Syndicates-Join the Team
It’s that time of year again as the calendar turns to September and we look forward to the world-famous Keeneland yearling sale. After a one year sabbatical to focus more on claiming some horses we are looking to put together our traditional syndicates to purchase one or more yearlings. The sale starts on Monday, Sept. 9th and runs through Sunday, Sept. 22nd. We will look to potentially start bidding on Monday, Sept. 16th at the earliest.
As always a separate Team Forster numbered LLC will be formed to provide the ownership structure. The LLC will be registered in the state of Washington where there is no state income tax and you’ll receive a K-1 for tax purposes at the end of each year. We are going to to do the initial investment slightly different this year versus prior years. We are looking for an initial investment of $8,000 for each 10% share so that it will give us a good chance to cover everything up until the horse’s first race. In the past we asked for $4,000 initially and then billed monthly. This larger initial investment will give us the opportunity to pay every bill incurred by the horse in a prompt manner and hopefully the horse will start to earn some purse money during the period this covers. We realize that our syndicates have always been attractive partly due to their affordability and we’re not looking to price anyone out that has a passion for the sport. Please contact me about other options to potentially split up this initial investment into separate payments spread out if it makes more viable for you.
From this initial $80,000 raised we will purchase the yearling for a limit of $27,000. This gives us the option of going one more bid past $25,000. As per usual, my father, Dave, will be purchasing the yearlings for us as our agent. His career record is phenomenal. Over the past several years he has purchased Brushed by a Star for $10k and Moonlit Stroll for $15k for Team Forster. Brushed by a Star went on to be a multiple Grade 2 winner, earning over $450k on track before being sold for $400k. Moonlit Stroll, despite injuries that shortened her career, finished third, beaten two necks, in the $300k Humana Distaff (G1) at Churchill Downs on Derby Day in 2015.
Once the yearlings are purchased they will be sent directly to Lambholm South Farm in Reddick, Florida, right near Ocala, for their initial breaking and training. We have used Lambholm South for years and their results speak for themselves. Their trainer, Junior Serna, is an old school horseman who does a wonderful job. You can check out the farm at lambholmsouth.com. Depending on each horse’s individual progress they usually come to me and my team at Churchill Downs in May or June.
We have always bought fillies for these syndicates because they have a chance to be worth something with anything they accomplish on track. If there is a group of you who desire buying a colt we will do our best to accommodate that.
Also, if you are interested in purchasing a yearling as an individual or forming your own group we are happy to help in any way. We can help you with setting up the ownership structure, drafting agreements, etc. This is just the start of the conversation. We have had some wonderful experiences and met many great people through our Team Forster syndicates and look forward to many more exciting races and great times ahead. I think if you talk to anyone who’s been involved with our groups they’ll tell you that first, and foremost, we have a lot of fun.
Thanks for your time and I look forward to hearing from you.
Contact us for information on the latest syndicates forming for the 2020 season. There are new and exciting opportunities for ownership in the Sport of Kings! Please complete the Contact form below for more information.