Are Horse Businesses Profitable?

Posted by Laura Thompson Nov 5, 2008

People often ask me whether or not horse businesses ever turn a profit. This is a difficult question to answer because there are so many different types of horse careers, each of which is unique. However, of those businesses that work directly with horses (e.g. instruction, training, boarding, etc.), the answer is that they are rarely profitable.

A caveat: Don't assume that just because most horse businesses don't turn a profit, there isn't money to be made in the horse industry. This isn't true. I've enjoyed a surprisingly profitable career as a horse trainer and riding instructor, but this is because I run my business like a business rather than like a hobby.

• I establish and enforce late payment policies for clients.
• My rates increase both with the demand and with the economy.
• I exercise time-management and productivity skills.
• Phone calls and e-mails are immediately returned.
• I dress and conduct myself like a professional at all times.
• A good portion of my week is spent on marketing.

As you can see, my horse businesses are not treated like part-time hobbies, and my clients are not treated like friends who happen to drop in once in a while. Instead, I use all of the business knowledge I've amassed over the years and apply it to the equine industry.

Why is this important? Most people who own horse businesses are informal at best, and unprofessional at worst. Rather than using their business knowledge to their advantage, they instead take for granted that they get paid to do what they love. While this is undoubtedly a major benefit in life, it doesn't excuse less-than-professional behavior.

If you've decided to start a horse business, my advice is to pretend you are opening a retail shop or high-end restaurant. Bring to it the same level of professionalism and drive that you would any other business venture. Focus your attention on things like customer service, organization, marketing and productivity.

From there, everything will fall into place. And if you know someone who runs a horse business, please pass along this blog entry so they can benefit from it as well.