Home > News > Crop Share, Fixed Cash Rent or Flexible Cash Lease; How do Profits Compare?

With a host of options to generate land revenue available to farmers and ranchers, an Indiana farm was used in a recent case study to illustrate the net returns of various land leasing arrangements. Which leasing option yields the highest profit? That all depends on variables of the operation. Landowners should start by assessing key questions to determine which is best for their operation, including the following. What are the landowners goals? What’s the current financial cadence of the farm? How much financial turbulence could the operation withstand? The study found that a one-third crop share lease more closely reflects changes in gross revenue and crop profitability over time. For many, this may be the most attractive leasing agreement. Read more on the study here to determine which may be the best fit for your operation.

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