The best time to hand over estates to a younger generation is when they still have the enthusiasm and energy needed to develop the forest estate. If the handover is delayed, those taking over the estate are getting older themselves. The forests and their management may also suffer if the transferring generation lacks the strength and desire to actively take care of the forests.
The difficulty of giving up is reflected by the fact that the average age of forest owners is high. I’ve noticed in my work that various reasons can delay the handover. Many may have had the estate a long time ago and perhaps worked relentlessly to make it flourish. So giving up one’s life’s work is not that easy.’
Older generations may also feel unsure about their financial situation after forests are handed over to children. However, there are means to ensure the transferor’s livelihood after the handover. For example, a regular income from the direct sale is possible when children are gradually paying the sale price to their parents. A forest estate sale is a sensible solution even for taxation because the successor benefits from the forest deduction.
At the latest when reaching the retirement age, it’s good to start thinking about handing the forest estate over to the next generation. It should be openly discussed with the children. You can ask how they feel about it, if they want to take over the estate, and when would be the best time for them to carry out the handover.
Metsä Group has a nationwide network of generational handover experts, and you should contact them as soon as you start to feel that the right time for handing over your forest estate may be approaching. The generational handover expert aims to make the handover as easy as possible for the customer, so there is no need to delay the process.
I’ve noticed in many cases that a generational handover is actually a relief for the transferor. Giving up the estate is a big thing, but for many, it’s a relief that they no longer have to be responsible for forest matters.
I want to encourage the younger generation to step up and take over the family’s forest estate. Many may wonder if they know how to take over the estate, or if they are brave enough, but you can get so much help from forest specialists that it is not something to be afraid of.
It’s also good to keep in mind that when the generational handover is carried out in good time while the older generation is still alive and well, they usually offer help and advice. They’re often glad to give support, and they even help around the forest.