When you make money farming with agritourism, it also means local community farm customers, and any type of direct marketing and selling that happens on your property including the ages-old u-pick model, CSAs, and roadside stands on the edge of the farm. (This article copyrighted and written for www.MicroEcoFarming.com)

Stories of those who make money farming by adding agritourism are mounting. Not only are family farms being saved, but it's launching new farms and improving the farm revenue and enjoyment of farming life for the owners. And agritourism customers are growing in number. More and more locals want to come directly to the local farmer, and Purdue University states that agritourism in all its forms is the fastest growing segment of the tourism industry in the United States.

When planning to bring farm customers onto your property, the first step is to make sure you'll be safe and legal. Don't risk the farm itself in your attempt to make money farming

All states and regions have different regulations for those who make money farming with on-farm customers, so this article only provides a basic awareness of important issues, but shows possible places to get precise details for your location and situation, some for free.

Zoning: "It may sound a bit odd," says Rich Schell, an experienced agriculture and agritourism attorney from Illinois, "but the first call should be to the local county to check out the zoning. Zoning is a crucial and often overlooked area of compliance for agritourism operations. A county that may be fine with five cars parked outside of a roadside stand may have an entirely different take on 55 cars parked along the roadside for a blueberry festival."

The health department: "The second call should be to the local public health department," says Rich. "Case in point, selling raw apples often doesn't require inspection, but once the apple is cut open to offer sample slices, that moves the food safety issues to a new level and may require a temporary food permit." He points out that bathroom and hand washing or sanitizing areas can be crucial for safely and legally operating an agritourism event. Your health department can let you know what, if anything, is necessary for the numbers you're expecting and the activities you plan to offer. (This article copyrighted and written for www.MicroEcoFarming.com)

Liability: Rich Schell states that last but certainly not least, farmers who want to make money farming with on-farm customers should talk with an insurance agent and perhaps a lawyer. "The old line about a stitch in time saves nine can indeed be true." Rich offers this example, "The homeowners' policy may contain incidental business activity coverage for things like garage sales, and arguably it could cover a (small one-time agritourism) event.

However, this coverage is often capped at a very low sales point. It might provide coverage to the person if they had sales of $5,000 or under per year. This might work fine for a one day test agritourism or farm sale event, but wouldn't even be an option for a big agricultural tourism project that might generate over $5,000 in sales in one day during its busy season."

Some use agritourism to make money farming just by enticing customers to come onto the farm for free, then to buy their products direct. Others actually make money farming by charging a fee for the on-farm activities. So I will add that some insurance companies see "paid admission" as a completely different situation as "coming onto the property for no cost to browse or shop." One may not be covered as incidental business, while the other is, so check first. (This article copyrighted and written for www.MicroEcoFarming.com).

The rules and regulations aren't usually too bad - don't be discouraged:

Many, many farmers make money farming by bringing customers to the farm. As complicated as this can all sound at first, you might be pleasantly surprised that it isn't so bad, after all.

A food handler's permit, if required at all, is usually very inexpensive and simple to obtain, and adds one more credential to your food farming expertise you can note along with your other farm promotion once you have it. I was recently able to get a one-day event million-dollar extra liability insurance rider with a quick phone call for only $12 extra on my home owners' insurance.

One farming couple was able to get their agritourism customers - a wedding party who wanted their wedding on their farm -- to provide proof of their own insurance for the event before being allowed to come onto the farm, which greatly cut down on the farmers' cost of insurance. They made sure if there was any incident, the couple's insurance would be billed first, with the farmers' only a supplement. People in the wedding party were less likely to sue their newlywed friends than an unknown landowner. (This article copyrighted and written for www.MicroEcoFarming.com)

In some cases, Rich says that signed waivers and having first aid kits on hand can also be helpful. It's always a case by case basis, depending on each farm, the activities offered, its customers and location. In one case of a school children's tour I witnessed, the school not only had to provide insurance for the kids' trip, but each child's parent signed a waiver before their child was allowed to attend the field trip. Waivers don't eliminate all liability for negligence, but they may help with liability issues.

Getting just the details YOU need for free:

All situations are different, depending on your county, the amount of income you might make, whether any income comes from charging a fee to enter the property, and so on. Plus, rules change constantly.

Besides the cooperative extension and health department, you can also secure a local S.C.O.R.E. advisor (score.org), telling them you want to start an agritourism venture and asking what information they have or if there's an advisor that can help directly. These are government funded entities that give business advice for free customized to your region and situation.

Check into an agritourism business entity:

If you want to consider operating your farm under a business entity such as an LLC or small corporation (which can offer further asset liability protection when done properly), the free S.C.O.R.E. advisors mentioned above may offer support, and a business attorney should advise. Don't assume the term "corporation" automatically means "big mean monster." The 1/3-acre Tree Frog Farm in Washington State is involved in numerous on-farm agritourism activities, and now operates as a corporation and they're very happy with their decision.

Breaking into agritourism slowly: One of our sister sites, Great Group Activities has a hub entitled "Living in the Country" with an article on breaking into agritourism gently with a small, safe test run.

Rich Schell's contact:

If you'd like to contact Rich Schell, the agritourism attorney interviewed here, his address is:

Rich Schell,
Wagner & Schell, LLP,
780 Lee Street, Suite 102,
Des Plaines, IL 60016.

Or contact him via e-mail with this form:

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