We have recently been involved in helping farmers and rural businesses set up at all sorts of diversification, from glamping sites and tree house holiday lets, to racing yards, to dog grooming to ice cream making. Income from agriculture is increasingly volatile and dependent on so many factors and this has prompted a new approach to the farm business in recent years, and new ventures outside agriculture are one way of spreading the risk.
So, you’ve got done the budgeting, cash flows, approached the landlord, achieved planning, got the finance and grant funding, bought your stock and equipment and you’re away…. the business is up and running.
Then you get a phone call from the rating officer at the Valuation Office Agency; “……. all I need to do is walk around and have a look at your buildings and yard….” they say on the end of the phone.
Alarm bells might start ringing. Someone from the Valuation Office wants to come and visit the farm to see what you’re doing. client thought that this seemingly innocuous task was simply “to have a look around”, after which the Valuation Office will likely be placing the premises on the rating list; this usually means a hefty rates bill, adding all the complications you never expected to your newly founded business.
However, preparation is key - talk to someone, who has experience with rates, before the Valuer arrives. The ‘right’ answers to their questions could save you thousands in the long run. As long as you are prepared the rates bill, which is certain to arrive in the post, may be mitigated.
Author: Angela Cantrill
