Horse Racing Syndicates

Gareth37

I was wondering do many people on here have shares in horses or own horses or thinking about it?

Im thinking of getting involved. I want to set up a syndicate which Im prepared to run in return for a very small share and have upto 10 other members each with an equal share.

I was wondering does anyone know where to start looking for other potential members in Ireland?

I have a very good contact who breeds very good horses, some running this month with a variety of trainers actually. I have priced some very well bred horses for jump racing who are ready to run. The contact is a good friend so he is honest with me.

Horse: €15,000-45,000 depending on class
Trainers/Vets/Grazing Fees: €15,000 per year.

So I was thinking of getting all costs for 4 years paid on a €45,000 class horse which would be around €100,000 for 4 years running. After 4 years the horse would go to sales with money divided among syndicate and all winnings/left over costs divided among memebrs also. A legal contract is easily drawn up for this.

Getting members may be difficult?

cson

Main thing to remember is that you will not make any sort of money out of this. Its the quickest way to make €50 notes disappear.

So make sure you're getting into this for the right reasons, i.e. to have a bit of craic.

snowydot

I really would question your training costs, vet, transport etc this figure is really low imo.

hiscan

snowydot wrote: »

I really would question your training costs, vet, transport etc this figure is really low imo.

depends on the trainer id say thats a ball park figure,for a high profile trainer it would be closer to 20k
weve just finished our first years racing as a syndicate and as cson said you wouldnt want to be in it to make money

snowydot

Hiscan you are spot on. For any half decent trainer in the Curragh - around 50 euro a day basic then vet, farrier, travel, insurance, declarations and entries, jockey fees, lads traveling fees, HRI administration fees, registering silks, owner registration, curragh training fees.

You really cannot set up a syndicate without research and your clients in place. Conformation is essential and good breeding is a plus make sure you have any potential purchases vetted before you buy.The 4 year time scale is completely unrealistic at the very most yearly with an option to disolve the syndicate at the end of each season. The legal contracts are relatively simple and the Law Society do have some precedents, however they also have to be tweeked to make them air tight and if you are going to be responsible for the syndicate I advise you to have any legal documents looked at by a professional as the figures you are talking about give rise to substantial liabilities.

knighted

the op should talk to cantoris as he has done it sucessfully with a few horses to date ,a rareity nowadays ,maybe he would be the best man to give an unbiased view of the pluses and negatives he has encountered

Cantoris

Thanks Knighted. Been missing for a while. Getting the website ready for launch at Crimbo. To coincide with a winner over the holidays I hope!!

I've been lucky enough to be involved in some good horses and I manage two syndicates at the moment with the intention of building this up over the next few years. Horses in training with Colm Murphy.

My view for what it is worth (and solely my experience) is that syndcates are a great way to enjoy the sport, particularly if you are willing to put a few bob into it and find the right bunch of lads. My two syndicates have 23 members (11 & 12) but in fact prob have 40 as some shares are split which is none of my business. I deal with the share holder, although the silent half shareholder is included on all correspondence.

We take a four year view and buy horses at the Land Rover or Derby Sale. We paid €26k for Kimberlite King and €36k for our new lad by Supreme Leader. As the first year is generally lost figuring out when they will stop growing, you need anothr three years for them to realise their potential. I always say you need to assume your store horse won't get to the racecourse within two years of buying him, if at all. So no expectations.

Having someone you trust buying the horses is absolutely crucial. I've known Colm since he started training so lucky in that respect and lover going to the sales with him. You pick up so much just asking him questions. We do spend a lot on our horses. I raise €40k to spend on a horse. It is a policy that has worked for us so far although I know Knighted thinks I'm made to spend that sort of money, but each to his own.

Training costs vary depending on how long they are in training and how much racing they do. In year one, Kimberlite King cost us €11k for 12 months. In year 2 he cost €19k but that included surgery and a few winning bonuses. We tend to take care of the lads etc in the yard as they are key to both the horses success and also so the syndicate enjoys themselves. So anywhere from €10k to €20k, maybe average €18k for the four years. The real key is having a trainer who will tll you if the horse is no good. At least then you can stop paying out anymore.

And finally, I asked the new syndicate recently if they were enjoying the experience and if there was anything else I could do. Since we bought the horse in June, there have been four stable visits with another planned this weekend. I try to make sure there is one every five to six weeks. This to me is absolutely key and we normally spend nearly two hours down there which gives Colm plenty of time to talk to us about the horses.

Finding members is a completely different kettle of fish!! Track record is important and I am hoping mine will speak volumes and I have already been approached by one crew to buy a horse for them. Also, I was oversubscribed last June but the few members I couldn't find a home for were impressed with the syndicate (I invited them to the sales anyway to talk to myself and Colm!!) and have kept in touch and said they are happy to wait as they like the set up. Which I take as a complement to the business. The next six months will be crucial.

I hope this has been useful and if you need any more general info, PM. Or if you would like to join forces, then let me know.