Three Different Ways to Own a Racehorse
Have you ever dreamed of owning a racehorse? The thrill of the track is a unique prospect that even veteran horse owners don’t always get the chance to experience. Luckily, there are several ways you can own a racehorse. Below, we guide you through the main ones.
Syndicate
Syndicates generally have 10 to 20 people, but this can vary. They allow people to share and spread the cost of racehorse ownership. Thus, a syndicate is the most accessible form of owning a racehorse.
At its most accessible level, there are online racehorse syndicates that will let you buy a share in a racehorse for relatively low amounts. They will take care of all the paperwork and costs. All you need to do is watch it race and take your share of the winnings if it romps home. With plenty of quality horses on offer, it is a great way to get started.
In a syndicate, the main owner of the horse is the registered owner. Everyone else in the syndicate gets ownership rights. This means that you will get a return on any earnings from races the horse is in. Any expenses will take the form of an annual payment. Both will be relative to your share in the horse. You also stand to profit if the horse is sold on.
Partnership
A partnership is when two owners join together to buy a racehorse. Like a syndicate, you end up sharing the horse with another person. The advantage is that you gain more of the rewards as if the horse should win, you are sharing the winnings with fewer people. Partnerships do not have to be a 50/50 split either. You may own less or more of the share.
It is a good way to get into owning a racehorse if you don’t want sole responsibility, but do want to be more hands-on. However, in a syndicate, the administration and paperwork are usually already dealt with. When you go into a partnership, you will need to organise this yourself so it can mean more work.
Sole Owner
Sole ownership means that you have to register with the British Horseracing Authority, and are then able to own racehorses yourself. You will get to name the horse if it does not already have one, and choose the colours.
You are responsible for all the finances, which can be both a blessing and a curse. Winnings all come to you and if the horse goes to stud you can earn a hefty profit. Yet you must also pay all the costs, including stable fees and training. You should only consider this if you have the time, money and expertise to devote.
If you are thinking of owning a racehorse, then think about the above factors. What is your budget and do you have the time or expertise to put to it? Luckily, even passive ownership is now possible so whatever you decide, enjoy your racehorse, cross your fingers and hope for a big win.