Horse Racing Partnerships
Mr Jess Streakin
Q: How and when is a Company [partnership] formed by Willow Creek Ranch?
A: A Company is formed when the total number of units that are offered in the Company are acquired by the interested parties. For example, a 20 unit Company will be formed when all units are allocated, either to 20 individuals, or less, if any individuals have chosen to obtain multiple units.
Q: Do Members have any input as to decisions made on behalf of the Company?
A: At Willow Creek Ranch, input is desired & encouraged by management. We need to have a pulse on what partners are thinking, so decisions can be made in a positive spirit. Good communication between Members and the Managing Members is of the utmost importance for an enjoyable experience at Willow Creek Ranch.
Q: How many times a year can I expect my horse to race?
A: A healthy Quarter horse can run every 3-4 weeks, and as many as 15-20 times a year.
Q: Do partners have to make any other payments after the initial outlay?
A: The initial outlay pays for the partners percentage in the horse, as well as a few months of training expenses. Training expenses are always calculated on a quarterly basis. If there is no money in the account, there will be a full cash call for the following three months. However, if the horse earns more money in purse earnings in the previous three months, then there won’t be a cash call, and the overage will be mailed to the partners.
Q: How are Members notified of important events, such as upcoming races, workouts, results?
A: Members [Partners] with Willow Creek Ranch can go to the “PARTNERS PAGE” which will be password sensitive, and get all entry, workout, and result information. The “PARTNERS PAGE” will also advise the partners of news or announcements regarding Willow Creek Ranch in general, such as Stable BBQ’s, outings, and yearly LLC meetings. And last but not least, new offerings will be announced on the “PARTNERS PAGE” before becoming available to the public. Membership does not come without privilege!
Q: Do Members get tax advantages for being in a Company partnership?
A: Since the tax code changes so often, you are urged to discuss specific advantages with an accountant. As an LLC, the entity is not a corporation, and profit, if any, is not subject to the “double taxation” that would befall a member if this were a “C” class business corporation. The company [LLC] is a “pass through” entity, meaning that the company itself is not subject to taxation. In this regard, Members are taxed as if the Company were a Partnership.
Q: What are the benefits of being a licensed owner?
A: If you own 3% or more of a Quarter horse, you need to be licensed. The perks of a licensed owner include access to the paddock, backstretch and barns, admittance into the clubhouse on all racing days, and parking in the owner’s parking lot. Also, whenever a Willow Creek Ranch horse wins, ALL Willow Creek Ranch partners are invited into the Winners Circle to get their picture taken. The exception to that policy would be if an Willow Creek Ranch horse is in a Stakes race, only partners in that Partnership would go the Winners Circle.
Q: What forms of payment does Willow Creek Ranch Stable accept?
A: An interest in Willow Creek Ranch can be made by check
Genetics That Will Pay