Are you about starting a horse riding business? If YES, here is a complete sample horse riding business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a horse riding business. We also took it further by analyzing and drafting a sample horse riding business marketing plan template backed up by actionable guerrilla marketing ideas for horse riding businesses. So let’s proceed to the business planning section.
Starting a horse riding business might not be as intense as other forms of business but it is one that requires experience, patience and capital in order to be successful. Horses are being used for different purposes from racing, sports and recreation, and so there is always someone new who needs to learn how to ride every now and then, making this a business that will always be in demand.
If you love horses and are thinking of what business to start that will allow you be around what you are passionate about, then horse riding is the business for you. Even though you might not be an experienced rider, however having the managerial experience whilst hiring those that are experienced in riding can still work for you if you intend starting this business.
Like any other business, you would need the unbiased view of someone who is not only an expert in the field but who can look into your business concept and decide if it is a worthy venture you are going into.
No matter what location you intend starting your horse riding business, there will always be an expert or a business consultant that you can hire that would help decide if you are on the right path and also help draft the right strategies that would help you compete favorably against your competitors.
Another important aspect that cannot be overlooked when starting your business is to have a business plan. However, it might be intimidating writing a business plan and it is for this reason that a sample business plan has been written for you. Below is a sample horse riding business plan;
A Sample Horse Riding Business Plan Template
1. Industry Overview
In the united states of America, Texas according to statistics has the largest horse population with an estimated number of more than 1 million registered horses. California has 700,00 horses with Florida having 500,000 registered horses. There are currently more than 1.8 million horse owners in the United States of America, with at least one woman over the age of 45, married and fully employed likely to own at least one horse.
The Horse Protection Act (HPA) which was enacted into law in 1971 has had over 40 years of enforcement from the U.S Department of Agriculture (USDA) and is aimed at preventing all sores for horses.
These sores include cuts, the use of action devices, burns, chemicals, pads, trimming the hoof of a horse to expose sensitive tissue in such a way that it causes pain to the forelegs of the horse, thereby producing an accentuated show gait that can be exploited for competition or for sale.
The industry has afforded many would be entrepreneurs aiming to start a business many opportunities. For instance, between the periods of 2012 and 2013, there has been a 2.7% increase in the land purchased to start a horse business, 29.1% of business purchased major equipment for use.
There was however a 2.9% decline in the number of horses purchased during this period. According to American Horse Publications (AHP), the equine industry is poised for growth and this is due to the fact that those who own horses and others who have become involved in activities in this industry have not only stabilized but are growing steadily as well. This is especially true among young adult horse owners and event participants.
According to the survey, more people were expected to own or manage horses in the year 2016. Most of the survey participants planned to enter into more competitions than they did in 2015. Also, more horse owners were taking advices from their veterinarians as regards vaccination advices.
The industry which showed a great decline in the 2008 Great Recession is slowly beginning to recover as more people were owning or managing horses than they were between the periods of 2013 to 2015, which therefore shows an increase in the industry, thereby stabilizing the overall industry.
More than 36% of horse-owners are between the ages o 18 and 24, which is an increase from 22% of the previous years. Also, the more than 8% of baby boomers between the ages of 65 and above have been reported to owning or at least managing a horse.
This has affected the relationships these owners have with their horses as more than 65% view their horses as family members, 62% as companion animals, 57% as performance partners and 55% as best friends. 22% viewed their horses as an investment, 21% as a livestock animal and 7% as an employee.
According to IBISWorld, this industry has no companies with a dominant market share. The revenue brought in by the industry is estimated at $2 billion, through a combination of activities such as producing and raising horses and other equines, recreational horses, racehorses as well as show horses.
2. Executive Summary
Trails and Mo’ Riding Stable is a standard and leading horse riding business here in Houston – Texas. Asides from offering riding lessons to all our clients, we intend to offer them other services as well such as trainings, coaching for shows and competitions and consultancy services.
Our location here in Houston – Texas is very strategic especially as Texas is regarded as the hotbed for horses and is the rock of the horse industry here in the United States of America. Our location is not only strategic but also convenient to all our various clients as well as our employees as well.
Our business is run in the highest possible ethical business practices and we hold ourselves to a standard when dealing with our customers and even fellow suppliers and service providers in the horse industry. We know how important it is to have a great reputation in the industry.
Our primary vision is to ensure that we are known as a standard rising stable and become the preferred one for our target market, which we intend to attain by ensuring that we build a business structure that will allow our business run without hitches.
Our management staffs for instance have the required experience and competence that will allow us attain our desired goals and objectives and this is because they understand the industry we are in and know what to do to and are committed to ensuring that we attain our vision.
Asides from our management staff, our junior staffs are also competent and well attuned to our core values. We are paying all our employees well; this is so as to ensure that they remain motivated and committed to achieving our intended goals and objectives.
All our employees are well trained in excellent customer service culture. This is because of how much we value our customers here at Trails and Mo’ Riding Stable. Finally, Ben McCain has been in the horse business for more than 15 years with his father and therefore has the experience necessary to ensure that Trails and Mo’ Riding Stable achieves all its intended goals and objectives.
3. Our Products and Services
Our aim at Trails and Mo’ Riding Stable is to offer our services to our primary clients by teaching those that want to be taught how to ride horses for whatever purposes.
However, because we intend to boost our bottom line and grow our business, we will be engaging in different services that will create multiple sources of income for us. We however intend to make profit as is legally permissible by the laws of the United States of America. Some of the services that we intend offering include;
- Horse riding lessons
- Sales and lease of horses
- Renting facilities to event organizers
- Schooling shows
- Turning out horses
- Miscellaneous service fees
- Blanket washing and repair
- Consultancy services
4. Our Mission and Vision Statement
- Our vision is to ensure that we are known as a standard rising stable and become the preferred one for our target market.
- In order to achieve our vision, we intend to ensure that we build a business structure that aligns with all our corporate goals and objectives.
Our Business Structure
Having the right business structure is very important to us as a business because it would allow us start and run the business with as little hitches as possible. And so we intend to go the extra mile in ensuring that we source for the right staff that will handle all the available positions in our company.
Our management staffs for instance, are those that not only have the right experience and competence needed but are also attuned to our core principles and values and are committed to ensuring that we attain all our goals and objectives by making sure junior staff also understand our values and ensure that they can be implemented as well.
Due to the fact that we would be offering different services here at Trails and Mo’ Riding Stable, we would hire more employees than we usually would to help us man the various services that we would be offering. Below therefore is the business structure we intend to build at Trails and Mo’ Riding Stable;
- Chief Executive Officer
- Barn Manager
- Horse Riding Instructor
- Marketing Team
- Customer Service Executives
- Purchasing Manager
- Security Guard
5. Job Roles and Responsibilities
Chief Executive Officer
- Makes all the important decisions that affects the future of the riding stable
- Drafts the budget that will be used by the farm to conduct its activities
- Meets with high level clients on behalf of the riding stable
- In charge of all the horses and ensures that their welfare is paramount
- Conducts a thorough inspection of the horses and ensures that they are fit before going out for riding lessons
- Ensures that all sick horses receive appropriate medical attention
Horse Riding Instructor
- In charge of all the riding instructions to all clients
- Drafts different riding lessons depending on the experience of the clients
- Remains updated about terms and policies regarding the horse riding industry
- Carries out new market research on behalf of the company in order to attract new clients to the company
- Drafts effective marketing strategies on behalf of the riding stable
- Conducts direct marketing on behalf of the company
- Prepares all the financial documents and statements on behalf of the company
- In charge of dispensing petty cash for use in the office
- Ensures that the accounts of the farm reconciles with that of the bank at the end of every month
Customer Service Executives
- In charge of replying the customers and providing accurate information at all times
- Remains updated about industry trends and company policies in order to give customers the right information
- Possesses and keep an updated customer database on behalf of the farm
- In charge of purchasing supplies and stock on behalf of the farm
- Sources for reliable vendors and suppliers on behalf of the farm
- In charge of ensuring that the contract papers and documents are reviewed constantly in favor of the farm
- Patrols the premises and ensure that there aren’t any intruders or predators inside the farm
- Carries out light repairs on any defects along the perimeter of the farm
- Carries out any other duties as determined by the farm owner
- Brings in all the supplies needed by the farm
- Ensures that the correct supplies are loaded in the truck according to the documentation
- Carries out light maintenance on the truck when necessary
- Ensures that premises and office facilities are kept clean
- Cleans out the stalls where the horses are being kept
- Stock up on cleaning supplies and reports stock depletion to the appropriate department
6. SWOT Analysis
Because we intend to run a standard and solid business, we have invited reputable business consultants here in Houston – Texas to take a look at our business concept and help us know if the business we intend going into is worth it.
The business consultants took a look at our perceived strengths, weaknesses, opportunities and threats we were likely to face in the business in order to determine if we would make it in this industry. Below is a of the result that was gotten from the SWOT Analysis that was conducted on behalf of Trails and Mo’ Riding Stable;
Our strengths lies in the fact that we would be offering other services in addition to our core service, thereby allowing us gain more customers. Also, our staff are very competent and professional and know how to handle the business.
We are just a start-up that is severely limited due to our tight budget in terms of marketing and getting the number of employees we will need to run our business.
There are several opportunities that are available to us as a business such as not many people being aware of our business and therefore leading to a huge potential for us in marketing our services to them. Also, the various shows, fairs and events will allow us to be able to network with stakeholders’ thereby increasing awareness for our business.
There are a lot of threats that we will likely face in this industry and they are that the state of the economy might plunge, thereby making it more difficult for people to come for riding lessons. Also, an arrival of a major competitor can ensure that we are faced with the threat of having to being proactive in order to retain a huge share of our market.
7. MARKET ANALYSIS
- Market Trends
The horse industry is a peculiar one as most of those who run a business in this industry get most of their customers via word of mouth, social media as well as referral from other professionals. Other advertising medium like online ads and print ads are not considered too effective in gaining the right sort of customers for the business.
Social media for instance has build great client relationships, allowed for networking with other professionals, attract new customers and allow for an increase in sales. This has led to the United States Equestrian Federation (USEF) seeing a 3% rise in its membership and a 20% increase in the number of show entries.
This industry has had to deal with four major trends which are solopreneurs, diversity, mainstream media as well as customer needs and wants.
There are more people working for themselves than getting employees to do the work. Those who got help preferred to make it part-time as opposed to having someone or more than one person work full time for them. Also, most riders preferred to get horses that could be used for hunting, rather than just running and driving.
The diversity trend has varied activities merged into it such as racing, sports and performance based horses, instructor based, competition and pleasure, spectator sports, games and horse rescues amongst others.
This diversity allowed horses to become more mainstream thereby involving a lot of people, with more horses having something to do. Businesses have also been listening to what the customers wants and using this to be able to open up the market in order to explore new target markets and also gain new customers.
8. Our Target Market
Knowing the target market and what they expect from us is highly necessary if we intend to be able to draft the right strategies that would allow us gain a huge share of this market.
It is important to note that our location here in Houston – Texas is playing a huge role in how we gain our target market as we are strategically positioned. From our survey, we are in business to offer our services to the following group of people;
- Young adults
- Movie productions
- And other people that require our riding stable services
Our competitive advantage
At Trails and Mo’ Riding Stable, we intend to build a business that will not only make us become industry leaders but will also allow us to become the preferred riding stable for all our customers here in Houston – Texas as well as for visitors coming into our town.
In order to achieve this, we have set forth competitive advantages that will not only allow us compete favorably against our competitors but also have an edge over them as well. First off, we are going to have the best riding instructors here in the country and each will depend on the level of each of our student that come to our riding stable to be coached.
All our employees here are Trails and Mo’ Riding Stable are highly experienced and competent and not only understand the business well but are highly committed to our core principles and have what it takes to ensure that we attain the desired goals and objectives that we seek as a business.
Also, we intend to always provide all our customers excellent customer service and are already known throughout the country for how high we value our customers, which has given us leverage over our competitors.
Finally, we intend to take great care of our employees by ensuring that they have the best welfare packages across similar start-ups such as ours here in the United States of America. This we believe will motivate our employees towards attaining the best and help in delivering our goals and objectives.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Trails and Mo’ Riding Stable has been established with the sole intention of making revenue and maximizing profit in the horse business industry here in Houston – Texas as well as all over the United States of America. We however intend to boost our bottom line by engaging in several services to all our wide range of customers. The following ways are how we intend to generate income at Trails and Mo’ Riding Stable;
- Horse riding lessons
- Sales and lease of horses
- Renting facilities to event organizers
- Schooling shows
- Turning out horses
- Miscellaneous service fees
- Blanket washing and repair
- Consultancy services
10. Sales Forecast
According to statistics, there are over 9 million horses in the United States of America and also 1 in every 36 American have something to do with a horse which means there will always be a demand for horse services.
Texas is one location that has more horses than all the other states in the country and so we know that it would be easy for us to generate enough revenue in order to make enough profit in the first year of our business and also grow our business to a certain standard based on our core principles and foundations as a business.
In order to give an accurate report of what our sales projections would be like, we have carried out a critical examination of the horse riding business in the horse industry and have analyzed our chances so as to be able to come up with an accurate sales forecast.
The sales projection conducted by us was based on assumptions and facts gotten from similar startups such as ours here in Houston – Texas. Below therefore, is the sales projection based on several information and factors and conducted for Trailers and Mo’ Riding Stable;
- First Fiscal Year-: $250,000
- Second Fiscal Year-: $500,000
- Third Fiscal Year-: $900,000
N.B: The projection was carried out based on certain obtainable facts in the industry such as lack of a major competitor and a stable economy. Should there be any change in the above factors, it would lead to an increase or decrease in the above stated periods.
- Marketing Strategy and Sales Strategy
Marketing is a very important part of any business either a new start-up, growing business or an already established business. This is because with marketing you not only create awareness for your business, you also get to make money from the awareness that is created.
This is why it is important to not only draft well researched marketing strategy for one’s business, it is important to ensure that there is a separate budget for marketing as well, especially as marketing in the horse industry can be very capital intensive.
To this effect, we have decided to ensure that we engage in a thorough marketing research and survey that will allow us have detailed information and data on the market we are about entering. Also, the market survey will allow us penetrate the market and establish our stand as industry leaders in the minds of our clients.
This will allows us utilize the information into attracting the numbers of customers we need for our business and also enable us to favorably compete against our competitors here in Houston – Texas as well as round the whole United States of America as well.
To this end, we have decided to hire the services of a reputable marketing expert here in Houston – Texas who is not only knowledgeable about the business with the right knowledge about our environment but also have helped other similar businesses such as ours to succeed and become a force in the industry.
The marketing strategies that will be developed for us will be one that will see us winning a huge percentage of the available market here in Houston – Texas and round the United States of America as well. Also, we have empowered our marketing team to not only draft effective marketing strategies on behalf of the company, but also ensure that all strategies drafted are in line with our core principles and will deliver our corporate sales goals.
Therefore, the marketing strategies that would be deployed by Trails and Mo’ Riding Stable in order to generate revenue for our business are;
- Ensure that we create awareness for our riding stable by advertising at fed stores, show grounds and tack shops
- Place adverts in local newspapers and equine magazines, as well as on local radio and television stations
- We will also place adverts in horse show programs or any other publication in any major equine events
- Use online platforms such as craigslist, Facebook, Twitter and Instagram to gain the right exposure for our riding stable
- Ask our loyal as well as satisfied clients to refer us
- Engage in direct marketing and sales
11. Publicity and Advertising Strategy
Having the right publicity is vital to the health and growth of a company, especially one that intends to become a leading and standard company when compared to its competitors. Even though in some kinds of businesses, any kind of publicity still sells the business, it is not so for businesses such as ours.
This means we need to cultivate the right publicity by drafting strategies that not only increases our awareness with our customers but also ensure that the image of the company is publicly communicated at all times.
Due to this fact, we intend to hire a brand consultant that is not only reputable and knows the horse business industry but one who will ensure that our publicity goals are aligned with our core values as a company and therefore, knows the right strategies that will increase our awareness, penetrate the target market and also allow us to be able to compete favorably against our competitors. Therefore, the platforms we intend to adopt in promoting and advertising Trails and Mo’ Riding Stable are;
- Ensure that we install our billboards in strategic locations and along famous trails as well
- Attend and sponsor relevant community programs such as horde riding competitions and the rest like it.
- Use social media platforms such as equestrian websites and blogs, Facebook, Twitter and Instagram to actively promote our business
- Ensure that we distribute our fliers and handbills in strategic locations
- Place adverts in local newspapers and equestrian related magazines as well as on radio and television stations as well
- Position our flexi banners at conspicuous and strategic locations so that customers could be aware of our business and start to patronize our services
12. Our Pricing Strategy
Ensuring that we set the right pricing for our services is very important to us especially as we are located in an area where there are other horse riding businesses.
To this end, we intend to carry out a thorough research into what our competitors are offering, however, we do not intend to significantly lower our prices in order to cause a price war as w would ensure that we take other factors such as our overheads and running costs into consideration.
Due to the fact that we are relatively new and in order to get more clients to patronize our services, we intend to offer incentives in order to get the business up and running.
We will also give new customers client discounts and reward our loyal customers, especially those who refer us with referral credits. However, these incentives will only be offered for a three month period and even though our revenues might dip for this period, we will not run at a loss.
- Payment Options
Due to the various services that we would be offering at Trails and Mo’ Riding Stable, we intend to offer all our various customers payment options that would not only be convenient for them but will also suit their preferences and style. Therefore, the payment options that we intend to offer to all our various customers are;
- Payment by cash
- Payment by check
- Payment via credit card
- Payment via online portal payment
The above payment options were carefully chosen for us by our bank and will work for all our customers without hitches of any sorts.
13. Startup Expenditure (Budget)
When it comes to starting a horse riding business, it is expected that the bulk of the capital would be spent on certain aspects in order to ensure that the business not only runs smoothly but up to standard.
Some of the things one expects to spend capital on include paying of employee salaries and utility bills for a certain period of time and also purchasing certain equipment that would make the work easier. Therefore the key areas that we intend to spend the bulk of our capital on at Trails and Mo’ Riding Stable are;
- Fee for registering our riding stable business here in the United States of America – $750
- Licenses and permits, accounting software as well as other legal expenses to be incurred during the registration process – $1250
- Insurance coverage (General liability, property insurance, and workers’ compensation) – $4,000
- Marketing and publicity expenses (for grand opening party as well as general business operations) – $5,000
- Cost of hiring a business consultant – $2,000
- Cost of purchasing start-up equipment in bulk (such as saddles, tacks, feeds, medicines, whips and reins) – $10,000
- Cost of leasing and renovating a facility for the riding stable for at least a year – $30,000
- Operational cost for the first six months of running the business (employee salaries, payment of bills) – $100,000
- Other start-up expenses which includes furniture, stationeries, phone, and computer – $5,500
- Cost of purchasing an official small truck – $30,000
- Cost of launching a website – $500
- Cost of throwing a grand opening party – $3,000
- Other miscellaneous expenses – $8,000
From the above analytical break down, in order to run a standard and successful riding stable here in Houston – Texas, we would need an estimate of $200,000.
From the break down, it is apparent that half of the start-up capital will go into paying the salaries of our employees as well as certain utility bills for at least the first six months of operations. Other huge parts of the capital will go into leasing a facility, and purchasing a truck for business.
Generating Funding / Startup Capital for Trails and Mo’ Riding Stable Business
Trails and Mo’ Riding Stable is owned 100% by Ben McCain. Mr. McCain had always been in the in the horse industry business with his father but is seeking for a way to revamp part of the business which is the riding stable.
Due to this fact, Ben isn’t seeking for external partners who would have an equity stake in the business, which is why he would be limiting the sources of his capital. Therefore, the major areas where Ben intends to source for capital for his riding stable business includes;
- Generate part of the start-up capital from personal savings
- Source for soft loan from his father, Mr. John McCain
- Apply for loan from the bank
N.B: Ben McCain was able to generate the sum of $25,000 from his personal savings. His father loaned gave him a soft loan of $35,000 so as to help boost his business.
After approaching the bank for a loan of $140,000 repayable in 7 years at the rate of 2% per annum, his loan was finally approved and all the necessary documents signed. He has been told to expect the money into his account by the end of the week.
14. Sustainability and Expansion Strategy
Every business that intends to remain for a long while, making profit and also competing against its competitors has to adopt sustainability strategies and measures. A business can be sustained if several factors are being put into consideration.
These factors include having a solid business structure, engaging in the right publicity platforms, and cultivating customer loyalty for the overall growth of the business.
The right business structure is very important if a business does not intend to run into problems either during start-up or during the course of running the business. We therefore, intend to go the extra mile in ensuring that we have set up a business structure that runs smoothly and is attuned to our core values and principles as a company.
As a result of this, we would be hiring only professional and competent employees who not only understand the horse industry but who are aligned with our core values and are committed to ensuring that we achieve the intended vision.
We will also ensure that our employees have great welfare packages better than that of their colleagues in similar start-ups such as ours not only her in Houston – Texas but round the whole United States of America as well. Our employees will also undergo continuous training so as not only to enhance their skills but also improve productivity for our business as well.
The horse business is one that requires the right publicity in order to achieve the necessary awareness and thrive; this is why we have hired the services of a brand consultant with thorough knowledge about the industry and how to grow a brand to help us in drafting the right strategies that would grow our brand into becoming the industry leader we intend for it to become.
Our publicity strategies are also going to penetrate the market and allow us gin a huge share of the market. Finally, knowing the importance of customers to our business, we intend to ensure that all our customers receive excellent service that will not only make them satisfied but also eager to seek our services and also help refer others to us.
Our customer care executives have been trained on how to promptly attend to the needs of our customers and ensure that almost all our customers are satisfied with our services. This has led to us retaining a large percentage of our customers.
We believe that the above factors if diligently carried out will allow us remain in this business environment for a long time.
Check List / Milestone
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Conducting feasibility studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and around the community: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party / launching party planning: In Progress
- Establishing business relationship with vendors – wholesale suppliers / merchants: In Progress
- Purchase of trucks: Completed