Q: Is it better to buy an Interest in a colt or a filly?
A: This is really a decision an individual owner must make. Both will have opportunities to run for large purses at multiple tracks, but colts are more likely to run in the Classics with the largest purses. “Good” quality race fillies and mares will generally bring a nice price at auction when their racing careers are over because broodmares are always in demand. “Good” colts have less residual value when their careers are over because the demand for sires is much less than the demand for broodmares, but "Great" colts can have tremendous residual value.
Q: How does the horse get its name?
A: Honor Roll Racing hosts naming parties and members vote when horses are purchased that have not yet been named or have not yet raced. There is a set of rules for naming that can be found at the Jockey Club Web site. Once a name is selected, it must be checked against the database of existing and retired names by the Jockey Club. If it is not already taken, it will be sent to the Jockey club for approved.
Q: When will my horse run its first race?
A: Of course there are no guarantees, but we try to select horses that generally mature early enough to run their first race during the Summer or Fall of their two year-old season.
Q: How many times a year can I expect my horse to run during a given racing season?
A: It varies, but a typical number of races for a quality three year-old is 6 or 7. Some horses recover from races quickly and will run many more than 6 or 7 times.
Q: Are LLC’s only set up to buy two year-olds in training?
A: It is possible that the right two year-old could be bought privately or at one of the sales. Many privately purchased horses are in training just as horses preparing for under tack sales are. Where and when a partnership horse is bought depends entirely on when the right individual is identified by the team and where value is found.
Q: What happens to my money if expenses are not as high as anticipated?
A: Any funds above what was budgeted for a period of time will be used for future expenses or returned to individual owners. The course of action depends on how much money is being earned by the horse representing the partnership.
Q: Does Honor Roll Racing mark up horses purchased before selling them to the investors?
A: No, they are sold back to clients for the price they were purchased for by Honor Roll Racing.
Q: How much will the Company typically spend on a horse at the sales?
A: See “Making the Grade – Selecting Champions” for details. Here is the short answer. We believe the best value for stakes quality horses is in the $40,000 to $65,000 range, but we have purchased talented horses for less.
Q: What is the typical required investment to become an Honor Roll Racing Owner and what does it cover?
A: Partnerships shares are generally broken down into 4.5% or 9% ownership shares. An initial share purchase covers the price of the ownership share in the horse as well as expenses for up to a year. We believe taking the expense money upfront gives clients a much more accurate view of the cost of ownership and also allows them to simply enjoy the ownership experience without worrying about paying monthly maintenance fees. Historically, the cost for a 4.5% share has been between $1,000 and $3,500 with most partnerships being at the middle to uppder end of that range. We pride ourselves in finding value for our clients.
Q: What happens if expenses exceed the estimated amount of expense money collected and the Company account is in deficit?
A: Members will be billed for their portion of the additional expenses if this occurs.
Q: If I want out of the partnership, how is that handled?
A: The expectation going in is that this is a long-term venture to enjoy the horse and his or her racing career. All members agree up front to stay in the Company until the horse is sold or its racing career has ended, but exceptions will be made in certain circumstances. The Honor Roll Racing team works very hard to be as flexible as possible.
Q: When does the Limited Liability Company (LLC) that owns the horse end?
A: When the team decides that it is a good time to sell the horse or the horse’s racing career has ended? At this point, any remaining debts will be paid and existing LLC assets will be distributed to members.
Q: Who will train my horse?
A: This will depend on the circuit that the partnership horse is best suited for and, at times, may depend on the time of year. Feel free to contact us for a list of trainers we are currently utilizing.
Q: Is it possible to invest in a partnership that would have emphasis at particular tracks?
A: At present, we don't organize our partnerships by geographical location, but if there is enough interest from one specific part of the country, we can create a partnership specifically for that situation. We are flexible in the structure and organization of our partnerships. We've already created one special offering this year based on specific requests from our clients.
