsylvania, providing vast market potential for crops and livestock produced. The direct marketing opportunities available to Pennsylvania farms improve the potential for increased prices for goods if the producer chooses to follow this path. Pennsylvania is also home to many livestock and poultry processing facilities that provide additional enterprise opportunities.

Farming can be a very satisfying lifestyle, but to be financially successful, you also need to view your operation as a business. Existing farmers considering diversification opportunities should carefully evaluate how the new enterprise will impact existing land, labor, capital, and management resources.

The Steps Involved

The first step in starting a new business or adopting a new enterprise is to choose opportunities that you are passionate about. Choosing an enterprise that you do not enjoy will only lead to a lack of interest or failure in the future. When considering a new opportunity, you should include your immediate family in the discussion. Family unity will lead to greater acceptance of time taken away from family activities during the start-up phase.

When considering a new enterprise, researching all aspects of the proposed enterprise is essential. Your first stop when starting any new business is your township office to determine if there are local ordinances that will impact your plans. Obtaining the necessary funding for your business, understanding the labor and management time requirements of the practice, and researching available markets for the product(s) you will produce should be your next steps. Good sources of information include your local public library, the Internet, and people currently involved in the type of business you are considering. The research should include the history of the industry, the present conditions, and the future prospects.

Develop a Business Plan

Before starting or diversifying your business, develop a business plan. A business plan requires you to think through the process of where you expect your business to go in the future and can be thought of as a roadmap for future business decision-making. Your business plan should describe your customers and the kind of marketplace in which you will operate. A business plan requires you to project costs and potential profits, consider the cash flow of your business, and reflect on how your business will adapt to a changing business climate. Most lenders require a written business plan before considering new funding. The business plan will also help determine the viability of an enterprise prior to initial cash outlays. Your business plan should not be treated as a static document but should be updated on a regular basis, especially if the business is facing changes relating to expansion, management, or sale of assets. The following sections describe the principal components of a well-constructed business plan.

Assemble Your Business Management Team

You should assemble a business management support team prior to starting a new business or diversifying an existing business. Your support team usually consists of you and your family, any business partners, a lawyer, an accountant, an insurance provider, and possibly a mentor. Although it can be time-consuming, the time spent cultivating your management support team will reap many benefits during the life of your business. Compatibility between your management support team members is critical because everyone will need to work together for the success of the business. This team will have your best interests in mind when making recommendations. They will not want the business to fail as they may have a monetary interest in it.

Choosing a lawyer and accountant familiar with your type of farming operation will be vital to the success of your business. The lawyer should advise you concerning alternative business structures, requirements for filing for a fictitious name for the business (if this is desired), and other relevant legal issues. If you are operating the business under your own name (for example, John Doe Farm), you do not need to file for a fictitious name. However, if you decide to operate the farm under the name "Green Acres Farm," you would need to file for a fictitious name. If you purchase or sell land, you will need to involve a lawyer.

The accountant will advise you concerning tax matters, employee payroll, recordkeeping practices, and other financial aspects of the business. If the accountant is completing your income taxes, they will want the records in a format that saves them and you time and money. Working closely with your accountant on recordkeeping from the beginning will save you time and aggravation in the future.

You should also consider including an insurance provider on your management support team. There are two types of insurance salespeople: brokers and agents. An insurance broker represents a variety of companies. The broker can consider which policies provide the best coverage for the money. One broker may not handle coverage for all types of farming operations. For example, because some brokers do not offer crop insurance policies, another salesperson will be required for that type of coverage. An insurance agent who represents only one company may also be able to fulfill your needs by offering "bundled coverage" discounts that may be price-competitive. You should interview both types of insurance providers to obtain the best coverage for the lowest cost. Another consideration should be the insurance provider’s track record with the claims department of the companies they represent, because this relationship will be critical if a claim is filed. Consult the members of your business management support team whenever you are considering changes to your risk management strategy. More information on insurance can be found in Agricultural Alternatives: Agricultural Business Insurance.

Be sure to tell your insurance salesperson everything you do on your farm and any new activities you are considering. They cannot provide adequate coverage if you do not disclose all potential sources of risk. For example, if you are considering a pick-your-own operation for a crop, tell your salesperson. It is cheaper to pay the premium and provide protection from potential liability than pay a legal judgment against your business. If you feel you cannot trust your insurance provider, find another who you can trust immediately.

Your mentor should have experience in the same or a similar business to the one you are considering or with business diversification changes if that is what you are pursuing. For a beginning operation, a mentor can provide valuable insights. Mentors can advise you concerning suppliers, markets, and production practices unique to the area in which your business will operate.

Extension educators are also useful management support team members. They can not only advise you regarding relevant production and management practices but they can also recommend programs and courses that would be useful.

Conduct a SWOT Analysis

Once you've decided to go into business and established your management support team, the next task is to conduct a SWOT analysis for your business, yourself, and your family. SWOT stands for Strengths, Weaknesses, Opportunities, and Threats.

• Strengths are internal factors. For example, what are the strengths of the business, including management, experience, and access to markets?
• Weaknesses are also internal. For example, what are the overall weaknesses of the business? What aspects of the operation cannot be covered by the members of the management support team?
• Opportunities are external factors. For example, what are the opportunities available to the business? Unique production or marketing opportunities may be available because of a team member or the location of the business or practice.
• Threats are also external. For example, is a portion of the business high risk or is extreme competition a possibility? Have you chosen an enterprise that is particularly susceptible to production and marketing risks?

You may use a table similar to the example below to help you organize the information for your SWOT analysis:

Involve as many people as possible in the SWOT analysis with the understanding that the process is meant to be constructive. The SWOT analysis can be an enlightening experience and is crucial to the beginning of any new venture. You may want to conduct a SWOT for assessing the business start-up and another for assessing your marketing ideas. A SWOT analysis can be done at any time during the life of a business and is particularly important when major changes are being considered.

For more information about conducting a SWOT analysis, please see Conducting a SWOT Analysis or the video Mapping your Business with SWOT.

Plan Your Risk Management Strategy

The SWOT analysis will help identify risks that your business may encounter. Every business plan should include risk management strategies. Changes in production practices can reduce risk (e.g., using irrigation to reduce the effects of moisture stress or to control the impacts of frost). Insurance and the legal protections of certain business structures are other effective risk management tools. You need to evaluate these strategies regarding effectiveness, expense, and difficulty of implementation.

Business Organizational Structure

The type of business structure you choose will have many implications for the future of your business. Common business structures used in agriculture include sole proprietorships, partnerships, C-corporations, S-corporations, and limited liability companies. According to the 2022 Census of Agriculture (USDA-National Agricultural Statistics Service), 85 percent of farms in the United States are structured as sole proprietorships, 6 percent are structured as partnerships, and 7 percent as corporations. The remaining 2 percent of farms are classified as 'other' and include trusts and prison farms, for example. Of those structured as corporations, 85 percent of these farms are organized as family-owned corporations. Each structure has advantages and disadvantages. In some cases, the choice you make at business start-up will be in effect for the life of the business.

• Sole proprietorships are the easiest type of business to start and dissolve. No legal filings are required unless it operates under a fictitious name. Advantages include less administration, lower fees, and sole control of the business by the owner. Some disadvantages include self-employment taxes and personal liability. Many farm businesses begin as sole proprietorships and grow into a formal structure as circumstances dictate.
• Partnerships begin when two or more people agree to enter a business together. There may be "silent" partners, and some partners may have less invested than others. Although in Pennsylvania, partnerships do not need formal documents for implementation, a written partnership agreement detailing the roles of each partner that is signed by all parties is the best option. The advantages of partnerships include no double taxation of profits or capital gains, distribution of responsibilities, and pooling of risk. The disadvantages include unlimited liability, taxation of earnings even if they are not distributed, and control of the business shared among the partners.
• C-corporations are traditionally used for larger businesses. Some agricultural operations are structured under these guidelines. The corporation is a separate legal entity that incurs all liability and continues until it is dissolved. The advantages of C-corporations include potentially lower taxes on earnings, the ability to set their own accounting year, and simplified division of income between shareholders. The ease of farm transfer to the next generation is also a benefit. Two major disadvantages of the C-corporation include double taxation (taxes are paid by the corporation on earnings and by shareholders on distributions) and a requirement for formal shareholder meetings that must include minutes.
• S-corporations are similar to C-corporations in that they have many of the same tax characteristics. The advantages of the S-corporation include passing losses to the shareholders, and any shareholder who receives profits from the company must also receive a reasonable salary. S-corporations are limited in the number of shareholders allowed. Some of the disadvantages include a requirement for special elections and potentially higher tax rates.
• Limited liability companies (LLCs) are one of the most recently developed business structures. An LLC may have only one member and can elect to be taxed at either the partnership or corporate level. Advantages of an LLC include owner liability being limited to the amount of the investment, ease of establishment, and no double taxation. Some disadvantages of LLCs are varying set-up requirements by states (some states do not allow LLCs) and differing state tax treatment from federal tax treatment.

The structure of the business is best decided by the owner with advice from the business management support team. Some of the structures discussed require a lawyer to implement; therefore, obtaining a lawyer’s advice before deciding on a business structure is best. The business structure will also play a part in your risk management strategies.

Any asset listed as part of a formal business structure (corporation or LLC) belongs to that business. If you list any personal items (cash or property) within the structure, it becomes subject to seizure in the event the business is sold to settle unpaid debts or legal judgments. The term most often used is "piercing the corporate veil." Careful consideration should be used when establishing any formal business structure.

Marketing and Advertising

Marketing and advertising are not identical terms in the business world. Marketing involves everything you do to identify and meet customer needs, including providing intangibles such as customer service, while advertising occurs when you pay to have a message or brand placed in a chosen venue such as in a newspaper or have a flyer delivered to residents of a particular zip code. Marketing includes decision-making regarding market outlet such as selling a product at auction or at a roadside market or stand. Advertising would include paying for a Facebook ad to have a post displayed to users showcasing your goods or services and where they can be purchased.

Every enterprise publication in the Agricultural Alternatives series stresses marketing considerations, and several address general marketing topics for fruits and vegetables, livestock, and cooperatives. Any new business or enterprise should consider the market outlets prior to beginning production. Making sure you have a market can promote success

Financial Management

Your business plan will include financial projections. Many of the publications in the Agriculture Alternatives series include sample budgets, which can serve as a guide in projecting start-up costs. A yearly budget and cash flow projections are also important when considering a new enterprise. The research you conduct will aid in establishing budget(s) and cash flow projections. The financial projections will help with the borrowing process for the new venture.

Creating a balance sheet will also be valuable when applying for a loan. Many loan applications are a version of a balance sheet where you list everything you own (assets) and everything you owe (liabilities). Assets minus liabilities equals your net worth (or owner’s equity). More information about how to develop a balance sheet can be found in Agricultural Alternatives: Developing a Business Plan.

Funding for your new business can be from a combination of sources including personal savings, family, business partners, friends, crowdfunding, banks, cooperatives, and government programs. Regardless of the source of funding, a business plan is critical to obtaining sufficient capital for your business and keeping your business on track. For more information on financing and business planning, please see Agricultural Alternatives: Financing Small-Scale and Part-Time Farms and Developing a Business Plan.

Human Resources

If your new business requires you to hire labor, you will need to address human resource issues. When nonfamily labor is employed, you will be required to keep additional records and follow various federal, state, and local guidelines. In most states, the employer is required to withhold federal (income, Social Security, and Medicare), state, and, in some cases, local taxes. These taxes must be paid to the government entity on a regular basis. In the case of social security taxes, the portion withheld from the employee must be matched by the employer, adding to the overhead of the business. Your accountant will inform you how and when to file these taxes.

To be competitive in the labor market, you might also need to consider offering employee benefits such as health insurance and paid vacations. Due to the seasonality of most agricultural businesses, you may consider hiring part-time employees and, therefore, offering benefits may not be necessary. In either case, your business will be competing with other businesses or industries for quality employees. Agricultural businesses often require specialized training of employees. Because the business does not involve the same tasks every day, employees usually take approximately one year or a complete production season to become comfortable with the range of tasks they must complete. An employee training program should be a part of the business and may require training new employees every year. Employee retention should be a priority for the business because of the high costs involved in recruiting quality employees and implementing and running training programs.

Laws and Regulations Pertaining to Employees

When you begin employing workers, there are specific laws and regulations that you will need to follow. One of the first things you should do before employing workers is to file for an Employer Identification Number (EIN) (irs. gov/businesses/small-businesses-self-employed/apply-for-an- employer-identification-number-ein-online). The form for filing is the IRS Form SS-4 (irs.gov/pub/irs-pdf/fss4. pdf). The EIN application process formally identifies you as a business. You will need to use the EIN on withholding forms and, in Pennsylvania, it may be used on forms filed with agricultural suppliers so you do not need to pay sales tax on your inputs.

The IRS Publication 51: Agricultural Employer's Tax Guide will help you learn the requirements you need to follow. There are several forms you will need to file and use for Federal and State tax withholdings. The IRS Form SS-8 covers the determination of worker status for the purpose of Federal employment taxes and withholding Federal income taxes.

A form you will need to file quarterly is the IRS Form 941: Employer's Quarterly Federal Tax Return. A Federal form that you will need to file annually is the IRS Form 940: Employer's Annual Federal Unemployment (FUTA) Tax Return and another annual form is the IRS Form 943: Employer's Annual Federal Tax Return for Agricultural Employees. At the end of the year, you will need to provide employees with an IRS Form W-2 Wage and Tax Statement. Not following the regulations for submitting taxes you withheld from employees has been the downfall of many businesses. It is critical you follow these regulations and adhere to the dates for submitting these withholdings. Your accountant can assist with more information regarding filing these forms.

Some people have heard that if you hire someone as an independent contractor, you do not fall under the employee withholding requirements. This may or may not be true. There are guidelines that dictate whether a person is an employee or independent contractor. To make this determination, the IRS has a list of requirements to help you decide. When hiring an employee, they will need to complete an IRS Form W-4 to determine tax withholding amounts and a USCIS Form I-9 to determine employment eligibility.

If you have more than a specified number of employees, the Environmental Protection Agency's Safe Drinking Water Act will impact your business. You will need to provide field sanitation facilities and potable drinking water for your employees. Even if you do not employ the specified number of employees, you should provide these facilities and drinking water as a common courtesy for all employees. This will also impact the Good Agricultural Practices (GAP) guidelines covered later in this article.

Other issues you may need to address include:

• Laws covering discrimination
• Migrant labor laws if migrant labor is used
• Housing regulations for any migrant employees
• Equal pay laws
• Americans with disabilities laws

You should consult your lawyer and accountant to make sure that your business is in compliance with all laws applicable to your employees. More information covering legal requirements for agricultural employers can be found in the Pennsylvania Tree Fruit Production Guide available through your local extension office or online.

Starting a Business

Once you have developed a business plan, assessed your strengths and weaknesses, considered the risks facing your business, selected a form of organization, and obtained financing, you are ready to start your new business or adopt a new enterprise. Once the business is in operation, it is critical to maintain records for future analysis and evaluation, not just for tax preparation. Continuous evaluation and adaptation are necessary for all businesses. Businesses that do not continuously evaluate what has been done and research new possibilities will struggle and possibly fail. Although the members of the business team may change over time, a team approach to management and organization will help guarantee diverse points of view and a broad knowledge and experience base for the business.

Workers' Compensation Requirements

Workers’ compensation is a type of insurance, not a tax. Workers' compensation covers employees if they are injured on the job. You can self-insure, but you will need to prove to the PA Department of Labor and Industry that you have the necessary assets to do so.

Workers' compensation insurance rates are based on the amount of payroll you have, and the tasks performed by your employees. An employee who operates equipment will incur a higher rate than an office staff person. As a business owner you are not covered by workers' compensation insurance.

Migrant Worker Regulations

Employing migrant workers entails another level of recordkeeping and requirements. The Immigration and Labor Handbook contains a wealth of information you should view. The handbook includes information covering documentation, housing, H-2A regulations, and much more. Another source of information is from the U.S. Department of Labor that includes the laws you will need to follow and how to comply with those laws.

Other Laws and Regulations

Pesticide Use Regulations

If your business requires the use of pesticides, the business and its employees must follow the U.S. Environmental Protection Agency's Worker Protection Standards. You can obtain these regulations from your regional Pennsylvania Department of Agriculture (PDA) office. If your operation uses pesticides, the Federal Insecticide, Fungicide, and Rodenticide Act will impact you. Even some organic pesticides may fall under this act so you should review the information to be sure. Another law impacting the application of pesticides is the Worker Protection Standards for Agricultural Pesticides. These standards pertain to owners and employees alike. You will be required to keep accurate records of pesticide applications and weather conditions during applications. Pesticide safety and storage are also governed by the standards.

A private applicator certification from PDA is required to purchase and/or apply restricted use pesticides on agricultural crops. Testing is required to become a certified private applicator. There is no charge for the exam, but once the exam is successfully passed, there is an initial $10.00 fee for the license. Additional testing is required if the applicator intends to use a restricted use fumigant. In this case, the applicator must obtain a special permit by passing a written examination specifically related to the type of fumigation that will be made. Private applicators are required to obtain update training (six core and six category) credits at three-year intervals for recertification. There is a $10.00 fee to renew the license at three-year intervals.

Soil Conservation Programs

The Natural Resources and Conservation Service (NRCS) has information regarding soil erosion and other programs that may greatly benefit start-up agricultural businesses. These are: the NRCS Electronic Field Office Technical Guide and NRCS Field Office Technical Guide. You should view both sources for more information. For an overview of information covering Federal laws, see the Penn State Ag Law Center's information.

Nutrient Management Regulations

If you plan to raise animals, Pennsylvania's Nutrient Management Legislation may apply to your operations. If you are not raising livestock but apply manure or fertilizers, these regulations will still impact you. Penn State has information covering the Nutrient Management Legislation in Pennsylvania. An additional source of information available from Penn State is a Summary of Act 38 of 2005.

Zoning Regulations

In Pennsylvania, the most local form of government is the township and it may have the most impact on your business. Before beginning any type of production, contact your township to see if they have zoning laws and how they may affect the viability of your plans. For instance, if your property is zoned for agricultural use, you may not be able to include a value-added or agritourism component to your operation. The Small Business Development Center has information regarding basic zoning laws.

Use and Licensing of Farm Vehicles

Farms often have farm vehicles that may need to run from field to field or farm to farm on public roads and this requires that you adopt safety practices and obtain appropriate registrations. If you are operating farm equipment (e.g., tractor(s), combines, etc.) on a paved road, make sure you have slow-moving vehicle signs prominently displayed and use seat belts, if available. Turning on all lights and using flashers will help drivers of other vehicles see you in time to slow down. Finally, never carry passengers on a tractor, especially on public roads. Tractor safety should be a major concern and proper rollover protection should be installed.
You may also have trucks or other farm vehicles that traditionally have license plates but may fall under some special provisions for vehicle registration when used primarily as a farm/agriculture vehicle. The Pennsylvania Farm Bureau has a website containing Transportation Information regarding driver qualifications you should view. The Penn State Ag Law Center also has a document that provides information covering statutes, definitions, and regulations governing farm vehicles. After you have viewed these information sources, The Pennsylvania Department of Transportation provides information on Farm Equipment Requirements. These sources will enable you to make decisions about your vehicles and know which laws and regulations pertain to your operation.

Organic Production Certification

Many new and beginning farmers are interested in organic production. Farmers using organic methods can choose whether to be certified. Organic certification does incur a cost and requires you to follow the organic guidelines and maintain production records to the satisfaction of the organic certifier that you use. There are marketing benefits to organic certification, including the ability to use the Certified Organic logo on your product packaging/label and marketing materials. Additionally, there are consumers willing to pay a premium price for organically certified products. Pennsylvania Certified Organic is the certifying agency based in Pennsylvania, but you are not required to have your production certified by a certifying organization in your state. USDA provides a listing of organic certifiers on their website. Certainly, you can use organic production methods and choose not to be certified. As with certification, there are advantages and disadvantages to consider. By not being certified, you will avoid the certification fees and there will be time savings on recordkeeping and inspections. However, you will likely be unable to price your product(s) at the same premium as certified products. Additionally, building trust with consumers looking for organic products will become even more essential as they cannot rely on the logo to guide their choices. Lack of organic certification may also limit your ability to sell your product as organic to retailers and wholesalers.

Value-Added or Food Processing Business Regulations

If considering value-added or food processing businesses, be aware that these forms of business require more in-depth research than for a strictly commodity-producing agricultural business. Township or county officials may view a farm-based, value-added enterprise as a manufacturing business, subject to different zoning regulations. Consult your local municipal officials about zoning restrictions that may affect your plans, including any need for a zoning variance. Your research on value-added opportunities will need to include pricing, packaging, and marketing the finished product. You should also contact the Pennsylvania Department of Agriculture (PDA) concerning regulations related to your proposed business. Because most value-added businesses in agriculture are food-related, you will need to follow additional regulations. In particular, it is important to understand how the Federal Food Safety Modernization Act could affect a food processing business. This act focuses on ensuring the safety of the U.S. food supply by shifting the focus to preventing contamination rather than responding to it. Penn State Extension's Food Safety Modernization Act website explains the act and its regulations and provides answers to numerous frequently asked questions.

Before starting any construction for a food-related business or enterprise, you must contact the PDA (or, if not in Pennsylvania, your state's appropriate regulatory agency) to ensure you are following all applicable regulations. Food preparation regulations may require certain types of equipment and equipment made from specific materials (for example, stainless steel). You must follow these regulations because initial and subsequent inspections will be required. If the business fails an inspection, the operation will not be allowed to continue until any violations are corrected.

If the business involves processing animals, you must meet certain other requirements before beginning operations. If any animal products cross state borders, the facility must be USDA-inspected and an inspector must be on the premises during slaughter. If the animal products stay only in-state, then PDA is the regulatory agency. You should contact the PDA regardless of your initial marketing plans. They can inform you of the agencies responsible for your operation. Packaging and labeling requirements must also be met, regardless of which regulatory agency is responsible for monitoring your operation.

Good Agricultural and Good Handling Practices

Good agricultural practices (GAP) and good handling practices (GHP) are voluntary programs that you may wish to implement within your operation. These programs set standards for worker hygiene, use of manure, and water supply quality. The objective of these programs is to reduce the likelihood that products are contaminated and of contaminated products reaching consumers and causing foodborne illnesses. Also, several major food distribution chains require their suppliers to be GAP and GHP certified.

Similar to organic certification, GAP and GHP certifications require an inspection, or audit, from a designated third party, and there are fees associated with the inspection. Prior to an inspection, you will need to develop and implement a food safety plan and designate someone in your operation to oversee this plan. You will need to have any water supply used by your workers or for crop irrigation and pesticide application checked at least twice each year. A checklist of the questions to be asked during the inspection can be found on the USDA GAP Audit Program website. For more information about GAP and GHP, contact your local extension office or your state’s department of agriculture.

Additional sources of information may be found at the Penn State Food Safety website which also contains assistance with creating Food Safety Plans. If you are planning to produce value-added food products, you should view the Pennsylvania Food Code and Hazard Analysis and Critical Control Points (HACCP) guidelines.

Next Steps

Once you have developed a business plan, assessed your strengths and weaknesses, considered the risks facing your business, selected a form of organization, and obtained financing, you are ready to start your new business or adopt a new enterprise. Once the business is in operation, it is critical to maintain records for future analysis and evaluation and not just for tax preparation. Continuous evaluation and adjustment are necessary for all businesses. Businesses that do not continuously evaluate what has been done and research new possibilities will struggle and possibly fail. Although the members of your business team may change over time, continuing to use a team approach to management and organization will help guarantee diverse points of view and maintain a broad knowledge and experience base for the business.

Although it might seem counterintuitive, it is a good idea to consider your exit strategy as part of your initial business planning. Planning to start a business when in your 30s is much different than when you are in your 50s. When you are younger, you will be focusing on growing your business and strategies that will keep it financially healthy for the next 20–30 years. Beginning a new business or enterprise when you are older means you likely have shorter-term goals and may also need to plan for transferring or liquidating the business and retirement. When younger, you may think the business will be operational for your children to take over when they are older. If you start small and grow the business throughout the years, they will have grown up close to the business and will have seen how it operates, which might inspire them to continue what you have begun. As you approach retirement age, you may find that your children have decided they do not want to be part of the business. You need to decide if you want the business to continue or sell and use the money to fund your retirement. If you wish the business to continue, you might need to seek out someone interested in your operation.

For More Information

Harper, S.C. 2003. The McGraw-Hill Guide to Starting Your Own Business: A Step-by-Step Blueprint for the First-Time Entrepreneur. 2nd Edition. New York: McGraw-Hill Inc.

Kime, L. F., J. A. Adamik, E. E. Gantz, and J. K. Harper 2004. Agricultural Alternatives: Agricultural Business Insurance. University Park, Penn State Extension.

Kime, L. F., W. W. McGee, S. M. Bogash, and J.K. Harper 2014. Agricultural Alternatives: Developing a Business Plan. University Park, Penn State Extension.

Krawczyk, G. et al. 2022. Penn State Tree Fruit Production Guide. University Park, Penn State Extension.

Pinson, L. 2014. Steps to Small Business Start-Up: Everything You Need to Know to Turn Your Idea into a Successful Business. 8th ed. Chicago: Dearborn.

Stokes, J. S., G. D. Hanson, J. K. Harper, and L. F. Kime. 2005 Agricultural Alternatives: Financing Small-Scale and Part-Time Farms. University Park, Penn State Extension.

For information about Regional Small Business

Development Centers, contact your local extension office or go online

Starting a Business in Pennsylvania, Pennsylvania Department of Revenue

On-line Courses

Starting a farm: Is farming right for you

Starting a farm: Business planning

Ag101: Introduction to Agriculture

Periodicals

Bloomberg Businessweek
Phone: 1-800-635-1200

Inc. Magazine

Successful Farming

Websites

Penn State Extension, Farmland Zoning

Penn State Extension, A Guide to Farming in Pennsylvania: Planning

Prepared by Sarah A. Cornelisse, senior extension specialist in agricultural economics; Lynn F. Kime, former extension specialist; and Jayson K. Harper, professor of agricultural economics.

This publication was developed by the Small-scale and Part-time Farming Project at Penn State with support from the U.S. Department of Agriculture–Extension Service.