Thoroughbreds: Kentucky, top producer

Kentucky‘s equine sector is the top producer of thoroughbreds, with 30% of total U.S. foaling.

According to the 2012 Kentucky Equine Survey, Kentucky is home to 242,400 horses and 35,000 equine farms.

More than 1 million acres in Kentucky are devoted to equine use, and the total value of its horses and horse-related assets (land, buildings, equipment, etc.) is estimated at $23.4 billion, according to Tropical Racing.

Also, the state’s equine farms spend more than $1 billion a year, 77% of which is concentrated in the Bluegrass.

While Kentucky may not have more horses than Texas, California or Florida, Kentucky horse sales and revenue from horse-related operations bring in more than $1 billion to the Commonwealth each year.

This is due to the large number of Thoroughbred horses born, bred and sold in Kentucky for racing.

Thoroughbreds

Tropical Racing considers its main competitors in the thoroughbred racing business to be, among others, Stonestreet Farms, WinStar Farms and Calumet Farm, each of which owns many stallion, broodmare and racing stocks.

The trend toward acceptance of partnerships versus individual or farm owners is positive, with Tropical Racing leading the way.

Owning horses is expensive and competition for prize money through prizes is strong.

Pooling resources has proven to be a viable method for individuals to compete in today’s market.

Tropical Racing is entering a saturated market; however, many of the available partnerships are redundant and often lack professional management or goals.

Redundancy is a common theme, as little is really offered to investors outside of a small percentage of ownership in individual horses.

Instead, the company offers its investors the opportunity to own the entire business, which includes the success of syndicated horses.

Horse racing also competes with all other forms of entertainment, such as professional soccer, baseball, field hockey, soccer, basketball, other games of chance and outdoor activities.