Types of Ownership

Sole Ownership

How many people are involved in the horse?[RB1] 

You are the only person involved in the ownership of the horse.

Will I need to become a Registered Owner?

Yes

How does it work?

The horse will run in your name only and in your colours. Any costs or prize-money will be yours alone.

Company

How many people are involved in the horse?

The horse will be in the sole ownership of the company and the company's shareholders. The company must appoint a registered agent to act on its behalf.

Will I need to become a Registered Owner?

Yes

How does it work?

The horse will run in the name of the company as it is registered with Companies House. The company will pay the bills rather than the individual, however, HMRC is sometimes inclined to tax that as a benefit for the directors. Make sure to read the Bloodstock Taxation Guide to find out more.

Companies can also be an entity within a Partnership or Syndicate.

Partnerships

A partnership is ideal for those who want to share the cost of ownership but still feel close involvement.

How many people are involved in the horse?

Partnerships normally have between two and four owners, but higher numbers can be registered. Each person then has their individual ownership percentage defined.

Will I need to become a Registered Owner?

Yes - all members of the Partnership are Registered Owners.

How does it work?

The costs and prize-money are split according to the defined percentage of ownership.

Syndicates

A syndicate is ideal for those who want to share the ownership of one or more horses, with a small number of dedicated people managing the entity.

How many people are involved in the horse?

A minimum of one person is required to be nominated as a Syndicator/Syndicate Manager. [JD2] The remaining owners, termed syndicate members, are normally limited to twenty in number.

Will I need to become a Registered Owner?

The Syndicator(s)/Syndicate Manager(s) need to become Registered Owners,[RB3]  but the syndicate members do not.

How does it work?

The syndicate is managed and administered by the Syndicator(s)/Syndicate Manager(s). They are liable for any sums due as owners and under the Rules of Racing. Syndicates are often run by trainers, but there are also now a large number of commercially-based syndicates, with a manager in place to deal with the administration in return for a management fee.

Syndicate members are considered part owners of the horse(s) and could therefore be considered liable in the event of a third-party liability insurance claim.  It is important to ensure that adequate liability insurance cover is in place, either through ROA membership or a bespoke policy taken out with a relevant insurer.

Racing Clubs

Racing clubs are for those who want to pay a subscription to experience racehorse ownership.

How many people are involved in the horse?

Unlimited

Will I need to become a Registered Owner?

No. Only individuals who want to set up or administer a Racing Club must become a Registered Owner.

How does it work?

A Racing Club is managed and administered by the Club Manager(s) and it is the Club itself, as opposed to its members, that own the horse(s). Members pay a fee to be part of the Club and to enjoy some of the benefits of racehorse ownership. 

Micro-shares

Micro shares make ownership accessible and affordable for everyone.

How many people are involved in the horse?

Unlimited

Will I need to become a Registered Owner?

No

How does it work?

A variation of syndication, where a large volume of people are invested into one horse. Share values tend to be set at a low level to maximise affordability.

Leasing

Leasing involves ownership of a racehorse for a set period of time, meaning you could experience the thrill and enjoyment of a horse running in your name and colours, and benefit from a deeper involvement without the initial outlay that is associated with purchasing a racehorse.

Costs that the horse incurs will become your responsibility for the lease period, and at the end of the lease agreement the ownership of the horse returns to the lessor/the legal owner.