Boarding to cover mortgage

I don’t think this would be a good venture from what you describe. You pretty much have to live, eat, and breathe the boarding business! It is very costly for upkeep. I am not sure where you are located but if you live where you have an actual winter, even just the purchase of hay for the winter can require thousands upon thousands out of pocket. I certainly wouldn’t go into a mortgage expecting to be able to pay it from a new boarding business.

It certainly can’t be done with two people working full time jobs off the farm. Unless you plan on hiring a whole crew of barn labor and maintenance for upkeep of the farm. Which, there goes any profit.Taking care of even a few horses is a sun up to sun down job.

2 Likes

I believe that poster was in the Houston area, they were teachers nearing retirement?

This sort of discussion usually starts with few drinks then migrates into “you know I could …”

There are ways OP’s idea could work, but not as easily as they have envisioned. There is no mention of start up costs for just basic needs such as tractor or equipment which could easily add another six digit impact into the equation and those cannot be rolled into a primary mortgage.

The casual offhand comment of “and build an in-door” which very well be a requirement to attract these 21 boarders appears to be made without forethought regarding the cost impact…nor how that would be funded

1 Like

We know people who did something similar recently but they bought the land and lease to trainer (with staff) so basically they are just landlords.

Yeah if you can fill the stalls with trainer/client horses or have someone else running the place. I can’t imagine working FT, having 20+ horses and then trying to take care of the 20+ Horses?

We do bed with straw, but SO has 15+ years experience with cattle and horses and even has a degree in farm and ranch management (kinda silly) we have a mere 3 horses and it feels like a full time job (on top of us both having jobs and a newborn)

2 Likes

It’s all I can do to work F/T and take good care of three horses. Twenty? Shoot me now.

13 Likes

Right :lol:

1 Like

Boarding is a lifestyle business, usually done in order to provide somewhere for the owner’s personal horses to live as the main priority. Not in to horses - don’t go there! Hard, hard work to do it properly, no privacy, no boundaries from the clients, you have to love it to do it and be a strong people manager (to keep those PITA clients in check/boot them out when you realise they are bulldosing you) as well as having the practical skills to run the place, that’s fencing, plumbing, electrical, mechanical before you get to horse care…

4 Likes

And with 21 horses, if you want premium board, you’re going to have to have multiple riding rings, both the indoor you spoke of and an outdoor, most likely. The footing for both alone could run you 10s of thousands of dollars.

2 Likes

I appreciate that this post is an exploration into areas for consideration. In addition to “doing the math” and evaluating the work, you need to look at potential clients. Sorry, but no way would I even consider boarding at your facility. You have no horse experience, and it appears your wife’s experience is questionable. Growing up around horses is not an adequate resume. I highly question your ability to recognize illness, lameness, evaluate a choke or even know that it was occurring. I would not trust you to connect with owner and Vet in a timely manner.

Every encounter with a horse is a form of training. How will you manage a frisky morning walk to the paddock? Will you be providing training that I will spend months correcting? How will you determine turn out groups if lacking in horsemanship skills? Will you even know the herd dynamics do not work? My sense is that your client base will be attracted by price well below industry standard in your area, or will be of the group who lack horsemanship skills as well. Either way, not likely to work for you.

8 Likes

You would be a million times better off offering covered storage for boats/rvs/cars/etc.

13 Likes

My thoughts went back to that poster in Texas. That was an older couple of teachers looking to fund retirement. This one is a young couple in their 20s looking to fund their mortgage. Odd, details a little different but same question. Should we buy something and finance it based on income potential from a currently non existent business that will require considerable improvements to said property in a field we have no experience in? Add this young couple will be managing it in their spare time after work.

Yeah, sure. Great idea. Go for it. Anybody will finance that for you.

8 Likes

You do realize that an indoor arena will cost about $100,000 to build?

5 Likes

The ONLY way I see this working is to buy the property and lease out the equestrian facility portion to a trainer. Stay out of the day to day running of the operations.

9 Likes

You would have to be up at 4am to feed and turnout 20 horses and still make it to work by 9 if you do the 9-5, that doesnt include blanketing or doing stalls. 20 stalls alone would take 2 people most of the day. This is extremely unrealistic.

The absolute worst people to run a boarding facility are those with no experience. Sorry.

10 Likes

If you need help affording a mortgage, it’d be a lot easier and more efficient to just get a part time job. I skimmed the replies but even just the upkeep on a place of that size will take more time than you have with two full time jobs. Fill the barn with 20 boarded horses, you have no idea at all the amount of work that is. This is really not a good idea, sorry.

3 Likes

Repeating a point made, if you want to board where you can charge plenty, that is full care, you have to be able to provide that.
Full care means just that, you are taking complete care.
Boarders generally just come ride and have fun with the horses.

That means you feed and clean stalls and waterers daily, do any other like blanketing, turning out and bringing in, attending to vet and farrier, exercise when owner is absent, sick or traveling.
You take total care of the horse.
Then you can charge the bigger boarding premiums and added fees.

That means, you need staff to help do all that with that many horses.
That is more work than two people can that have full jobs to tend to.
It requires to be available at all hours, some horse care happens after regular office hours, at night, during weekends and holidays, as emergency care may.

The more boarders are expected to do, the less full care and more self care, the less you can charge.
You may still be expected to cover when the owner can’t make it, or have someone that does.

Just more to consider.

4 Likes

When I met the BO 20 years ago she was leasing the equestrian facility at a camp for kids. It was across the road from my condo, which made it easy to get sucked into volunteering and helping with chores. She lived about 20 minutes away and I got a few 2-3 a.m. calls because a horse got out (usually the overenthusiastic Haflinger). Her great-grandfather bred Morgans and her mother was breeding Paints. She had plenty of knowledge and experience having grown up galloping around hayfields and jumping over stuff, plus learning from granddad. She helped me find my own horse in 2001.

She was lucky to get a 75-80 acre farm property for $110,000 in 1998. The plan was to build an indoor and attached barn and then relocate. She put her old place on the market and it quickly sold for cash. The lessor’s proposal for the year 2 contract was unreasonable so she cut back on boarders and moved. I helped her do the research for the new barn/arena: 80x200’ indoor plus the barn. The 24,000 sq.ft. building steel building was erected in 2001 for about $250,000 by the time you added everything in from water and electrical to 18 stalls and fencing. She had existing, successful lesson and therapy programs with a string of lesson horses. Despite her experience and business acumen her father had to cosign the mortgage. She paid it off in 15 years. That’s good, but rising property taxes and insurance have eaten up the difference. In a small town she is #3 on the “who pays the most taxes” list. She broke even with 14 stalls filled plus some pasture boarders which “make money” because their fixed expenses are lower. 3-5 employees include instructors and barn help, but she still relies on kids who barter chores for riding time or lessons. She has to come up with sources for 6,000 square bales and several hundred round bales no matter how good or bad the growing season is. Heated waterers cut back on winter chores. The tractor and gator both needed replacement this year. She is well-known for her horse-keeping knowledge and lesson programs. She has one of the largest facilities in the area but it is a lot of work keeping stalls filled, finding new riders and retaining barn help. It can be feast or famine.

I’ve laid all this out because I’ve been there for 20 years. There is an upper limit to boarding and lesson fees and margin is close to non-existent at times. She can’t charge much more than the competition no matter how nice her facility is. Controlling costs is crucial. Between the boarders and her own herd she cares for 40-55 horses plus the lesson programs. We don’t need the vet that often for signs of colic or injuries. However, It wouldn’t take much, maybe a weather disaster, to derail the whole operation.

People who don’t have the requisite level of expertise will open their own barn, figuring they will save a bundle of money not paying board, bring some boarders in, and make money. Wishful thinking. One boarder who she knew was building took 4 families with her when she left. They didn’t give any notice. It is still a marginal operation after about 10 years. It took several months to fill those empty stalls.

Most of us here know how difficult it is to run a horse operation. Horses can find the most ridiculous things to disrupt the tranquility. The land has been farmed since 1863 and stuff still rises to the surface from time to time. My gelding was in a 3-acre turnout. He managed roll over on a 3" piece of wire which stuck in his belly (no big deal). He got cast in the most commonly used round bale feeder while napping when he rolled over. Alphas need to guard their bales. Fortunately they found him and got him out quickly, sore but not injured.

It doesn’t make any difference whether you care for 3 horses at your house or 50 at a nice farm. Taking care of animals, particularly horses, has an element of unknown problems that you can’t predict, let alone control. The amount of time you have to contribute is way more than you anticipate. Taking a vacation? Occasional at best. If you really want to do this you will most likely fail if you don’t “apprentice” for a few years at a similar facility.

3 Likes

Agree with the posts above. You would definitely need at least one employee, so you would have to factor in their compensation, insurance, payroll expenses, etc. That right there will probably negate the income to offset the mortgage.

If you can’t afford the mortgage without the board income - you can’t afford to do this.

4 Likes

Sorry OP, the business plan you are considering is a set up for disaster, and I see zero potential for financial gain.

1 Like

Nope.
I’m a BO.
boarding is a loss-leader so trainers can have a place to do business. The training and lessons are what pay for the mortgage.
I’m a trainer.
If you think this is something you can do in your spare time, you are in for a world of hurt.

3 Likes