During the last six months I have had the opportunity to attend several equine events. These included the Equine Summit in November, the Irish Thoroughbred Breeders’ Association Expo in January, the Teagasc Young Breeders’ Seminar in Athlone in April, and most recently the Horse Racing Ireland roadshow.

“Can you make a living in the equine industry? was a question that I have frequently heard asked behind the scenes.

Passion

It was very insightful to hear the debate on various aspects of the equine world, some commonly shared views and areas for potential improvement. One common theme I have observed at each of the events was the passion and energy of the participants.

While the seminars focused mostly on the opportunities and the great success of the equine industry, there was also a sense of pragmatism emerging in light of Brexit. Few people underestimated the challenges that lie ahead with Brexit, and the growth of studbooks outside of Ireland both in respect of thoroughbreds and sport horses.

Personal earnings

An area which appeared to cause concern for many people was the ability to earn a reasonable income for the work related to the care and production of horses, and also the possibility of having a career path within the industry.

The concern around earnings potential can trigger unnecessary stress, impacting on the wellbeing of individuals and those close to them.

The worry about financial instability is not unique to the equine industry. A recent survey undertaken by the insurance company Royal London found that money is the greatest worry for those in the 18-34 age bracket, while 46% of Irish people still regard money as their biggest worry.

When it comes to financial planning, a good place to start is firstly to consider your financial objectives and to set goals for yourself. You can begin by asking yourself some of the following questions:

Human capital

We each have an element of control over what we can earn from work. At the Equine Summit a concept of human capital was brought up. This is a very simple but important concept, in that it can be stated as the current value of all your future earnings.

In effect your personal human capital is your largest asset and throughout your working life your human capital will convert into financial capital, which will go a long way towards meeting your financial goals.

However there is uniqueness with regard to the equine world as it is an industry which relies on the passion and desire of the people working within it, but it is important to balance that passion with the maximisation of the value of those individuals’ human capital.

Maximising human capital

At one recent event I attended, a leading Irish entrepreneur told me he came across many talented people who had not realised their full potential because they were in the wrong job.

Education and continuous willingness to learn, retrain and upskill can help you maximise your human capital. It may also be a pathway to keep you involved in the industry.

I’d emphasise not only the importance of formal college education but also vocational courses such as Kildalton, the Irish National Stud course, or coaching courses run by Horse Sport Ireland. I reckon there are probably over 40 courses available related to the equine industry.

Upskilling and continual professional development is both expected and required in many other industries and professions, and many employers facilitate further education and upskilling as part of their career development programmes.

Loyalty

The passion that employers and employees have for the equine industry lends itself to a higher degree of loyalty and commitment than that which may be found in other industries. One employer I spoke with highlighted the importance of this loyalty to the success of his business. He recognised loyalty as a two-way process and explained that as his business grew, roles which people held might also change. It was important to keep their skillset as part of the overall team, and to ensure that the new role was presented in a manner that retained their motivation and loyalty for the benefit value of the business as a whole.

In summary

While many people are concerned and worried about developing a meaningful career in the equine industry, the important thing is to plan ahead. The earlier you start the luckier you will get.

David O’Brien is a director at Davy Private Clients and an active participant in the equestrian sector. He works with business owners to provide best-in-class financial planning, investment management and asset selection. You can contact David directly on 01 614 9123 or email him at david.obrien@davy.ie.

Please note that this article is general in nature, and does not take account of your financial situation or investment objectives. It is not intended to constitute tax, financial or legal advice and is based on Davy’s understanding of current tax legislation in Ireland. Davy does not provide tax or legal advice. Prior to making any decision which may have tax, legal or other financial implications you should seek appropriate professional advice. There are risks associated with putting any financial plan or strategy in place. The value of investments may go down as well as up.

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