BrianH
At the Start
Your monthly fees look a little expensive, Halewi. Are you running this as a profit making venture?
- Status
We're trying to run Racing Republic as a commercial venture, although 'profit' seems a long way off at the moment!
In our marketing material, and our syndicate agreements, we try to be absolutely transparent about the economics. Unlike some other operations, we do not make a turn from the orginal purchase of the bloodstock or from the monthly training/running costs. Instead we charge a set annual mangement fee (approx £7,500 per syndicate) and a performance fee based on prize money and resale value (5% of prize money - of which we donate 1% to racing charities and 5% of any profit from resale).
The high monthly costs probably stem from the trainers we are using, People like Mick Channon and Richard Hannon are not cheap - approx £48 a day for basic training fees and clearly you need to budget for vets fees etc on top of this. Built into the costs are also budgets for insurance, hospitality, BHB registration etc.
There are clearly cheaper syndicate operations around, but at least with us you know exactly how much your horses cost and that they are going to be trained at a quality establishment. With good bloodstock selection and good trainers the hope is that there will be a better chance of recouping some of the outlay.
My difficulty is getting this message across effectively!
In our marketing material, and our syndicate agreements, we try to be absolutely transparent about the economics. Unlike some other operations, we do not make a turn from the orginal purchase of the bloodstock or from the monthly training/running costs. Instead we charge a set annual mangement fee (approx £7,500 per syndicate) and a performance fee based on prize money and resale value (5% of prize money - of which we donate 1% to racing charities and 5% of any profit from resale).
The high monthly costs probably stem from the trainers we are using, People like Mick Channon and Richard Hannon are not cheap - approx £48 a day for basic training fees and clearly you need to budget for vets fees etc on top of this. Built into the costs are also budgets for insurance, hospitality, BHB registration etc.
There are clearly cheaper syndicate operations around, but at least with us you know exactly how much your horses cost and that they are going to be trained at a quality establishment. With good bloodstock selection and good trainers the hope is that there will be a better chance of recouping some of the outlay.
My difficulty is getting this message across effectively!
K
Kathy
Guest
Welcome to the forum Halewi.
Unfortunately, you may find that there is just not that much disposable income around at the moment and perhaps people that are involved in syndicates already have horses in training for their flat season. Perhaps the NH season will prove to be better for you. I have looked at your website and it is very impressive and I can see you have spent alot of money on this venture.
I am managing a (very) small syndicate at the moment, strictly non profit making, and it is very hard work getting the right combination of trainer, horse, location, cost etc. but I now think I have got it just about right although it has not all been plain sailing especially when I am trying to run a business too.
Best of luck though as you seem to have got all the right ideas.
Kathy
Unfortunately, you may find that there is just not that much disposable income around at the moment and perhaps people that are involved in syndicates already have horses in training for their flat season. Perhaps the NH season will prove to be better for you. I have looked at your website and it is very impressive and I can see you have spent alot of money on this venture.
I am managing a (very) small syndicate at the moment, strictly non profit making, and it is very hard work getting the right combination of trainer, horse, location, cost etc. but I now think I have got it just about right although it has not all been plain sailing especially when I am trying to run a business too.
Best of luck though as you seem to have got all the right ideas.
Kathy
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Phil Waters
Guest
You don't work for Davies, do you?
Welcome anyway.
K
Kathy
Guest
Welcome to the forum Fred! 
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rumoursabound
Guest
Good Morning.
It is rumoured that this site is the bees knees.
Looking forward to tasting the honey.
It is rumoured that this site is the bees knees.
Looking forward to tasting the honey.
BrianH
At the Start
Good morning and welcome - your name makes you a worthy member
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Phil Waters
Guest
In my opinion, your name could make you a worthy moderator.
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rumoursabound
Guest
Good Afternoon.
Thankyou for the warm welcome.
Thankyou for the warm welcome.
Desert Orchid
Senior Jockey
- Joined
- Aug 2, 2005
- Messages
- 25,016
Hi, y'all.
I've just joined. I look forward to reading some useful stuff.
Des.
I've just joined. I look forward to reading some useful stuff.
Des.
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Phil Waters
Guest
Hello Des.
Welcome to the Forum.
I look forward to reading your contribution.
Welcome to the Forum.
I look forward to reading your contribution.
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solerina
Guest
The Rail Bandit is a friend that I've recommended to the site . He picked Ansar out last week and I did'nt take the hint 
The Rail Bandit
At the Start
- Joined
- Aug 1, 2005
- Messages
- 6
Hello everyone. This looks an excellent site. Thanks to Solerina for steering me in this direction. Looking forward to the new jumps season & getting plenty of pointers from the good folk at talking horses. Hopefully I can use this information to help me in my next tour of duty in Nam (Chelten'am!!)Cheers T R B :brows:
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solerina
Guest
Welcome TRB
Shadow Leader
At the Start
- Joined
- Nov 9, 2003
- Messages
- 9,884
Oh, me too, TRB - welcome to the site! It can't be that far off now; discussing booking holiday time at work & we're talking October/November/December already - PP & Hennessy time!
B)
Irish Stamp
Forum Moderator
Welcome to all new members.
Really looking forward to the new jumps season, though particularly to seeing Kicking King and Best Mate at Haydock (fingers crossed).
Martin
Really looking forward to the new jumps season, though particularly to seeing Kicking King and Best Mate at Haydock (fingers crossed).
Martin
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