The Michael Costa Racing Central Billing System Is Designed To Reduce Owners Costs
Traditionally owners receive bills each month from various professionals including vets, farriers, dentists, spelling farms etc., for the ongoing care of their horse. From a Trainer’s perspective, managing these costs for an owner is time consuming, difficult and in the case of some expenses, impossible to justify in terms of each item on an account.
The Michael Costa Racing central billing system, brings together all of the horse’s ongoing costs to the one invoice for simple management. The central billing system provides guaranteed cash flow to us, which allows Michael Costa Racing to negotiate better trading terms with creditors through early payment of monthly accounts, allowing us to reduce the upkeep costs of each horse.
The central billing system will minimise Michael Costa Racing’s administration costs. It will also allow us to explore the introduction of more modern training procedures and equipment (treadmill machines etc). This in turn will allow us to reduce staff costs and provide savings which will all be passed onto our owners.
The way the central billing works is that:
* I have estimated the total cost of having a horse in my stable over a one year period,
* The total amount is divided into 12 equal monthly amounts, e.g. $4000 per month,
* each horse is set up with an owners trust account,
* each owner then contributes $200 +GST per 5% shareholding a month into their trust account via a Direct Debit arrangement with their nominated financial institution,
* At the end of every month the horse’s monthly account is deducted from each owner’s trust accounts according to the percentage of the horse owned.
As a horse’s costs do fluctuate when the horse moves through different stages of its career a surplus can accumulate in each owners trust account from time to time. Because of this, a copy of the monthly invoice will be emailed to each syndicate member for information, notwithstanding that the monthly payment amount remains static.
The trust accounts are reviewed every six months and any surplus will be distributed back to each owner. Owners can now have an exact idea of their ongoing costs and not get caught by an unexpectedly high bill. The central billing system also protects the horse and rest of the syndicate from a bad paying owner who, can interrupt a horse’s career.
There are a large numbers of horses which have had their career interrupted or ended due to a member(s) of a syndicate failing to pay ongoing costs.
As a result the horse cannot progress with its training and the remainder of the syndicate suffers.
To learn more about the benefits of our central billing system please get in contact at firstname.lastname@example.org
Don’t just take our word for it
Michael is a young up and coming trainer with an exceptional eye for a horse and the small things which, is extremely important. Michael and the Michael Costa Racing team's communications with their owners are second to none.Ray McDowell, President of Race Horse Owners Association
Our horse has gone from a non-winner to taking out his first race within three starts with Michael Costa Racing. This guy will be the next big thing in racing and I encourage everyone to jump on board now.Mathew Taylor, Horse owner
The Michael Costa Racing team have helped syndicate a range of our passed in horses from the sales giving our breeders another option for selling. Every horse we have sent to Michael returns to the stud for spelling in immaculate condition. Michael has a very high attention to detail and explains each horses idiosyncrasies to the finest detail.Colleen Buchanan, Sefton Park Stud Owner