| | - Select a trainer that suits your partnership group and who will be helpful and patient with new owners.
- Use your local racing commission, American Quarter Horse racing affiliate and AQHA as a source of information for finding a trainer or horse, licensing requirements and costs, and other questions you may have.
- Be sure that you are comfortable dealing with the other people involved. If possible, try to have at least one experienced owner in the partnership.
- Make sure that all partners, especially new owners, fully understand the risks (as well as the rewards) associated with racehorse ownership.
- Even if the partnership is between friends, get a signed agreement before you buy a horse. The agreement should clarify what percentage each partner owns and how expenses and earnings will be divided.
- Establish a voting and decision making procedure. Also, determine who will be the managing partner and be responsible for keeping in contact with the trainer. When major decisions need to be made, some type of voting procedure should be in place.
- Consult with a tax advisor prior to entering into a partnership. There are many ways to form partnerships and each may have different tax implications.
- Consider opening a separate bank account for the partnership so that tax and accounting records are easier to keep.
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