As a Buckeye Racing Club Partnership member, will I have any say in the decision-making process?
Business and financial decisions will be made by the Club Manager, Randy Kerr. By joining Buckeye Racing Club, you’ll need to trust that the Club Manager will do what’s best for the horses and the partnership as a whole.
Where does the money go?
Purchasing, maintaining, and racing horses is expensive, but we are making it affordable by implementing a one-year plan. It all starts with the trainer’s daily rate, which includes the stall, feed, conditioning, loving care and preparation to race. Each trainer has a staff of people they employ to assist in the process, including assistants, hotwalkers, grooms, exercise riders, etc.
Below is the Buckeye Racing Club budget for 1 year from date of last share sold: (jockey’s and trainer’s 10% of purse not included in budget as this comes from purses)
There will be a total of 150 shares in the club.
140 shares will be sold at $500 each (total $70,000) and both
Club Leader and Club Manager will receive 5 shares each as part of compensation.
Each share = 0.66% ownership
Expenses are built in for one year. When the end of that time frame approaches, how will the status of the partnership be evaluated and what steps will be taken from there?
Eleven months from the closing date of each individual partnership (when the last share is sold), all debts will be settled and units will be assigned a value by the Club Manager based on the funds in the account (remaining capital + purses earned) and the appraised value of the horse.
After this process has been completed, the Club Manager will decide if moving forward is in the best business interest of the ownership group. If moving forward is the appropriate action, the next 12 months of expenses will be calculated. In the event that projected expenses exceed the funds available within the partnership, members may be asked to contribute. (max would be $250 per share)
If the Club Manager and Club Leader deem that the best business decision is to terminate that individual partnership, the horses will be sold and the partnership will be dissolved. Based on units owned and finances at the time of termination, members will then receive any financial distribution due.
This might seem a bit complicated, but it is important to us that we provide full disclosure, and that potential partners understand the possible scenarios.
Can a member leave a partnership while it is still ongoing?
A member wishing to sell their interest must be prepared to find his or her own buyer. Potential members should be prepared to be involved for the length of their Buckeye Racing Club Partnership (at least one year).
Does every partner need a racing license and will everyone have all the benefits of ownership?
No license is required by each owner but is required to gain access to the backside of the track.
How will the partnership be informed on our progress?
Updates will be on Facebook and e-mail.
Why did Randy Kerr opt to form the Buckeye Racing Club?
Randy has a love for horses and the Racing game. He owns, breeds, raises, and trains Ohio Accredited thoroughbreds and wanted to get others involved in racing to learn and experience Ohio thoroughbred racing with the opportunity to have lots of fun along with the opportunity to get a return on your investment. (Note: Several other racing clubs offer no opportunity to get money even if the horse wins the Kentucky Derby)
Here is the breakdown of how the Manager of the Racing Club (Randy Kerr) will be compensated:
- 5 shares of horse ownership
- 5% on horse sold
What the difference between an Ohio Accredited foal and an Ohio bred foal?
An “ACCREDITED OHIO THOROUGHBRED HORSE” means a horse conceived in this state and born in this state which is both:
(a) Born of a mare that is domiciled in this state at time of the horse’s conception, that remains continuously in the state through the date on which the horse is born, and that is registered as required by the rules of the State Racing Commission; registered with the State Racing Commission,
(b) By a stallion that stands for breeding purposes only, in this state in the year in which the horse is conceived and that is registered as required by the rules of the State Racing Commission.
2. An “OHIO FOALED HORSE” means a horse registered as required by the rules of the State Racing Commission which is either of the following:
(a) A horse born of a mare that enters this state before foaling & remains continuously in this state until the horse is born;
(b) A thoroughbred foal produced within the state by any broodmare shipped into the state to foal and be bred to a registered Ohio stallion. To qualify this foal as an Ohio Foaled Horse, the Broodmare must remain in Ohio one year continuously after foaling or continuously through foaling to the cover of Ohio Stallion, whichever is sooner.
What are the advantages of owning an “Accredited Ohio foal?
- Short field sizes
- Higher purses
- Ability to run in both Ohio foaled and Ohio Accredited races
- Only 198 accredited foals born in 2018
Who is Randy Kerr?
Randy has been involved in racing for over 30 years by first going to Keeneland with friends while attending the University of Kentucky. He has a Bachelor’s of Animal Science, an MBA and over 25 years Management experience. He has been training since 2007 with purse earning in excess of $500,000 and began breeding/raising/racing Ohio thoroughbreds in 2012. He has a wife Kim (from West Chester, Ohio) and two boys Ethan and Lucas who love sports and horses. Learn more >>
Will members be able to communicate with the trainer and visit the horses?
The life of a trainer is hectic. The Club Leader, Karen Cole, will be the point person on any requests or questions and we’d appreciate if you communicate with them. Just please coordinate all barn visits through Karen Cole. Take advantage of this aspect of the partnership. The backstretch at a racetrack is awesome!
Who is the Club Leader?
The Club Leader, Karen Cole, is the person who leads the formation of the Buckeye Racing Club, communicates updates and arranges social gatherings. She will receive 5 shares of the horse and will be consulted in business decisions involving selling, retiring and renewal of the club at year’s end. Learn more >>
Are there any personal tax ramifications?
Not unless you opt out of the partnership and show a profit on your initial investment. For more detailed information, visit the “tax issues” section on the Thoroughbred Owner View website https://www.ownerview.com/getting-started/tax-issues.
How soon will it be before our two-year-old races?
It’s tough to be patient in this game. We all want action. We will not rush them into action. Young horses are often prone to minor setbacks – sickness, shins, etc. Patience is critical to success. All horses are individuals; they will tell us when they’re ready. Normally 6-7 months is average.
Note: If we can sell all shares by December 1st then I would anticipate the 1st race to be early June.
Will there be any Buckeye Racing Club social events?
Once our horse is purchased, we will organize a Buckeye Racing Club “meet and greet” event at a venue to be determined (most likely Belterra Park in Cincinnati, Ohio). You’ll be afforded the opportunity to mingle with the trainer and other members.
What happens if all 150 shares are not sold?
Trainer, Randy Kerr, will buy all shares that are left because he believes in Ticket Out and the Buckeye Racing Club.