One partnership group I had been watching, but never communicated with, is Brilliant Racing. They have been moderately successful with some 2 year old in training selections, but I was not sure what they would do next. I had added my name to their mailing list over a year ago.
Yesterday I received a very well prepared presentation that announced they were forming a new partnership to buy yearlings for the first time. There were a lot of things to like:
- the plan is to buy 3-4 yearlings in the $20,000 to $100,000 range (a range I like)
- they buy horses in combination with strong groups, yet still control the decision making process
- they plan to raise $300,000+, so expenses will be covered for more than a year
- the structure is without markup, or high fees, they get a % of purses
- The principals have both gambling and horse backgrounds
- The principals have full time jobs in addition to the partnership
- they seems to emphasize patience, and not “having horse ready to run at Saratoga”
- they returned my e-mail with a phone call in less than 30 minutes
- their partnership agreement in very well done from a legal perspective
- each unit in the partnership is only $3,000
This is not a big operation like Eclipse, West Point, or even Ten Strike. They have only been in the partnership business for 4 years, but I am a fan of the “little guy” who just might be working a little harder. I will be sending in my money to buy 1 unit, and I can now watch the yearling sales with a new level of excitement.
After everything I have learned about the partnership business over the last year, I asked myself the following question:
How would I structure a new partnership if I were starting from scratch?
I think I would include 85-90% of the features I find in the new Brilliant Racing partnership. That is why I am an investor.
Buying A Race Horse 