If you look at EHOA on line it is a membership organisation for people who own events horses. The best thing is it provides a hospitality area at many Events where one can sit down, watch a screen, have a cuppa and meet fellow owners. It does have a “syndication brokerage” section online where riders seek syndicate owners and potential owners can see what might be available. In the context of this discussion, that brokerage role might be useful e.g. on the USEA web page (if not already there).
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To be fair, he did what he was purchased for. He came 9th at the London Olympics with Karen O’Connor. After her accident, he had 2 qualifying scores at Intermediate FEI with Marilyn Little before he came 4th at Pau with Phillip Dutton in 2013. Yes, he missed 2016, and then went on to 4th at Kentucky with Phillip in 2017 before moving onto Phillip’s daughter for Young Riders. That horse campaigned at Advanced FEI for 9 out of 10 years from ages 8 to 18. Successful with a total of 5 riders at FEI levels. What a horse!
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The number of 5* riders within in the UK is pretty incredible
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See I think this is the wrong model. My jump trainer who events up to 4* asked me if I wanted to participate in a syndicate of her horses. I told her no because I think it is a bad model to be invested in something so fragile. I told her if I was inclined and had the money to throw away, I would invest in her. I told her, if I was a rider I would form an LLC around myself and solicit investors. I would be considered a part owner of every horse she had. It has the benefit that if a horse doesn’t work out or gets a career ending injury, I’m not out my money and I still get to play. In a way it is similar to the microshares you can buy in racehorses.
The other parallel is investing in start-ups. I was talking to a venture capitalist one day and he told that they bet on the person, not so much the idea. So I would want to bet on the person and not the horse.
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maybe take a marketing class or two
100% agree. I think a lot of riders lack an appreciation for the unique business models they are trying to run and just don’t have the business and marketing savvy to properly communicate their value proposition. What are you selling and why should someone buy in? That’s a question I’ve casually asked a few upper level riders when syndication comes up and have been surprised how many of them stare blankly back at me.
Most default to talking about adding to the value of the horse, which they do. But if that’s your pitch, your presenting value as return on investment which inevitably means selling the horse at a profit. That’s actually not the strategy upper level riders are pursuing and a big reason why they struggle to find long-term owners.
What they’re selling is a social endeavor - they’re in the hospitality business when it comes to recruiting owners, not the asset management business. It’s a completely different sell and a completely different value equation.
The riders who do this well have figured out that what they’re selling is more akin to a country club membership, meaning owners are here to spend, not make money. But that does require much more (and different!) work beyond just riding their horse for them and sending them video clips and bills. They have to make those owners feel intertwined in the journey and pitch the incredibly unique experiences that said owner will access - it isn’t something you can just purchase on Ticket Master.
The ones that do this best not only understand what they’re selling, they’re also great a tailoring that experience to each individual owner. Most riders completely miss this or don’t have the people/business skills to execute.
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This may not be on point, but it is similar. I recently met with a girl, she is about 25 or so. She is a missionary, has been in Africa for 5 years. She is looking for sponsors, and I had decided to try to give her a tiny amount of money. But when I asked her to tell me about working in Africa, she couldn’t say anything except that she taught school. She had no clue how to sell herself, and I decided not to contribute to her.
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This is SUCH a good post. It should be required reading for every aspiring rider looking for owners.
I feel for riders, because so many of them want to ride horses, not manage a boarding barn, or run a country club, or teach lessons to kids, or spend half of their day doing accounting, or head up an operations department for an acreage. But that is the job. If you want to ride horses, you want to be an amateur. If you want to be a professional, all of those additional things become “other duties as assigned” for you as well.
I do think this is clearly the reason why the best riders are not necessarily our most successful professionals. Back in the day when USEF had a training center and owned the best horses and assigned them to their riders as they saw fit, the best riders were the ones out there competing at the top. Now, the ones competing at the top are the best riders slash marketers slash general managers slash cruise ship directors, because that’s how you end up with the resources to do it. Somewhere along the line, we made that choice for the sport.
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The event riders might take a lesson from My Race Horse. Lot’s of work, but they are really good at it.
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You’ve just articulated why I don’t “get” syndication on sport horses. Unless the horse is a breeding prospect (and with horses, who ever really knows if that will pan out), where is the return on investment? I have never understood why anyone would want ownership in a horse that they never ride, but I guess that’s because I don’t have that kind of “throw away” money. If what they really get out of it is the social aspect, I agree with a previous poster that the investment should really be in the rider, not the horse.
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I don’t understand it either but some people really just like horses but don’t want to ride. They have the extra money and want to have a horse they can have some kind of relationship with. I’m sure it’s rewarding for them emotionally.
I don’t understand fantasy sports either but people love those and they don’t play either.
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When I worked for tech companies, the sales people tended to get enamored with all the tech. I was at a meeting with a big client and after the sales people finished their pitch, he wrote WIFM on the board.
WIFM - what’s in it for me (the client)? That’s the question that you have to think about when you are selling anything to a client.
So to follow on to the discussion. If you were a rider and were trying to pitch me on joining a horse syndicate or sponsoring you (the rider), what would you’re pitch be?
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I have a person I would sponsor in a heart beat, and maybe this is what we need to convince her to do.
We’ve tried to own with her, but horses are a crapshoot. The rider and human though- is someone i want the best in the world for, and think that there are so many people who would. So I am really curious about how we could make this work
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But race horses are treated in a far more disposable manner because it is all about the money. I was part of a syndicate for an elite eventer and only stopped when the horse retired. I personally believe that you need to be in it for the experience and the love of it all, if you truly want the horse’s welfare to be the priority. It just doesn’t pencil out otherwise.
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You missed my point entirely. I was referencing the amazing way that MRH brings in people who want to be involved in equine sport. They source the horses, place them with trainers, and keep all of the investors in the loop. The group of 300 that showed up at the Breeders Cup to support their horse would be a great example of how successful MRH can be.
I believe that they are also responsible in the way they handle retiring their horses.
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I don’t think eventing has the fan base to get anywhere close to MRH style microshare syndicates.
But there are affordable syndicates horse people can join for eventers. I was recently invited to join one for a one time $450 fee. Sally Cousins has had her OTTB syndicate for years where you get ”ownership” of all her OTTBs for $1000.
Problem is, there is absolutely zero return on these things besides “access.” No prize money, no wagering, etc. (Anyone hear how the crab sports thing panned out? I signed up but never wagered). A lot of the riders do a good job offering “perks” like private social media groups, training tips or discounts, events, etc. But not all of them.
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I agree that eventing has a much more limited fan base, and that there is no return on your money. However, my point was that MRH has a great platform, and it’s one that could be emulated. For those who like eventing, and would love to be a part of a horse that might make the Olympics, putting together a syndicate that requires less money, gives reports and access, and brings people into the world of eventing, it’s a way to build something better.
I think it all depends on the syndication agreement. Unfortunately eventing doesn’t command the prize money you see in the jumpers and now with hunters. In some ways I think that needs to change but not sure if the eventing community would accept nomination fees and higher entry fees to help subsidize the prize money. Equestrian sports need support from competitors and supporters, not just rely on wealthy companies like Mars to sponsor all these major events. The venues that ask for donations to help keep them running - consider making a $25 donation - those add up and help keep them going. Without everyone’s support those venues can’t keep up the maintenance required - especially eventing venues - just the groundskeeping alone is a huge expense.
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I wonder if you could do a paetron type deal. Insights into the training of different horses, deals like course walks, discounted clinic entries if you are in the area. Paetron focused more on the rider and their program then a specific horse.
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Or they don’t have the time or built-in family resources. It’s great to have a spouse who can ride your horses and warm you up. It’s great to have a spouse who is well-connected socially and can draw clients in. Heck even a spouse or parent who does your book-keeping and paperwork. It’s just not feasible to do this all by yourself.
The country-club membership analogy is a good one. But, like country clubs, people are drawn to the one all of their friends are in. Plus, you get to live vicariously through the rider’s other horses, and become friends with their owners. So you feel a part of something even when it’s not your horse. That’s one reason I think Boyd is so sought after right now, and why it can be hard for riders to start from scratch with not a lot of action to attract owners.
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I’m a My Race Horse owner and really really enjoy it. DH and I have been to see one of our horses race a number of times, have met the trainer and jockeys and have stood in the saddling paddock before her races. We also went to their Saratoga Experience which included a tour of the backside, breakfast and lunch, a tour of a local breeding farm and some dedicated time at the training track.
I would gladly buy in to an eventing syndicate if these sorts of things were available. Heck, when I win the lottery buying some upper level horses is first on my list. LOL
However, most riders, I imagine, don’t have the staff to manage a herd of owners.
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