The proud lineage of thoroughbred racehorses goes back all the way to the 1600's and they remain a fixture of culture and tradition. Owning the smallest percentage of one of these magnificent animals is an honor. Owning a thoroughbred racehorse can cost thousands or even millions of dollars, making it difficult for most people to own one. But, it is still possible to do so for far less by buying a share in a thoroughbred partnership.
You can buy a percentage ownership, commonly called a share, of a thoroughbred by buying into a horse racing partnership or syndicate. You purchase your share and then pay a monthly fee for the horse's expenses. Your monthly costs depend on the size of your share and how the partnership is structured.
Some expenses you can expect to pay for each month when you own a thoroughbred racehorse are:
* You will pay the initial investment amount for your ownership percentage. It may be as small as 1% or as large as 45%.
* You will pay the trainers fees. The rate per day will vary but it may be anywhere from $25 $120.
* Feeding and care of the horse - again, this varies.
* Farrier costs are for the regular care of the horses hooves and may cost from $80 $220.
* The veterinarian's fees for the standard care of the horse can be hundreds of dollars a month and more.
* The cost of transporting the horse will depend on fuel costs.
* Insurance premiums - vary.
* Race entry fees - vary depending on location and race
* You may owe association fees or dues.
* You will owe jockey fees as well as 10% of any winnings.
* Management fees may be due based on the guidelines of each partnership. These may be a set amount or a percentage of the horse's winnings.
* Advertising costs may be necessary. This may be just a few hundred dollars or it may be as high as a few thousand dollars.
As this makes clear, these expenses add up and vary quite a bit. When investigating any horseracing partnership or syndicate, find out how much each is charging per month before you invest.
A partnership with expenses that are too high may not be the partnership for you. And in researching several partnerships, you may find one that fits your investment budget better and has a lot to offer you.
