Managing Partner Scott Gruender being interviewed after Winter Warlock’s win in the $50,000 Premio Esmeralda with two dozen HRC partners, friends and family in the background
To begin with, we want our partners to be happy. Happy partners are loyal partners and that’s good for racing and for HRC. We understand that as part-owners in a race horse, receiving frequent and comprehensive communication about your horses is a top priority. It’s ours, too.
Another priority for us is providing good value in the partner’s horse racing investment. We do this by carefully choosing our racing and breeding stock. We try to take advantage of every opportunity possible (state-bred incentives, racing series or bonus incentives, upside “silent” racing potential, residual value through bloodlines, etc.). These attributes are taken into consideration during the partnership development process. Here’s the basics of how our program works.
In some of our groups, we package two or more horses together to spread the risk and increase the racing action. Depending on whether the formed partnership is targeting horses of racing age, yearlings or breeding stock, we may purchase privately, through auction or via claiming.
With claiming groups, we collect monies up front via the partnership offering and work with our trainer to select horses that offer upside racing potential and often residual breeding value. We target claiming levels where the horses will have room to increase their value and compete for higher purses. When we form a partnership, we do not mark up the horses like many of our competitors do. If we buy or claim a horse for $10,000, that’s the price the partnerships pays.
In most cases, we include a few months pre-paid training expenses in the initial share price and deposit the funds in the partnership account so that we have money to pay for the first months training with the potential of earning purse monies before partners are subject to monthly assessment fees. In many of our partnership groups, we’ve made money right from the start and partners have never written a check!
If we run low in partnership account funds, we’ll begin collecting monthly assessment fees to cover the partnership’s actual cost of board, training, veterinarian, transportation, shoeing, racing expenses, etc.
At HRC, we charge a minimal monthly management fee to cover the cost of running our business and a commission on horse’s earnings and increased sale value, which is our financial incentive, and your assurance, that we’re managing the partnership in a value and results oriented fashion. In a nutshell, if the partnership does well and the partners are happy, so are we. Partnerships are disbanded when the group’s final horse is sold and all remaining funds are distributed to partners accordingly.
Many of our competitors load a commission up front on the initial purchase price, charge their partners high monthly management fees or set up pre-loaded (no out-of-pocket expenses ever) risk-share agreements with their trainers. Often times, these agreements may inappropriately place incentives on the managing partner or trainer that are detrimental to the overall good of the horse, and the partner’s share value for that matter. In many cases, it’s bad for the horse and bad for business. Please beware before buying into one of these risk-share, front loaded partnerships. At HRC, rest assured that the horse comes first. We believe that if you take care of the horse, the horse will take care of you.
We don’t do a lot of paid advertising in racing publications or websites as we really focus our efforts and resources on improving the quality of our bloodstock and services so we can provide you the best product for the money. Some of our competitors with big markups and management fees can afford huge advertising budgets. Rest assured, our money goes into the horses, not fancy advertising.
Before new owners join a partnership, we prefer a phone or in-person meeting to discuss the partnership, review the highlights of the program, answer all questions and review the Partnership Agreement, which outlines all the partnership details.
Partners receive frequent e-mail updates regarding their horses. Updates include information about training, workouts, race entries, race results and summaries, financial reports, etc. We post regular updates on our Facebook account, too, with entries, results and other news of interest. Partner feedback is invited and occasionally requested through quick surveys on various decision points. Partners are welcome to contact us by phone, too.
We set up several barn and farm visits during the course of the year. At these events, HRC partners can visit their horses, feed them carrots, meet and talk with trainers, riders, breeders, farm and stallion managers, etc. When our horses are racing, we facilitate seating and passes for partners. Partners are invited in to the paddock to watch the horse get saddled, meet fellow owners, chat with our trainer and shake hands with our jockey. Visits to the winner’s circle are the crowning moment of every horse owner’s experience.
Race horse ownership and race day festivities are exciting social events with many long term friendships being formed amongst partners. At the end of the racing season, we hold year-end parties where HRC partners come together to enjoy food, fun, friendship and prizes.
We offer horse racing syndicates and a number of broodmare syndicate opportunities across the country, including racing at Emerald Downs, northern California (Golden Gate), souther California (Del Mar, Hollywood and Santa Anita), Illinois (Arlington and Hawthorne), Texas (Houston, Lone Star and Retama), Oklahoma (Remington and Will Rogers) Louisiana (Delta, Evangeline, Fair Grounds and Louisiana Downs) and more.
Why own a race horse?
Chances are that if you’re reading this, you have the interest and curiosity about horse racing ownership to make you an HRC partnership candidate. With Horseplayers Racing Club, it doesn’t matter if you’re brand new to the racing game or an experienced owner, we provide the format for you to participate in all the fun and excitement of the full race horse ownership experience without the full cash outlay or risk involved. Basically, you can have all the thrills, fun and excitement at a fraction of the cost. In many cases, our loyal partners invest in several partnerships, enjoy racing action several times a month and are still paying several times over less that someone who plunked down thousands to buy one horse.
No doubt, horse racing is a risky business and not for the feint of heart. If you can’t afford the risks associated with race horse ownership at the partnership level, we suggest you enjoy all this great sport has to offer as a racing fan or horseplayer and save your money for an ownership opportunity down the road.
Why Horseplayers Racing Club?
We are committed to bringing you a rewarding race horse ownership experience. Our partnership offerings are designed to be affordably value-based, packaged to offer high excitement with reduced risk (when compared to one-shot, high priced horses), professionally managed by an experienced team and supported with reliable communication, financial reporting and race day facilitation.
We encourage you to shop around, check our partner testimonials, talk with current partners and look at our success. We’re confident your experience with HRC will exceed expectations.
How much does it cost?
Most of our partnerships are structured in the $200-500 range for 2% ownership share and usually includes a few months of pre-paid training expenses. For your convenience, we accept check, money order and major credit cards for initial share purchase.
Once we’re up and running with a particular group, partners are charged monthly assessments based on the actual cost of board, training, veterinary and farrier services, transportation, etc. While costs greatly vary depending on where the horses are racing, monthly expenses typically range between $1,200 and $2,800. As an example, if you own two shares (2% ownership) of a horse in training, monthly assessments might average $40 per month for a mid-level track and that’s assuming the horse isn’t earning any purse money.
We send a quarterly financial statement that tracks, by month, purses and bonus monies earned, outgoing expenses and partnership account balance. At the end of the year, our CPA sends partners a K-1 partnership document for tax filing. For those you using a public tax preparer or tax preparation software, you’ll find that including this statement to your tax return is a snap.
Where will my horses run?
Horseplayers Racing Club will have partnerships in several states and be looking to expand into areas where there’s interest. Horses will primarily run at racetracks in the area the partnership was formed. Horses may be shipped elsewhere during the off season or to chase higher purses or advantageous racing opportunities.
We offer horse racing partnerships in Washington and Oregon with racing at Emerald Downs and Portland Meadows; horse racing partnerships in Arizona for racing at Turf Paradise and Yavapai Downs; horse racing partnerships in California for racing primarily at Santa Anita, Hollywood Park, Del Mar, Bay Meadows and Golden Gate Fields; horse racing partnerships in Illinois for racing at Arlington Park and Hawthorne; horse racing partnerships in Oklahoma for racing at Remington Park and Blue Ribbon Downs; horse racing partnerships in Pennsylvania for racing at Penn National and Philadelphia Park; horse racing partnerships in New York for racing at Belmont Park, Aqueduct and Saratoga; horse racing partnerships in Kentucky for racing at Churchill Downs, Turfway Park, Keeneland and Ellis Park; horse racing partnerships in Florida for racing at Gulfstream Park and Calder; horse racing partnerships in Louisiana for racing at Lousiana Downs, Fair Grounds and Delta Downs; horse racing partnerships in Massachusetts for racing at Suffolk Downs; and horse racing partnerships in Texas for Lone Star Park, Retama Park and Sam Houston Race Park. We offer breeding partnerships in California,Texas/Oklahoma and Washington.
For those really interested in rolling the dice, please ask about our horse racing pinhooking partnership. In this venture we aim to buy low and sell high within a 12-18 month period.
If you are interested in racing or breeding partnerships elsewhere, we would love to hear from you!
How involved will I be in the race horse ownership experience?
It all depends on you. As an HRC partner, you’ll receive an update every time your horse has an official workout, is entered or races. You’ll also receive frequent updates before and after these key events. Feedback is always invited and your opinion and preferences on various racing and breeding topics are always welcomed. Partners are invited to join us for workouts and races, but attendance is purely optional.
When can I see my horses?
We set up barn visits and farm visits so you can visit your horses and talk with our trainers. If these pre-arranged sessions aren’t convenient, we can often set up individual visits with you at a mutually agreed upon time, whether it’s to watch a morning workout or visit the barn before or after races. In some states, partners are required to become licensed by the local horse racing commission.
At most visits (except days when the horse is racing), you can feed them carrots or apples. Most horses love visitors and will play up to get your attention.