Timothy Ruffilli, CFA

Senior Investment Counsellor & Portfolio Manager

Tel: 519-667-1435

Address

BMO Private Wealth
255 Queens Avenue
Suite 2560
London, ON
N6A 5R8
Map

Contact Me

Agricultural Business Owners

Specialized wealth advice for agricultural business owners

We advise a diverse group of agricultural entrepreneurs – primarily the owners of large farming operations and farmers selling properties who need to invest the liquidity.
 
Making a living in agriculture has never been more challenging. Profit margins have never been thinner, real estate prices have never been higher and, today, many members of the younger generation do not wish to carry on the family farm.
 
  • We understand the issues and complex agricultural tax rules that affect you and track the trends that drive the industry.
  • We have specialized strategies to help you maximize your financial success while minimizing the emotional stress of running and transferring ownership of your operation.
 
We can help you to reap the rewards of your hard work and risk tolerance, retire comfortably, and transfer your farm tax-effectively.
 

Our strategies and services

Before advising you and designing strategies that help you preserve and grow your wealth, we will get to know you, your family and your farm business. We will take the time to discover your needs, goals, financial situation, time horizon, fears, and liabilities. 
 
Then our team can help you to structure a business and investment plan based on important details such as the size of your operation and your livestock count, estimated production, quotas and growth objectives.

 

Our targeted conversations can provide guidance on:

Disciplined investment [or portfolio] management for farmers:
  • We can help you invest your surplus cash reserves or the proceeds of your farm sale. 
  • We invest in proven, well-capitalized, businesses with sound management teams that fit into our conservative, tailored, disciplined, long-term approach.
 
Risk management:
  • In a risky and unpredictable industry, we help you plan to weather all financial storms. Our planning solutions can help protect you and your family and farm from economic adversity.
    • For example, we can help you reduce your exposure to equity market volatility by diversifying your capital across a range of assets classes rather than relying on the sale of your farm alone for your retirement income.
 
Cash flow management:
  • We will delegate your assets as either core capital (to fund regular farm and family expenses) or surplus capital (that can be invested to help you achieve important goals).
  • We can also help you plan to fund major capital purchases to avoid dipping into your long-term retirement fund.
 
Tax relief. We can help you to:
  • Understand the requirements and benefits of the farmers’ capital gains exemption.
  • Comply with the complex tax rules that you must follow to obtain this significant tax relief.
  • Plan properly to take advantage of this valuable benefit.
 
Borrowing:
  • Every successful farmer needs a good banker who believes in their potential and understands how thin farm margins can be.
  • We will introduce you to a seasoned ag-focused Private Banker or Commercial Banker to ensure you get the operating loan or mortgage solutions you need.
 
Insurance:
  • Insurance can help you mitigate financial risks, minimize your tax bill, maximize your estate for your heirs, and diversify your investment portfolio.
  • The Globe and Mail ranks farming in the top ten most dangerous industries – visit https://www.surehire.com/canadas-deadliest-industries-workplace-risk-prevention/. Agriculture is the most dangerous industry in Ontario, according to 2019 injury and illness statistics reported by the Workplace Safety Insurance Board.
 
Education funding:
  • We will advise you regarding funding options that take advantage of government programs and alternative strategies available to agricultural business owners.
 
Real estate:
  • In the form of an investment or a vacation property, real estate provides diversification from the equity markets.
  • We will work with mortgage and real estate professionals at BMO Private Banking to ensure you receive tailored advice from an ag lending specialist.
 
Retirement planning:
  •   We will determine how much you need to set aside to retire comfortably.
  •   Then we will create a customized investment plan that can provide a reliable income stream and cover expenses for the duration of your retirement.
  •   Too many farmers rely solely on the sale of their farm operation to fund their retirement, which leaves them vulnerable to risk. We will help you diversify your investments to protect your family.
 
Farm succession planning:
  • Together with BMO specialists, we can help you maximize the value of your farm or related ag business and transition it tax-efficiently to a relative or buyer, with:
    • strategic succession tax planning,
    • farm or business valuation advisory services,
    • wealth planning, and
    • other considerations.
  • We can help you to determine the best philanthropic strategies to leave a meaningful legacy.
  • We understand the emotion that can be involved in transitioning a farm property that you can walk on and touch into proceeds that can seem strangely intangible. Our team has the sensitivity and strategies to help you manage the transition with minimal stress.
 
Contact us to start a conversation.


 
Keep an ear to the ground with BMO Private Wealth
 
Follow the latest insights on issues affecting agricultural businesses at https://commercial.bmo.com/en/industry-expertise/agriculture/.