So confused! What would you do?
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Topic: So confused! What would you do?
Posted By: Keleho
Subject: So confused! What would you do?
Date Posted: 02 March 2011 at 11:23am
I feel a bit bad worrying about this given what else is going on in NZ at the moment, and in the scheme of things we are in a good position, however I would love your opinions on what option you would choose in the same position.
DH and I are currently in the process of getting a new (farm) job.
Things have been stressful but we were getting somewhere. Now we have a bit of a dilemma as we have TWO potentially viable options, and we dont know which way to go. This decision will have a huge impact on our future.
Option 1 - is pretty much a sure thing as far as getting the job (have already been negotiating contracts, although nothing is signed), however there is an amount of risk involved due to borrowing and the like (we need to borrow almost 100%, with guarantees which are not fully sorted as yet). The boss for this job is very friendly to us, but we have heard mixed things about how he can be a bit of a bullsh*t artist and to be very wary of his verbal promises. We would be locked in to this job for 3 years, and after that will be looking for another job (they will be selling after the three years, so this is non negotiable).
If we have three good seasons as far as production and payout, we will do quite well. On the other hand, if the seasons are average, we could end up in the pooper! This one is near impossible to predict, although the payout for the first season looks really good.
We need to sign a contract or pull out with these people in the next week-two weeks at most so have a small window in which to decide what to do.
If we were to pull out, we run the risk of pissing off the farm owner, who has always been relatively nice to us (especially if we let it drag on too long), which could hurt our reputation very early on in our career.
Option 2 - DHs parents have found out that they can purchase another farm, so are looking into this. If they find one, they would put us on. This is all very last minute.
The finances are organised but there is a risk that they might not find something suitable in the timeframe.
We would eventually be buying into this farm so although initially we may not earn as much as #1, we would have long term job security and would be heading in the direction of herd, and eventually farm ownership in a much easier and less risky way.
DHs parents can be a bit of a headache to work for at times although the farm would be away from theirs, so perhaps not as much involvement (perhaps not though) and therefore less headaches in that department.
Having this option in three years time (after the other job) is not possible due to siblings and financial status/plans of everyone else. Its now or never basically.
So our options are pull out of #1 and hope like crazy that #2 works out (if not, we are out on the street!), or continue with #1 knowing at least its a sure thing, hope for some good seasons, with knowing it will take A LOT longer to get to farm ownership.
We feel what ever way we go there is an amount of risk, and we think that either way, someones feelings will be hurt.
Im so confused, I just want the decision made so I can get a good night sleep!
Thanks
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Replies:
Posted By: Kazper
Date Posted: 02 March 2011 at 11:30am
Didn't want to read and run.
Definitely a sticky situation. Are you able to talk to your DH's parents and outline your situation?
It's a bit worrying when you have people saying to be wary of the owner of that farm. On one hand they could be the ones with issues, but on the other once you get to know him things could become a headache. I would definitely try to find out more from these people about the issues so you can make your own opinion on it.
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Posted By: Hopes
Date Posted: 02 March 2011 at 12:02pm
Yea, I'm with Kazper - can you look into people's opinions of this chap, and the reasons for them a little more? It's no fun at all to work for someone who's a bit dodgy, especially if you're locked in.
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Posted By: _H_
Date Posted: 02 March 2011 at 12:11pm
Who have you heard these things from? Are they people that you can trust or people that may have a problem with him
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Posted By: Plushie
Date Posted: 02 March 2011 at 12:16pm
Is there an option buy option one after the 3 years or do they have a buyer already? If he turns out to be a douche during the 3 years at least you'd be working towards something permanent.
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Posted By: Keleho
Date Posted: 02 March 2011 at 12:24pm
We wouldnt be in the financial position to buy a farm in three years unfortunatly.
The opinion of this guy is from my ILs (who actually have a few issues with him which then affects their opinion more than it would otherwise), but also from a few others that have just suggested to us to make sure our contract is bulletproof IYKWIM.
So a bit of both their really (some can trust, some might be bias)
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Posted By: Kazper
Date Posted: 02 March 2011 at 12:27pm
Ok so I would prob find out what the issues are then. Whether they are quite big issues and/or issues that might pop up with you guys!!
Also do you know any previous employees or have you spoken with current ones? I wouldn't ask outright with current ones, but if they seem quite happy then may be nothing to worry about. So hard when people say things like "just watch out" etc.
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Posted By: Keleho
Date Posted: 02 March 2011 at 1:18pm
The current employers are my ILs (its a lease farm so they lease it and we sharemilk on that farm for them, we would be taking over the full lease), which is why we sort of need to take their opinion seriously in some ways.
The main issue is that he can be a bit of a liar apparently, and that he says thing verbally before the contract is signed, just to go back on it when it comes up down the track.
Who knows if it will happen with us but it sits in the back of my mind...
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Posted By: myonlineself
Date Posted: 02 March 2011 at 1:49pm
Personally I would stay away from option 1, it sounds like there is a fair bit of risk involved ... and also - what would you then do at the end of the 3 years? If it all went well you'd presumably have some cash and be in a good position, but if it goes to poo then you'll be worse off than you are now?
Option 2 sounds like it has the potential to be really fantastic and has better long-term options..... but I know it can be tricky working for/with family... you'd want to make sure you had some pretty free and frank discussions up front.
Now, if they don't find somewhere in time, is there somewhere you can stay, or can you rent somewhere until they do find somewhere? that's pretty much the kicker, but from what you say, it sounds like it should be worth the wait?
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Posted By: crafty1
Date Posted: 02 March 2011 at 1:59pm
I'd do option 2 i think but i'm not a huge risk taker when it comes to finances. I'd rather work hard and build up to something and know it was safe than risk money for a bigger gain.
At the end of option 1 you'll have a bit more cash if it all goes well, but still not be in the position you want. Whereas option 2 is a solid road to having your independence.
I also believe in trusting your instincts about people and if this man is ringing bells for you then there is probably a reason why. What did you think of him before you heard these things?
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Posted By: crafty1
Date Posted: 02 March 2011 at 2:00pm
Oh and i'm going to be a nana now and say
"Better the devil you know"
"A bird in the hand is worth 2 in the bush"
I really am a nana!
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Posted By: Keleho
Date Posted: 02 March 2011 at 2:01pm
If they dont find something, we would likely have to sell the small amount of stock we own to get through (not ideal but certainly doable).
We could also stay at my parents for a while (they have a sepeate flat that my nana used to live in), or we could stay at their beach house for a while.
I would prefer not to live with the ILs as have done this once before for 6 months and almost went on a shooting rampage (esp as it was only meant to be for 1 month)
The only thing that really worries me about #2 is the potential for it to go pear shaped if they cant find a farm, but surely they would keep looking until they found one?
DH is worried about working for them again as they can be difficult but I am being more optimistic there in that we would have a lot more distance between us so hopefully less interference. Perhaps I am being naive but I can only dream...
For me its a choice of:
#1 = minimal risk now, higher risk and less beneficial later on
#2 = huge risk now, huge benefit later
Im leaning a bit more towards #2 but DH is still completly up in the air...decisions, decisions!
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Posted By: Nothing
Date Posted: 02 March 2011 at 2:02pm
If reputable people have said that the farm owner is a liar and goes back on his word then I wouldn't go with that option. Plus if you have 3 average seasons, or the milk payout drops dramaticly again like it has done in the past then you will be screwed.
I know your IL's have given you lots of grief in the past, however they are a known quantity, and after 3 years you wouls be in a much better position than if you had 3 great years with the other guy. I reckon option 2. Good luck
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Posted By: Keleho
Date Posted: 02 March 2011 at 2:04pm
Crafty, since we have been dealing with him (but not in a business sense in which we would be), we have found him to be ok. A bit tight with his money but what successful person isnt these days!?
Can be a bit pushy, but DH had a chat with him earlier in which he was very understanding (we told him a half truth to put him off for a bit).
Everyone elses opinions aside, the man has some flaws but has generally been pretty good to us so far.
ETA but the fact that the ILs are so worried about us having to deal with him does play on my mind
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Posted By: tictacjunkie
Date Posted: 02 March 2011 at 2:41pm
I, personally, would go with option 2, main reason is because I'm a long term goal/ low risk person, and because even if you don't always get along with your in-laws I'm sure their son & family's future is more important to them & are therefore less likely to put you in the poo than Mr Option One, regardless of how payouts go over the next 3 years.
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Posted By: UpsyDaisy
Date Posted: 02 March 2011 at 3:02pm
Your IL's have given you a bit of grief in the past...their communication skills seem a bit odd to say the least which could be a part cause of the trouble with the owner but if reputable others have had trouble too...hard one better the devil you know or not.
Think you could be a bit optimistic thinking that Ils will butt out of your farm because if its not close to theirs. Sorry but just seems unlikely they will from your previous posts...
I'm sorry you are uncertain what to do again. Good luck whatever you decide.
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Posted By: Keleho
Date Posted: 02 March 2011 at 3:06pm
Yea I agree Im probably dreaming there Jules
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Posted By: myfullhouse
Date Posted: 02 March 2011 at 6:27pm
Sounds like your gut is telling you to stay away from #1 and I am a big one for going with your gut. Plus #2 seems to have more future certainty. Maybe clarify with the ILs whether they will continue to search for a property until they find one. Also maybe look to put alot of stuff on paper to help prevent possible interferance, out a spin on it that you want tomake sure they are happy, kept in the loop etc. Maybe set out things like you are responsible for the day-to-day running but they help make big decisions, have monthly (or however often) meetings to discuss gings on, future plans etc.
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Posted By: Jaune
Date Posted: 02 March 2011 at 7:38pm
I'd go with option 2! I like the idea of working towards something bigger and better and as someone else has already said, if you go for option 1 at the end of the 3yrs you've then got to find something else.
Either one is a bit of a risk, but that's what life is about. You don't get anywhere without a little bit of a gamble! And at least option 2 is a gamble on yourselves, rather than a gamble on someone else!
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Posted By: Delli
Date Posted: 02 March 2011 at 10:40pm
Is there a third option you could go for? Such as perhaps turning down option 1 (sounds very risky - both the financial side of it and the warnings about the farm owner side), saying maybe to option 2 (if you find us a farm before June, sweet - if not, not) and keep on applying for other sharemilking jobs in the meantime? It is a bit scary that its March already but there are still jobs coming up.
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