Small-scale horse breeding (1-2 mares)

Recreational and competitive riders, trainers looking for prospects, and owners who want a horse from a specific breed or bloodline.

Sale price per foal or young horse. Income is lumpy: usually one or two sales a year, so plan cash flow around feed, vet and stud fee costs in between.

• Horse handling and care
• Understanding breed conformation and bloodlines
• Marketing and honest selling
• Patience and budgeting for long cycles

• Zoning and home occupation rules for keeping horses and selling from your property, check with your city or county
• Breed registry rules for registering foals and stallion breeding contracts
• Vet bills, foaling complications and the chance a foal is hard to sell, so keep a cash reserve
• General liability and farm or equine insurance for visitors who come to see horses
• Written sales contracts and any state rules on selling livestock, check with your state department of agriculture

Startup costs are typically estimated at around $5,000 to $25,000, depending on the quality of your mares, stud fees, facilities and vet care. Treat this as an estimate and keep a cash reserve for unexpected costs.

Monthly revenue is typically estimated at around $400 to $2,000, averaged over time, and depends on foal quality, your breed or discipline and how well you sell. These are estimates, not guarantees, and sales can take a long time.

Check zoning and home occupation rules for keeping horses and selling from your property with your city or county. Also check breed registry rules, sales contracts, state livestock sales rules with your agriculture department, and liability or equine insurance for visitors.