Would you do this?!?!

fmc123412 · #1 07-10-2006, 12:55 PM

I am with trying to answer a very difficult question. And I would appreciate if anybody gives me a good insight!

I am 24 yo, and I was offered to enter in a partnership on buying a race horse here in Brazil.

The horse is a claimer (this means, probably, that he will win nothing at all!).

Would you enter on this partnership if your monthly spents will be 10% of your salary?!!? The horse price is 20% of my monthly salary.

Assume that the horse is on good conditions and the trainer is not trying to sheat me!

Moreover, I intend to sell the horse in one year and buy an unraced colt/filly next year...this first year is just to get experienced.

Thank you!

paisjpq · #2 07-10-2006, 12:57 PM

if the horse is a claimer that can't/won't win who do you think you are going to get to buy it? It sounds like a losing proposition to me. 10% of your monthly budget should never go towards an investment like a horse--what happens when the horse gets sick or hurt and the vet bills start rolling in--or when it needs time off and you are paying day rate on an animal that is earning nothing. Racing is almost always an arena to throw your money away, it sounds like you are not in a financial situation where this is possible.

SentToStud · #3 07-10-2006, 01:01 PM

Quote:

Originally Posted by fmc123412

I am with trying to answer a very difficult question. And I would appreciate if anybody gives me a good insight!

I am 24 yo, and I was offered to enter in a partnership on buying a race horse here in Brazil.

The horse is a claimer (this means, probably, that he will win nothing at all!).

Would you enter on this partnership if your monthly spents will be 10% of your salary?!!? The horse price is 20% of my monthly salary.

Assume that the horse is on good conditions and the trainer is not trying to sheat me!

Moreover, I intend to sell the horse in one year and buy an unraced colt/filly next year...this first year is just to get experienced.

Thank you!

If you are 25 years old, have no debt, no dependents and feel confident about your financial future.... yes.

If you are 65 years old, have no dependents and a funded retirement, ... yes.

Anything in-between, no.

Just an opinion.

fmc123412 · #4 07-10-2006, 01:04 PM

Quote:

Originally Posted by paisjpq

if the horse is a claimer that can't/won't win who do you think you are going to get to buy it? I sound like a losing proposition to me.

I know this is only to lose money...but this will by my first time as an owner....I wont pay $30.000 to a horse an give him to any trainer....I dont have any prior experience....

So i intend to pay $2.000 on a bad horse....get some experience and the next year, pay $30.000 to a horse and give him to a trainer I trust

I dont know if I was clear, but I wont use the returns this bad horse will give me to buy the other horse one year later...

fmc123412 · #5 07-10-2006, 01:08 PM

Quote:

Originally Posted by paisjpq

if the horse is a claimer that can't/won't win who do you think you are going to get to buy it? It sounds like a losing proposition to me. 10% of your monthly budget should never go towards an investment like a horse--what happens when the horse gets sick or hurt and the vet bills start rolling in--or when it needs time off and you are paying day rate on an animal that is earning nothing. Racing is almost always an arena to throw your money away, it sounds like you are not in a financial situation where this is possible.

I got your point!

And I will think about it!

Thank you!

paisjpq · #6 07-10-2006, 01:10 PM

Quote:

Originally Posted by fmc123412

I know this is only to lose money...but this will by my first time as an owner....I wont pay $30.000 to a horse an give him to any trainer....I dont have any prior experience....

So i intend to pay $2.000 on a bad horse....get some experience and the next year, pay $30.000 to a horse and give him to a trainer I trust

I dont know if I was clear, but I wont use the returns this bad horse will give me to buy the other horse one year later...

your best bet is to get into an established syndicate to gain experience about the game. Then when you are ready you can go out on your own, again even if you don't intend to use proceeds of a 'bad' horse, you may not be able to unload said horse and will end up owning two horses, which costs twice as much...

fmc123412 · #7 07-10-2006, 01:17 PM

Quote:

Originally Posted by paisjpq

your best bet is to get into an established syndicate to gain experience about the game. Then when you are ready you can go out on your own, again even if you don't intend to use proceeds of a 'bad' horse, you may not be able to unload said horse and will end up owning two horses, which costs twice as much...

The problems is that there is not a good stablished sindicate here...

The trainer assured me that when the horse starts giving me no returns, we will sell him....even if it is to make sausages....

paisjpq · #8 07-10-2006, 01:19 PM

Quote:

Originally Posted by fmc123412

The problems is that there is not a good stablished sindicate here...

The trainer assured me that when the horse starts giving me no returns, we will sell him....even if it is to make sausages....

where is here? do you seriously think it is okay to sell a horse to the slaughterhouse if it can't make money for you ???? if so you have no business being an owner in the first place!

fmc123412 · #9 07-10-2006, 01:27 PM

Quote:

Originally Posted by paisjpq

where is here? do you seriously think it is okay to sell a horse to the slaughterhouse if it can't make money for you ???? if so you have no business being an owner in the first place!

of course not...i was just being extreme about the issue...

Here is Brazil.

And the horse can be sold to jumping purposes, therapy, i dont know...even for breeding...she is a filly and has 2 wins already....2 claimings, but 2 ins...lol....she is 4 yo

paisjpq · #10 07-10-2006, 01:29 PM

okay, sorry. didn't mean to jump all over you , just something I feel very strongly about.
but what I said earlier is still true---doesn't sound like you have the resources to support a horse in training right now. JMO.

Cajungator26 · #11 07-10-2006, 01:30 PM

Quote:

Originally Posted by paisjpq

where is here? do you seriously think it is okay to sell a horse to the slaughterhouse if it can't make money for you ???? if so you have no business being an owner in the first place!

He/she is in Brazil. That should suffice as excuse enough.

But you're right... that was a ****ty thing for him/her to say.

#12 07-10-2006, 02:09 PM

If you asking yourself if you can afford it, then you can't. This isn't a car or a house (where it sometimes makes sense to try to overreach financially) it is a racehorse.

Piece of advice, you seem pretty passionate considering you are posting on this site from Brazil, START YOUR OWN SYNDICATE. Just bust your balls and go out and talk it up. Good luck whatever you decide to do. I am spending some money this fall to buy into some mares for breeding but can't wait until I get to watch the foals run in a couple years (too bad they won't be mine when they run).

#13 07-10-2006, 02:14 PM

Never get into owning race horses ... unless you are fully prepared to lose every penny you put into it.

If you're content to toss away money into an enjoyable hobby ... do it.

If you're investing in race horses in order to make money ... forget it.

Downthestretch55 · #14 07-10-2006, 03:30 PM

Quote:

Originally Posted by Bold Brooklynite

Never get into owning race horses ... unless you are fully prepared to lose every penny you put into it.

If you're content to toss away money into an enjoyable hobby ... do it.

If you're investing in race horses in order to make money ... forget it.

FMC,
I'll give you 10-1 Bold B has never owned a horse. Though lots of what he says has a distict oder about it (like what comes from under the tail of one).

Plenty of people have made money on horses. It's a huge industry.
Sure, you can expect to lose while you're paying your dues.
Just don't let the ignorant one discourage you.
Thre are people that do quite nicely bringing horses to the states from Argentina. I don't know about exporting from Brazil, but you might want to consider that possibility.

Before you jump in, I'd take Yogi Berra's advice, "You can see a lot just by observing."

Good luck!

DTS

fmc123412 · #15 07-10-2006, 05:47 PM

Quote:

Originally Posted by Downthestretch55

FMC,
I'll give you 10-1 Bold B has never owned a horse. Though lots of what he says has a distict oder about it (like what comes from under the tail of one).

Plenty of people have made money on horses. It's a huge industry.
Sure, you can expect to lose while you're paying your dues.
Just don't let the ignorant one discourage you.
Thre are people that do quite nicely bringing horses to the states from Argentina. I don't know about exporting from Brazil, but you might want to consider that possibility.

Before you jump in, I'd take Yogi Berra's advice, "You can see a lot just by observing."

Good luck!

DTS

DTS,

Your post was the most encouraging one!...

I am confortable with losing all the money I put on this horse. 10% of my monthly budget is not something I will really regret of losing it....

There are good exports from here....good horses are always going outside (Pico Central, Leroidesanimaux, Siphon, etc...)...and number are multiplying

The chance I get a horse like this is the same of winning the lottery...but It is not about the money....if it comes...better!

Today I will see the filly running....if she looks beautiful and runs a good race....6th is enough for me in a field of 10...I will buy it, i think....

I don´t know, and you correct me if I am wrong, but i think i can afford owning a race horse...10% of my gains is not something I would die for....

I will keep thinking....her next claiming race will be next week, if i decide to buy her...

Thank you!

randallscott35 · #16 07-10-2006, 05:59 PM

This is the sport of kings for a reason. You need money you are absolutely willing to lose to get in. You don't sound like that type and I'd hate to see you make the wrong move here.

#17 07-10-2006, 06:02 PM

Quote:

Originally Posted by fmc123412

I am with trying to answer a very difficult question. And I would appreciate if anybody gives me a good insight!

I am 24 yo, and I was offered to enter in a partnership on buying a race horse here in Brazil.

The horse is a claimer (this means, probably, that he will win nothing at all!).

Would you enter on this partnership if your monthly spents will be 10% of your salary?!!? The horse price is 20% of my monthly salary.

Assume that the horse is on good conditions and the trainer is not trying to sheat me!

Moreover, I intend to sell the horse in one year and buy an unraced colt/filly next year...this first year is just to get experienced.

Thank you!

While I appreciate your spirit of wanting to forge into the game, I can only tell you to really think it out and to keep this one thought in mind when thinking in terms of finance:

IF YOU BOUGHT INTO THE HORSE AND HE DIDN"T WIN FOR 6 MONTHS, COULD YOU PAY FOR YOUR SHARE OF BILLS ON TOP OF WHAT YOU EXHAUSTED FOR THE HORSE?

Make sure you ONLY spend money that is hobby/leisure money - or that which is expendable income....not 'rent' money, so to speak...

Also, if the answer to that financial question is 'Yes', then you'll want to do your homework to make sure you understand the entire deal...what you are responsible for....what is your share in the horse...whop has the decision making power in the partnership.....How good is the trainer and does he have a plan....Is the trainer or business manager accountable and honest...etc...

Even though it is a hobby for most, it can be a shocking experience that leaves people with a bad taste in their mouths if you don't understand what you are getting yourself in to, and I would hate to see you get run off by this sport by lunging into the wrong situation because there are a lot more things that can go bad in this sport before they go good....I want to breed new owners in the biggest way, but that also means that I want new owners to come into this game well-informed and as smart as they can be about the situation so that we can keep you in the game.

By the way, did you say that you were living in Brazil?..Or that you were buying a horse from Brazil to ship to the States?

Just do your HOMEWORK!!!

Downthestretch55 · #18 07-10-2006, 06:03 PM

Go for it FMC!
If you want to bring her to the states later, pm me. I can set up a breeding for her and pick her up after quarintine. I can also arrange reasonable farm costs. Let me know if I can be of assistance.
Good luck!

You know? There are many people out there that will envy you for making a bold move that opens opportunities. They are much too cautious to ever take a risk. Then they will be the first ones to want to know more about your doings. They shake their heads and mutter, "I coulda, I shoulda, I woulda."

"If you never swing the bat, you ain't gonna hit a home run." - my Little League coach (many years ago).

DTS

SCUDSBROTHER · #19 07-10-2006, 07:06 PM

Just remember that when you read the form,these breaks in form that you see???? Well,guess what,the horse doesn't hibernate.It eats all that time,and you pay for it to eat all that time.

paisjpq · #20 07-10-2006, 08:57 PM

Quote:

Originally Posted by SCUDSBROTHER

Just remember that when you read the form,these breaks in form that you see???? Well,guess what,the horse doesn't hibernate.It eats all that time,and you pay for it to eat all that time.

love it scuds! great point (but don't forget you also pay for the room service and fancy sheets and pillows).