1. How much does it cost to join Two Breeds Racing Club?
One year’s single unit membership to Two Breeds Racing Club (here forward known as the “CLUB”) has a initiation fee of $499.00, plus retail sales tax (if applicable) which is paid at the start of your membership period. There is a monthly fee of $49.99 plus retail sales tax (if applicable) is charged through Paypal to your credit card. Members can purchase as many membership units as they wish. Of course purchasing more membership units gives you high percentage of winnings and sale price. The initiation fee is a one-time fee, monthly fees continues for the life of your membership.
2. Are there any hidden costs on top of the $499.00 initiation membership and the $49.99 monthly membership fees?
No…there are no other compulsory costs involved in your membership. You certainly will not be billed to cover any of the costs for training or caring for the CLUB’S horses. Any extra curricular activities could involve costs but they are always optional for Members.
3. How long does membership last?
Membership in CLUB lasts forever with monthly costs charged as long you are a Member. Also while there may be increases to the Initiation and Monthly Fees Members fees are frozen to the date the member joined the CLUB. Members are allowed to cancel their membership at any time however there are no refunds, members would be paid any purse money owing at the time of cancellation.
4. What is the ownership structure of the CLUB?
Two Breeds Racing Club is a incorporated company owned by Mark Hetherman and Larry Simpson. The company (like a golf course which owns the land the golf course is built on) owns all of the horses that are included as part of the membership. The company will control the purchases of horses, all the expenses, racing of the horses (in consultation with trainers) and eventually sale. The goal of Management is to race as many horses as possible, therefore payments to owners Mark Hetherman and Larry Simpson will be set as percentages of the business. Together they will receive 10% of total amounts raised through membership and 25% of horse purse winnings and 25% of the sale price of a horse.
5. How are winnings and sale price revenues available for sharing to Members and Management calculated?
Winnings are calculated as follows: The total purse you see in the program is paid as follows. 50% to the winner – 25% to second place – 12% to third place – 8% for fourth place – 5% for fifth place, in Standardbred Racing. In Thoroughbred Racing it is paid as follows, 60% to the winner – 20% to 2nd place – 10% for third – 5% for fourth – 3% for fifth – 2% for sixth. The the Racing Organization then takes percentages for Trainers and Drivers. In Standardbred racing that is 5% for driver and trainer, in Thoroughbred Racing it is 10% for the Jockey and Trainer. Thus the shareable portion of winnings is the purse winning according to the chart less the payments to the Trainer and Driver/Jockey.
The shareable revenue from the sale of a horse varies dramatically depending on how the horse is sold. It can happen through claiming race, see section on racing terms to understand this process. It can be through private sale and it can be through auction at horse sales. There are different expenses to each of these and they will be deducted from any sale price to achieve the amount available for distribution to Management and Members.
6. How are members net winnings or sale net revenues distributed?
When revenue is earned each members contributions to the CLUB (Total of all Initiation and monthly fees) is calculated as a % of all membership fees on the date revenue is earned and that is held in a members name. For example our Standardbred horse wins a race with a purse or $10,000. We earn 50% of the purse for $5,000 and then net of 10% paid to Trainer and Driver leaving $4,500 for 50% ($2,250) to be delivered to our members. We have received $100,000 in membership fees. Member A has paid $2,000 to date, Member B has paid $1,500 and Member C has paid $1,000 over time, on and on for all members when the revenue is earned. Therefore Member A would earn 2%, Member B would earn 1.5% and Member C would earn 1% so on through all members and their investment to date.
7. When are the fees owed to members paid?
Members are paid on the last day of each month.
8. How are decisions made on when to purchase horses?
The purchase of horses will come from membership fees in the earliest days of the CLUB. As we progress horses will be purchased from membership fees and reinvestment of winnings and sale prices not paid out to Management and Members.
In a very general sense we will purchase a horse when we have enough money for the purchase of the horse and 1 year of expected expenses. Expected expenses can range dramatically depending on the type of horse we purchase. Horses bought for overnight racing (explained in our terms section) would have an estimate of $30,000 in Standardbred and $50,000 in Thoroughbred. Purses for each breed match the differential in expenses. For horses that may have stakes ability you could add anything from $5,000 to $20,000 depending on how successful our trainers think the horses could be.
9. How are decisions made on when to sell a horse?
This is much more difficult to decide as it based on so many more factors, but a few might be…A horse is not racing well enough to stay in conditioned or stake races (explained in our terms section) and may be put in a claiming race and the horse can be claimed and sold. We could receive an offer from another horse owner that we think provides a fair value for our horse. At a horse sale and sold through auction, this is another way to move on from a horse (good or bad) and see what value the owners/trainers in the business put on our horse and if we think it is enough we allow the horse to go. DREAMING that we have a horse that wins a number of Stake Races and Syndicate the horse into breeding and reap the benefits of a STAR horse.
In general we will take the advice of our trainers on what action to take with our horses and they are closest to our horses.
10. Can I buy a membership for someone else?
Yes, you can purchase a Two Breeds Racing Club membership as a gift for someone else. When you purchase the initial year of Club membership, ensure you make the name of the person the membership is for very clear, so all communication can be transferred to them. Please also include your own name, address and a contact telephone number in case we need to contact you about the membership. If you are purchasing the membership over the phone, simply provide our member of staff with all the same information as above.
11. Can I choose which day the membership starts on?
Yes. If you would like a year’s membership to begin on a particular day, such as Christmas Day or a birthday if the membership is a gift, simply state this on the application form or inform our member of staff if purchasing the membership over the phone.
12. If I purchase a membership for someone else, am I able to have the membership pack posted to my address or does it have to go to the new Member?
If you have purchased an Two Breeds Racing Club membership for someone as a gift, you may wish to give them the membership pack yourself. If so, the membership pack can be delivered to an alternative initial delivery address. Please note that you should then ensure that you choose a date for the membership to begin that falls after you have given the new Member their membership pack. If ordering the new membership by phone, simply inform our member of staff of the address you wish the membership pack to be delivered to and the date you wish the membership to begin. If you are ordering by post, state clearly with your application the address you wish the membership pack to go to as well as the date you would like the membership to start.
13. What’s in the membership pack?
The Two Breeds Racing Club membership pack provides you with a wealth of information, starting with your welcome letter, which contains your membership card as well as important membership details, such as your membership number, and a copy of you Membership contract.
Members Handbook – this book has been designed to help you to enjoy your membership to the full. It is packed with information about Two Breeds Racing Club and includes full details about all of the many benefits of being a Member. There are also sections such as the ‘beginner’s guide to going racing’, a general betting guide and a glossary of horse racing terms that many Members find useful.
Horses In Training – this weekly online update contains details of all of the Club’s horses in training and information from the trainers including their plans for each horse’s future.
Racecourse Discounts – Woodbine and Woodbine at Mohawk race tracks take part in our Racetrack Discounts scheme, where Two Breeds Racing Club Members can receive discounts. These discounts will be advertised as they are negotiated with the Racetracks or third party vendors.
14. How often will I receive an Two Racing Racing Club Updates?
The Two Breeds Racing Club digital updates will be published weekly and is posted out with the aim of reaching Members on a Saturday. We aim to publish 48 digital updates each year.
15. Is it possible to visit the Club’s horses?
Stable visits to the trainers’ centres where the Club’s horses are based are organised by the Club throughout the year and we aim to visit each facility at least quarterly as a group. Depending on the facilities at the particular yard, Members can usually see a parade of Club horses, or watch them working out. There may also be a stable tour, or sometimes a question and answer session with the trainer. These visits are usually free for Members to attend.
16. Can I bring guests to Club stable visits and hospitalities?
Yes, Members are welcome to bring guests to both stable visits and hospitalities. Please note that for some very popular events, or where there is limited availability, the number of guests each Member can bring may be restricted. There is also a small fee charged for guest places at stable visits and hospitalities.
17. Are Members involved with the naming of new horses?
We often hold competitions asking Members to suggest names for Club horses bought as yearlings. However, this is not always the case and not every new horse is subject to a competition for naming.
18. Does the Club provide any betting information for Club horses?
For Club runners, the very latest information from the trainer about the horse and its chances in the race are provided via the Club’s social media websites. We will also provide what we consider to be a ‘value for money’ price for the Club runner in that race, although it should be noted that we are not privy to information on other runners in our races.
19. What is the Five Star newsletter service?
The weekly newsletter is somewhat time sensitive due to the time it takes to write, print and post, so the Five Star newsletter service was set up to help keep Members as up-to-date as possible with Club runners. It also contains details of upcoming entries, Club news and the latest results. The newsletter is available to view free of charge on the Members’ website, but if you would like to subscribe to the posted version, there is a small fee to cover administration and the cost of first-class post. The Five Star newsletters are sent whenever the Club has a declared runner, or at least once per week.