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Becoming a Contract Grower: Important Integrator Considerations (Article)
By: Dusty Compart , Associate Financial Services Specialist
TAGS: Swine, Young, Beginning Farmers, Risk Management Planning
February 24, 2017 -

The contract between a grower and an integrator is an important business commitment. Before you move right into a contract, there are 4 key areas to consider before signing the dotted line.

  1. Consider the integrator’s local reputation. Ask current growers about that specific integrator and how they like growing for them. Knowing how they operate and how well they are to work with, makes a big impact on your operation.

  2. Determine whether the culture of the integrator aligns with your own. Get to know their expectations and compare those to yours. Assess if they align well or if there are areas that need to be evaluated. Just like in your community, families have varying communication styles and cultures that are more or less like your own. Get to know the integrator and their management team to ensure the right personal fit.

    [DOWNLOAD: The Definitive Guide
    to Becoming a Contract Grower]

  3. Assess the integrator’s building design requirements. For the most part, every integrator has an opinion of how a new barn should be constructed. Some even require you to build your facility a certain way in order to grow for them, this can affect the overall cost of the barn. Barn dimensions, ventilation system, pen size, feeder type and size, etc. can all vary between integrators’ requirements.

  4. Evaluate contract terms. It is important to fully understand the contract between you and the integrator.

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Dusty Compart
Associate Financial Services Specialist
Dusty Compart is an Associate Financial Services Specialist on AgStar’s Core Markets Team and has been with AgStar since 2015. Dusty’s role is to work with clients who are pursuing farm business diversification or expansion through constructing facilities to contract grow hogs. Dusty’s passion for the Swine Industry started at a young age while being active on his family’s farm in south central Minnesota. To discuss how AgStar can play a role in the success of your business, contact Dusty Compart.
Contact Dusty Compart
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