Profile number 105421

Asset-Backed alternative niche insulated from the global economy

20/04/2023 Date added

Located in

Location anonymous

General information

Sector

Retail non-food

Type of company

Other

Legal entity

Private limited company

Type of transaction

To be determined

Life phase enterprise

Starting

Employees in FTE

< 5

Type of buyer

  • Strategic acquisition
  • Investor


Financial information

Turnover last financial year

€ 1.000.000 - € 2.500.000

Asking price

€ 100.000 - € 2.500.000

Earnings before taxes

Confidential


Company history/background

Overall, people are looking for attractive yield, downside protection, predictability, consistent demand to support exits, and guidance from industry veterans when investing in an asset class. This investment opportunity offers all of this and involves investing in a niche asset class of show-jumping horses.s a local presence as some of the best of them are gone within hours.

PRODUCT: Horses with recognized breeding histories, ranging between 4yrs of age to fully developed and trained 8-9yr-olds, ready for the competition circuit. With rigorous vetting protocols before purchase.

MARKET: The US English Riding Competition market is $17.8 billion annually, with as many as 1.23 million show horses in the country. The average net worth of USA Equestrian members is over $1.5 million.

  • The best show horses are acknowledged to originate in Northern Europe
  • Sourcing them takes a local presence as the best are sold within days/hours
  • It also takes a highly developed eye for talent, especially when repurposing horses across disciplines of the sport, this company’s particular niche

Company activities

Similar to Project Finance, wherein the projects involve:

  1. sourcing top-tier, undervalued show jumping horses in Europe,
  2. entering them into customized development strategies, and
  3. selling them into the US market, for a fee that’s tied to the success of the project.

Unique selling points
  1. BOOTS ON THE GROUND – Direct with suppliers in the region where the best show horses are acknowledged to originate;
  2. EXISTING BUYING POOL – Longstanding relationships with the demand side of the market (prominent US stables & buyers cultivated over 30yrs);
  3. DEEP MARKET EXPERTISE – Owned over 100 horses and brokered over 200, with first horse imported from the EU in 1997;
  4. EXCELLENT TRACK RECORD – Having selected horses that have gone on to Olympic-level events and winning the Maclay Finals;
  5. KEEN EYE FOR MARKET FIT – An intimate understanding of American disciplines of the sport, with the ability to spot when horses are undervalued and arguably misplaced;
  6. EXPERIENCE SPANNING ALL FACETS OF THE SPORT – CEO, has been a sportsman in top international jumping events, has managed stables and has 25yrs as a professional trainer, offering multifaceted insights.

Other

Capital amount needed:

  • €1.500.000,- (however, investments can be made in individual horses or bundles
  • €100.000,- (for an individual horse)

Investment need:

  • 81% horses;
  • 8% care & maintenance;
  • 7% transport & marketing;
  • 4% contingency.

Monthly turnover:

  • €150.000,-

Turnover (forecast) next 12 months:

  • €2.000.000,-

Turnover (forecast) months 13 – 24:

  • €10.000.000,-

Current monthly expenses:

  • €75.000,-

Asset-Backed alternative niche insulated from the global economy
Region
Location anonymous
Sector
Retail non-food
Type
For sale
Turnover
1.000.000 - 2.500.000
Overname
100.000 - 2.500.000