Am I being a little overly sensitive here?

[ginger1307]

I had contacted Farm X in Kentucky regarding pay out of proceed contracts for the upcoming season. I heard back from this farm today..Yes,they have Stallion A and Stallion B on the farm on which they would do this type of contract..

I said great ,I can get contracts for pay out of proceed seasons and Im thinking that this would be a great deal..Well, I went to look at their respective pages in the stallion directory..Hmmmm..The price I was quoted is 1500 dollars HIGHER than the advertised fee...

Am I being a little overly sensitive here or are they just kidding me? Charging what amounts to 40% yearly interest to carry a stud fee perhaps 6 months longer than the lenght of a stand and nurses contract..Or are the people at this farm just ignorant as to what is going on in the Thoroughbred breeding industry right now? Like it is going down the tubes. (quickly might I add).. Just wondering here.... g

[LB]

I think you need to call the farm back and clarify what's going on because it seems that there's been a miscommunication. The Pay From Proceeds contracts that I've seen don't change the price of the stud fee, only the terms that apply to when payment is due. If it were me, I probably wouldn't pay a $1500 surcharge. I'd either take LFSN or I'd opt to breed my mares at another farm whose terms I liked better.

[Hold Your Peace]

I had contacted Farm X in Kentucky regarding pay out of proceed contracts for the upcoming season. I heard back from this farm today..Yes,they have Stallion A and Stallion B on the farm on which they would do this type of contract..

I said great ,I can get contracts for pay out of proceed seasons and Im thinking that this would be a great deal..Well, I went to look at their respective pages in the stallion directory..Hmmmm..The price I was quoted is 1500 dollars HIGHER than the advertised fee...

Am I being a little overly sensitive here or are they just kidding me? Charging what amounts to 40% yearly interest to carry a stud fee perhaps 6 months longer than the lenght of a stand and nurses contract..Or are the people at this farm just ignorant as to what is going on in the Thoroughbred breeding industry right now? Like it is going down the tubes. (quickly might I add).. Just wondering here.... g

Some farms this year are quoting seperate fees for live foal payable sept. 1 (or nov. 1 whatever the case may be) versus live foal stands and nurses. So you might want to double check and see if this farm is one of those and see if the advertised price was the payable sept or nov rather than the stand and nurse fee as obviously on a pay out of proceeds deal they're going to charge the stand and nurse fee.

[ginger1307]

I think you need to call the farm back and clarify what's going on because it seems that there's been a miscommunication. The Pay From Proceeds contracts that I've seen don't change the price of the stud fee, only the terms that apply to when payment is due. If it were me, I probably wouldn't pay a $1500 surcharge. I'd either take LFSN or I'd opt to breed my mares at another farm whose terms I liked better.

Thanks LB..I have already booked all of my mares but for one..I am sure she wont be going to Farm X that we have been talking about..
I double checked what was the advertised fee and when it was due...Was a stand and nurse listing..I plan to sell it as a weanling, so like 6 or 7 months longer than a standard stand and nurse contract so the farm feels I owe another 1500 dollars for that short period of time....Nah, not this kid..Too many farms that are calling me or sending me emails inviting me to submit mares..Just dont want to be too overly sensitive... g

[Coaltown]

I see any form of "pay out of proceeds" as an absolute gift from the stud farm. I write no check until after the foal is sold. I'm amazed that the farms even offer this bonanza, and I don't blame them in the slightest for charging interest on money they won't see for years. If you sign a contract in November and sell the weanling, that's 2 years the stallion farm is out of income. If you sell a yearling, that's almost 3 years. They're doing me a huge favor that they don't have to be doing at all.

Frankly, I'm astonished at how many fellow mare owners out there have an inflated sense of entitlement from the stud farms. I hear stories from friends who work at some of these farms and you'd be amazed at how many calls they get from people with mares that shouldn't be in production at all, and they're being asked for all sorts of concessions so these horrible mares can be kept in production and perpetuate the over production that got us into this market decline to begin with.

[Fireslam]

Youre obviously not a mare owner. Its the mares owners who have taken huge hits at the sales lately, not the stallion owners. They are getting their money. There are many many people backing off breeding next year, and the stallions who are booking mares right now are the ones willing to bend over backwards to help the mare owners who have supported them all these year. Except for maybe the top 10 or 15 stallions, who are probably booked, its going to be slow going for the stallion business.

Pay out of proceeds is no "gift". Its owning their responsibility of that foal in this horrible market. I don't see any stallion owners saying,"theres too many foals being born, so we wont breed any mares this year".

[ginger1307]

[quote="Coaltown"]I see any form of "pay out of proceeds" as an absolute gift from the stud farm. I
Frankly, I'm astonished at how many fellow mare owners out there have an inflated sense of entitlement from the stud farms. I hear stories from friends who work at some of these farms and you'd be amazed at how many calls they get from people with mares that shouldn't be in production at all, and they're being asked for all sorts of concessions so these horrible mares can be kept in production and perpetuate the over production that got us into this market decline to begin with.[/quote

This is really an easy problem for the stallion owners to deal with---Just say no...Two very powerful letters when they are put together---NO. This works both ways though...If my mare is good enough for them to expect me to pay an inflated stud fee for, then she should be good enough to be presented in a foal share arrangement or out of proceeds...Perhaps I am wrong here but I feel the stallion owners should shoulder some of the risk here in this extremely unstable market...Which farms do you think I will be going back to next year.?.Well let me tell you it will be the ones that has tried to help me get through a very trying time ...Just my humble opinion...... g

[madelyn]

........If my mare is good enough for them to expect me to pay an inflated stud fee for, then she should be good enough to be presented in a foal share arrangement or out of proceeds...

This is my sentiment EXACTLY!!! If she is not good enough for a deal, look elsewhere.