By
Jim Steffen
I own two small farms near Omaha. Both are rented to experienced beef cattle producers. But because of their small size, the rent does not cover soil building or the costs of intensive grazing including labor, fences, and watering systems.
When it comes to losing money on small farms, I have lots of company. USDA research show clearly the small farmers and landowners are subsidizing the rest of the food system, including consumers (ERS, USDA, Chart # 8).
This website explains my approach to rebuilding small farm profits. My strategy depends on the willingness of small farmland owners and farmers to sit at the same table with local investors to discuss production methods, markets, business plans, and investments. Three key ideas underpin my business model.
Business Basics for Small Farmers
First, governments in free-market economies can never make small farms profitable. In a free market, governments that depend on farmers for critical tax revenue cannot subsidize these same farmers for any length of time.
Second, the food industry is not responsible for keeping us profitable – we are. Our job as landowners and farmers is to reach consumers with high-value products that keep us profitable. Farmer-owned retail food brands offer the only practical way to communicate with large numbers of consumers in nearby cities. Researchers from Iowa State University have made a compelling case for farmer-owned brands in midwestern agriculture.
Third, farmland is the most valuable financial asset on earth because food is essential to all other economic activities. If we go broke or sell farms, we lose the ability to build family wealth, care for the land, and pass profitable farms to the next generation. As stewards of the land, our profits must come from local and regional consumers.
The rest of this website explains my business model in more detail.
Massena Farm Business Model
Our Bennington, Nebraska and Massena, Iowa farms will serve as demonstration sites for new landowner and farmer-controlled “regenerative production units” that include adjoining and nearby farms. In time, the operators of these “new farms” will contract with local and regional food processors and distributors to supply farmer-owned retail food brands.
Although brands are essential to our long term profits, we must first organize local farms, ranches, and gardens that can be scaled for retail. We are focused today on organizing land and on drafting business plans for negotiations with commodity buyers and qualified local investors
Talk with Your Neighbors
I would be delighted to introduce farmers and landowners to my business associates. Their qualifications are shown on page 4 of this website.
As an incentive to Bennington and Massena area producers and landowners to join a local demonstration project, we will work one-on-one with selected landowners to develop preliminary and final business plans – at no cost.
To help reduce the cost of local meetings, I am asking government agencies, non-profits, and food industry members to host county-level informational meetings in the Omaha area.
Please contact me for an appointment.
Thank you.
Jim Steffen, President
Massena Corporation
402-317-2639
jim@massenafarms.com
Posted 02-10-2025