Financials
Investment Specifics for Four Leaf Clover Stable, LLC
We are a Limited Liability Company (LLC) to limit each Partner's liability to the amount invested. You will be actually investing in membership units of the whole company.
Initial Capital Investment
The initial capital contribution covers the Partner's interest in the acquisition expenses, entity costs and equine mortality insurance. The initial contribution does not cover expenses incurred in the racing horses. (see racing expenses).
On - Going Capital Requirements
Each investor is responsible for his or her ownership pro rata share of expenses typically on a quarterly basis. A typical capital call is usually $200-300 per 1% of investment. If the horses are earning purse money then quarterly capital expenses could be waived.
The Costs that Typically occur
Trainer $85 per day
Veterinarian $200 per month
Blacksmith $200 per month
Transportation to other tracks $400 a year
Mortality Insurance- annual premium bases on 4-5% of horses acquisition
Ongoing business cost $100-200 a month.
Capital calls will be made the quarter before. Again if purse money is accumulating then there will be no
need for additional Capital at certain quarters.
Race Expenses
Trainer's percentage
Jockey Fee
Pony to Post
Photos
State and Local Taxes
Nomination fee (if required)
(Percentages and takeouts of industry are standard race expenses)
Financials
Distributions
Distributions will be made to the partnership's members when money in the account significantly exceeds the upcoming quarter's projected maintenance expenses, typically if a large purse is won and after projecting the next quarter's expenses.