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 Getting the Most Return From Your Timber Sale

 
       
 
 


Unless you choose to harvest your own timber, you will sell your trees to a buyer who will be responsible for harvesting and transporting the trees. This type of timber sale is referred to as selling stumpage. How the trees to be sold are marked, how potential buyers are notified of your sale, how the buyer and sales price are determined (single offer, oral bid or negotiation, written sealed bids), and how payment is made (lump-sum vs. sale-by-scale or pay-as-you-cut) depends on the character of the individual sale. A professional forester's knowledge of your property, potential timber buyers, timber markets, and potential buyers' past performance is critical to selecting the appropriate timber sale method and buyer to maximize your income while protecting and enhancing the nontimber resources of your woodland.

 
       
  Protect Yourself and Your Property
With a Timber Sales Contract		  

Professional Foresters Protect the Landowner and the Forest by Negotiating a Timber Sales Contract That:

  • Identifies the responsibilities
    of all parties.
  • Specifies financial and other agreements.
  • Addresses issues of special concern.
  • Protects the interests of all parties to the contract.
        

Every timber sale, no matter how small, should have a written timber sales contract which details what the seller and the buyer have agreed upon. The process of negotiating the contract provides an opportunity for the seller and the buyer to discuss how the harvesting operation will occur and to identify and obtain clarification and agreement on areas of concern. This will substantially reduce the possibility of misunderstandings
and disagreements and provide
both you, as the seller, and the buyer with legal protection as agreed to by the terms and agreements of the contract. There are many sample timber sale contracts available, and many timber buyers have a "standard" contract. You should, however, work with your forester to ensure that the contract addresses your concerns, meets your needs, and protects your rights. Because a contract is a legal document, it is also strongly recommended that the contract be reviewed by your attorney before it is signed.

 
       
 

 

  

 

Monitor the Harvest

The final step in ensuring a successful timber sale is to monitor the
harvest. Frequent visits should be made to ensure that the harvest is
proceeding properly, according to the terms of the contract, and to discuss questions that might arise. Again, because many of the activities associated
with timber harvesting are unfamiliar to most woodland owners, monitoring the harvest is often best done with the assistance of a professional forester.
Aspects of a timber harvest routinely monitored include property access; any cutting of unmarked trees; damage to residual (unmarked) trees; road and
landing locations, construction, and rehabilitation; and the use of best
management practices (BMPs) to protect soil and water resources.

 

    
           

 

 


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This website is maintained by Bill Cook, Michigan State University Extension Forester in the Upper Peninsula.  Comments, questions, and suggestions are gratefully accepted. 
Last update of this page was 4 January, 2007