Foundation Quarter Horse J O U R N A L
July - September 2011 - Published Quarterly
In this issue…
Affiliate Listing
Letter from the President “The greatest cowhorse to 2011 Approved Judges Listing ever look through a bridle” Class & Rule Updates
2011 AND 2012 Show & Event Calendars
Affiliate News & Event Recaps: Ever seen a Cowboy in a skirt? Read on!
Legal Advice: IRS Audit Help
Legal Advice: Importance of Business Plans
Breeder’s Spotlight: Jeffcoat Quarter Horses
Judge’s Corner: Reevea Nickerson
Classifieds
Foundation Quarter Horse Affiliate Listing
California Affiliate Kansas Affiliate Oklahoma Affiliate Del Rowell, President www.kfqhra.com www.okfqhr.com (559) 568-2813 Visit us on Facebook! Grady Dougless, President Nancy Owens, President (940) 368-1227 Colorado Affiliate (620) 598-2287 [email protected] www.coafqhr.com [email protected] Jane Hunter, Contact Person Southwest Missouri Affiliate (970) 232-5768 Michigan Affiliate Stacy Herriford, President [email protected] www.michigan-fqhr.com (816) 679-8363 Visit us on Facebook! [email protected] First Missouri State Affiliate Mark Blodger, President www.fmsfqhra.com (616) 897-7082 Texas Affiliate Debbie Rumsey, President [email protected] Matt Levis, President (660) 343-5653 (409) 502-0416 [email protected] Nebraska Affiliate www.neafqhr.com Indiana Affiliate Visit us on Facebook! Jeff Stover, Contact Person Tom Keenan, President (765) 654-8349 (402) 723-5965 [email protected]
The Foundation Quarter Horse Registry Advertising Rates PO Box 165 $90 full page Vicksburg, MI 49097-0165 $75 3/4 page Phone: (269) 649-1106 $50 1/2 page Fax: (269) 649-1560 $25 1/4 page Web: www.fqhr.net
Email: [email protected]
We love to hear from our members! If you Published Bi-Monthly have something you’d like added, a question as an online publication only answered, or a memory or story you’d like
to share, let us know! Email The Journal @ January - March [email protected] April - June
July - September
October - December Deadlines for submission:
The Journal is the Official Publication of the May 15th for June Edition Foundation Quarter Horse Registry August 15th for September Edition November 15th for December Edition
2 A Letter from the President...
Greetings to all!
It definitely has been a busy summer for Bill and myself. We have been to Missouri three times. We first visited the First Missouri State affiliate. Then we did follow-up with the South West Missouri State folks. We attended Bud Sherman’s Foundation Production sale. We ended up in Nebraska in August. I judged one of their shows on a ―spur of the mo- ment‖ deal. September was busy with the World Round-Up & Review and then our last show here in Michigan. We are meeting with Wisconsin in October to discuss them be- coming an affiliate. We are also making plans to go to Kansas in November.
Here in the office we nearly have all the points combined . Still a couple of weeks away from the final product yet. Some of you should see additional Certificates coming your way shortly. This has been a monumental undertaking. Everything has to be checked and then checked again. It will be worth it in the end!
Time has flown by so far this year. Bill and I have so enjoyed visiting with you folks this year either personally or via the phone. Please take care of yourselves and each other.
Happy trails to all and may you enjoy your ride on ―the Greatest Cow Horse to Look Thru a Bridle‖.
Respectfully, Bill & Vicki Austin Foundation Quarter Horse Registry
FQHR Advisory Board
Bill & Vicki Austin Sam Goddard Sam Nicolosi 5521 East W 2955 AVE D 3800 N E 50th St Vicksburg, MI 49097 Brookville KS 67425 Oklahoma City, OK 73121 (269) 649-1106 (785) 225-6842 (405) 820-8410
Bud Sherman Richard Heinrichs Judges Commissioner 5696 S 95th Rd 1339 Rd 6900 Robert J. Walton Walnut Grove, MO 65770 Hebron, NB 68370 5861 E Rosebush Rd (417) 770-7701 (402) 768-7135 Rosebush, MI 48878 (989) 433-2925
3 FQHR Approved Judges
Approved judges for the 2011 Show Season, listed in alphabetical order
Judges Committee
Robert J. Walton Paige Burian 5861 E Rosebush RD 911 122 AVE SW Rosebush, MI 48878 Manning, ND 58642
Deb Adams Jerry Gould Eddie Smith 501 Road G 30602 Imperial St. 28 Westfield Rd Henderson, NE 68371 Shafter, CA 93263 Fletcher, NC 28732 (402) 410-1112 (661) 746-1335 (828) 687-1786
John Aipperspach Laurie Jumper Brandon Smith 1627 S Plaza 20905 N. Walbaum Rd RT 1 BOX 20 Springfield, MO 65804 Geary, OK 73040 Colony, OK 73021 (417) 886-1069 (405) 884-2139 Home: (405) 929-7320 [email protected] Cell: (405) 542-7228 Vicki Austin 5521 East W Louie C Lawson Jeff Stover Vicksburg, MI 49097 4172 Enoch Rd 3811 S CO RD 150 W (269) 649-1545 Aynor, SC 29511 Frankfort, IN 46041 (843) 602-1460 (765) 654-8349 Karen (Hill) Coyle PO Box 626 Amye K. Lilienthal Tinker Turner Wheatland, OK 73097 1034 Hwy 58 1697 French Prairie Rd Home: (405) 590-4264 Dannebrog, NE 68831 Boonville, AR 72927l Work: (405) 745-3036 (308) 380-2244 (479) 518-6522
Carlina L Dekat Gary Nickerson Dr. Gary Webb 1711 Weeping Willow Lane 20390 30th Ave 4519 W Farm Rd 33 Dover, PA 17315 Stockton, Iowa 52769 Ash Grove, MO 65604 (717) 318-5530 Cell (563) 370-5238 (417) 836-5098 Home (563) 284-5031 Rick Dubay Wayne W. Whitehead 5093 State Rd Reevea (Wehrman) Nickerson 1227 Keefer Rd Fort Gratiot, MI 48059 27897 Lamms Ln Mansfield, OH 44903 (810) 824-6513 Sedalia, MO 65301 (419) 524-6535 (563) 260-5669 Rebecca Frerking 1952 15th Rd Gary Schwartz Washington, KS 66968 39998 W CR 100 cell: (785) 632-0721 Briggsdale, CO 80611 (785) 325-2113 (970) 656-3548
Sam Goddard Ernest Sheltry 2955 Avenue D 597 S. Hwy 81 Brookville, KS 67425 Ninnekah, OK 73067 (785) 225-6842 (405) 274-5464
4 Class & Rule Updates
Exciting news!! The new rule book is out! We are sending them out as members re- new. However, if you are a lifetime member, please contact us if you would like to receive one. (see page 2 for contact information) The rule book committee worked very hard to clean up some gray areas and add several new classes to the lineup. Please note that there was a glitch with printing and the table of contents doesn’t quite match the exact page numbers.
New Classes: Herd Work, Limited Working Cow, Limited Working Ranch
Gray Areas cleared up: Open Versatility (exhibitors for more than 1 horse in same class), Get of Sire (required # of entries), and Ranch Cutting (several areas and defini- tions explained).
On another note, exhibitors need to be clear about when it is appropriate to contact a judge and when it is not. It is permissible to ask a judge (thru the ring steward first) how you can improve your ride, yourself or horse. However, it is not appropriate to call/text a judge prior to that judge coming to your show to judge, or to tell them how a class should be judged/placed. The judges committee will be putting together some guidelines for all of us to follow in the near future.
Tom & Jacque Keenan of Henderson, NE would like to congratulate Bill and Vicki Austin on their purchase of FQHR and are excited about the future of FQHR under their leadership !
Check out our website at htpp://www.laramieblues.com
Home of WYO BLUE CHIPS & MERADA O Laney ---offspring for sale---
5 Calendar of 2011 Affiliate Events & Shows
Please refer to the Affiliate Listing on page 2 for contact information for each event
Texas Show @ Nueces Canyon Ranch April 9 Brenhan, TX Michigan Green As Grass Clinic @ Triple O April 16 Ionia, MI Kansas Show @ Celebration Centre April 16 & 17 Lyons, KS SouthWest Missouri Show @ Midway Expo Center April 23 Columbia, MO First Missouri State Show @ Windmill Arena April 30 Centerview, MO Oklahoma Show @ Heart of Oklahoma Expo April 30-May 1 Shawnee, OK
Michigan Show @ Isabella County Fairgrounds May 21 & 22 Mt. Pleasant, MI Kansas Show @ Celebration Centre May 21 & 22 Lyons, KS
First Missouri State Show @ Midway Arena June 11 Columbia, MO Oklahoma Show @ Heart of Oklahoma Expo June 11 & 12 Shawnee, OK Michigan Show @ Isabella County Fairgrounds June 18 & 19 Mt. Pleasant, MI SouthWest Missouri Show @ Lazy H Arena June 25 Kansas City, MO
Michigan Show @ Isabella County Fairgrounds July 16 & 17 Mt. Pleasant, MI Kansas Show @ Celebration Centre CANCELLED July 30—31 Lyons, KS
Michigan Show @ Isabella County Fairgrounds August 20 & 21 Mt. Pleasant, MI SouthWest Missouri Show @ Midway Expo Center August 27 Columbia, MO
Oklahoma Show @ Heart of Oklahoma Expo September 3 & 4 Shawnee, OK 2011 World Round-Up & Review @ Lancaster Center September 9-11 Lincoln, NB Michigan Show @ Isabella County Fairgrounds September 17 & 18 Mt. Pleasant, MI Kansas Show @ Kingman County Activity Center September 17 - 18 Kingman, KS
Oklahoma Show @ Heart of Oklahoma Expo October 14 - 16 Shawnee, OK Kansas Show @ Kingman County Activity Center October 22 - 23 Kingman, KS
Kansas Show (JULY RESCHEDULE) @ Celebration November 19—20 Lyons, KS
Michigan Affiliate Awards Banquet 12:00-4:00 December 3 Lansing, MI
6 Calendar of 2012 Affiliate Events & Shows
Please refer to the Affiliate Listing on page 2 for contact information for each event
Kansas Affiliate Awards Banquet January 28 TBA
Oklahoma Affiliate Awards Banquet 6:00pm February 25 Shawnee Expo
Oklahoma Show @ Heart of Oklahoma Expo April 21-22 Shawnee, OK
Michigan Show @ Isabella County Fairgrounds May 19 & 20 Mt. Pleasant, MI
Oklahoma Show @ Heart of Oklahoma Expo June 9-10 Shawnee, OK Michigan Show @ Isabella County Fairgrounds June 16 & 17 Mt. Pleasant, MI
Michigan Show @ Isabella County Fairgrounds July 14 & 15 Mt. Pleasant, MI
Michigan Show @ Isabella County Fairgrounds August 18 & 19 Mt. Pleasant, MI
Oklahoma Show @ Heart of Oklahoma Expo September 1-2 Shawnee, OK 2012 World Round-Up & Review @ Lancaster Center September 7-9 Lincoln, NB Michigan Show @ Isabella County Fairgrounds September 22 & 23 Mt. Pleasant, MI
Oklahoma Show @ Heart of Oklahoma Expo October 19-21 Shawnee, OK
7 HERD DISPERSAL SALE SATURDAY, NOVEMBER 19, 2011 CLOVIS, NEW MEXICO
Ruth Fritzlen has been raising registered quarter horses since 1965. Ruth Fritzlen bought a gray mare in the year 1965, Pretty Roan who was registered #114086 in the American Quarter Horse Association. Ruth and John had Pretty Roan bred to Dusty’s Blue Haven #944308 a stud horse standing at Miami, Texas. Out of this union was born Harmon Baker McCue # 1858445, a good looking colt who was eyed upon by Ruth and her husband John, as a colt to keep to use on their mares. He was foaled June 13, 1981 and when he was of age and producing colts, all of his babies were gray colts. His nick name was ―Chance‖.
The pedigree of Dusty’s Blue Haven #944308, on the top side, goes to Grey Star Haven #229562 to Oklahoma Star, Dixie Beach, Shiloah, Yellow Wolf, Blue Rock, Tubal Blake, Peter McCue, Dan Tucker and Waggoner Mare.
The pedigree on Dusty’s Blue Haven #944308, on the bottom side, extends from Dusty’s Blue Roan #378602 to Tommy Clegg, Sam Watkins, Shiloah, Hollywood Gold, Tubal Blake and Sadie Hancock.
The sire’s pedigree of Pretty Roan #114086 (Chance’s mother) extends from Steppes Man #107624 to Old Man #2012, Old Sorrel # 209, Cardinals Daughter, Hickory Bill and Peter McCue.
Dam’s pedigree of Pretty Roan #114086 extends from Pretty’s Mother # 2691, Midnight, Badger, and Brook- shire Mare.
Ruth and John Fritzlen have been a lifetime member in the Foundation Quarter Horse Registry since the year 2000. Most of their horses in the Clovis, New Mexico horse sale November 19, 2011 are offspring of Harmon Baker McCue #1858445 who is registered 93.75% old foundation pedigree with The Foundation Quarter Horse Registry.
Their remuda was started by saving back fillies from the cross of Chance on Tee J Miss McCue #1593518 AQHA registered and Tee J Misty Light #1593533 AQHA registered. So most of the horses in this sale are ei- ther offspring of (Chance) Harmon Baker McCue AQHA #1858445, a mare, Tee J Miss McCue AQHA #1593518 who is registered 93.75% old foundation pedigree with the FQHR, or a mare Tee J Misty Light AQHA #1593533 who is registered 96.875% old foundation pedigree with the FQHR.
They purchased a gray stud weanling colt, Hancock N Class AQHA registered #3787152, on the Brown Ranch at Throckmorton, Texas in 1999. When he was of age they bred him to their old foundation bred mares that they saved back to put in their remuda so a lot of their younger horses in their dispersal sale at Clovis, New Mexico are out of this stallion, Hancock N Class #3787152. His pedigree goes back to the Blue Rock and Eddie and he is also registered in the Foundation Quarter Horse Registry.
You can look at all the Clovis, NM sale catalog on their internet website which is www.clovislivestock.com and/or you can also get a catalog.
Clovis Livestock, Inc P.O. Box 187 Clovis, NM 88102-0187 Phone:575-462-4422 Fax: 575-762-4421
8 9 A note from KFQHRA President, Nancy Owens, on show office rules:
BE MINDFUL OF THE SHOW RULES; THERE WILL BE NO EXCEPTIONS!
All show paperwork— *Copies of membership cards (KFQHRA & FQHR) *Entry forms *Registration certificates *Coggins tests *Entry fees —MUST be included with your pre-entries postmarked on or before the pre-entry date. If you have already provided copies of membership cards, registration certificates & coggins tests at a prior 2011 show, you do not need to provide those again for the rest of the 2011 show year, unless any of them expire during the show year. If that happens, you will need to provide the cur- rent information again. It will be the responsibility of each contestant to keep their information current with the show office. Any paperwork or fees that are not submitted by the pre-entry deadline will be charged post-entry prices. No exceptions.
Please remember that if you are entering Class #1, you need to have your entry completed 1 hour before the show start time. No exceptions.
If you decide to enter a class at any time after the show has started, your entry paperwork must be completed 2 classes before the class you want to enter begins. No exceptions.
The show office will close 30 minutes after the last class on Sunday for approximately one hour (for all 3 of the remaining shows) to allow the show office time to make placing and point tabulations and to determine High Point awards. Make sure to settle your account before the office closes. It is the exhibitor’s responsibility to make sure all balances are paid in full and all paperwork is complete. If you are paying for other exhibitors, make sure to let the show office know. If an exhibitor leaves an unpaid balance, when the show office is locked for tabulations, the exhibitor will forfeit all placings, all points and all awards. No exceptions.
The show office will have laminated exhibitor numbers available for the shows. They will have the KFQHRA logo and your horse’s name on them; that will be your permanent number for this year’s show season. They will be $5.00 for two (one on each side of the horse). Holes will be punched for safety pins. Mail your $5.00 to Waynetta Hall with your horse’s name and age to:
Waynetta Hall 1775 S. George Washington Blvd Wichita KS 67218
You can also contact Waynetta Hall via email or phone and she will have them ready for you to pick up at the show. You may also purchase them at the show. The show office will try to have them ready prior to your classes; if not, they will give you a temporary exhibitor card to use. Remember to visit KFQHRA.com and Facebook for news and information.
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UPCOMING EVENTS!
September 17th & 18th , 2011 KFQHRA Show Kingman County Activities Center Kingman, KS
October 22nd & 23rd, 2011 KFQHRA Show Kingman County Activities Center Kingman, KS
November 19th & 20th , 2011 KFQHRA Show Celebration Centre Lyons, KS
January 28th , 2012 KFQHRA Annual Meeting/Banquet Celebration Centre Lyons, KS
(Show Bills & Entry F orms can be found on the website @ www.kfqhra.com. Please complete all forms in their entirety, include all fees, and notice the pre-entry deadlines)
Submitted by: Nancy Owens, KFQHRA President
11 Well, after the August show it can never be said that our ―old cowboys‖ aren’t in touch with their feminine side. Looking around and watching the preparation that day, I wasn’t’ sure who was having more fun, the women dressing the men or the men getting to show us a side or two we’ve never seen before. (And with some we hope we’ll never have to see again) This club never ceases to amaze me. The coordination and unity of effort for the Kickin Cancer One Buck At a Time cause was phenomenal. We gave a check to Lon Morey for $5700 but with additional fund raising after we cut the check we’re going to contribute nearly $6500. Not bad, not bad at all, especially for our inaugural year. That’s right, ―inaugural‖ implies the first of more to come. Several of the key "actors" have already been planning how to spruce up their outfits for next year. Thanks to all the good sports who went over the top and to all who helped them get dressed. And of course to all the fans in the crowd, all the donors and all the volunteers who kept it organized and ener- gized throughout the season. Amazing cowboys, amazing club.
We did well for the Cancer Center but a by-product of our effort was sharing our horses and our club with folks who weren’t aware of what we do. Of course many came to see the Side Show, but most came early and hung around after. Many of these folks had never been to a Round Up and they were impressed. We have a vibrant club, talented riders, amazing horses, and a format and approach to our shows that is very appealing. We’re doing it right and our circuit remains strong while others wane. Our breed of horses has a lot to do with it. They make showing and trying new classes safer and a little easier. But the people who want to breed them, train them, own them and show them make it all possible. You all should feel very good about that. I sure do.
It’s your horse, your registry, your affiliate, your show—you make them all be the best they can be. We’re taking to heart your feedback, suggestions and input and of course love it when you volunteer. Next season will be even better for it.
Mark Blodger
President, FQHR-MI
(as seen as ―Marcia‖ in blonde and pink to the right ) >
12 Kickin’ Cancer One Buck At A Time!
13 First, I want to thank everyone level of camaraderie, helping in advance of the show. Al- who took such good care of me at those we compete against to do ready on the Agenda are: he September show! I am ex- better, even though it could be to budget for awards, Stallion tremely blessed to have such our disadvantage. I love this Auction donation contract, wonderful people around me—it about our club!! general budget, and ByLaw has really proven tougher than I update. Of course, anyone thought to be a one-legged man I also want to thank those who wishing to address the Board in a butt kicking contest! I had volunteered to do another term on any subject should let me always thought that was a joke! and those who stepped up to be know as soon as possible so I All kidding aside, I can’t thank new officers, Board members, can agendize it. you all enough for picking up and Committee Members: your game to cover for my I’m really looking forward to inabilities. I especially want to Board members: the last show of our 2011 sea- thank Jack Leitner, who took on Jack Leitner son! Many buckles and other about twice his normal load to Jeff McCommas awards are on the line. I’m cover for what I couldn’t do—I’ll Jess Parker sure everybody will come try to be ready for the next show. Secretary: ready to showcase our horses Robbie McCommas and maybe I’ll even get After I returned home, I had a CT Vice—President: to ride for a week! Enjoy the of my ankle and the cast is back Brandon Smith cooler weather and spend on until October 7th—at least I Cattle Coordinator: some time with your equine was able to show my horses in a Rick Huffstutlar partners! couple easy classes. And no, fal- Youth Advisor: ling off in the practice pen had Karen Coyle nothing to do with it—it just Stallion Stakes Chair: wasn’t healed yet. Dennis Jenkins
We had a great September A complete list of all positions is show! As verification, during the in the newsletter. However, there drive to the airport, Bob Walton, were not too many people at the the judge, told me what a won- Annual Membership Meeting, derful group of people and horses and we still have some positions we have. He even sent a note open for volunteers—if you can after getting home to let me know help, please contact me. The that he would rather come show more volunteers we have, the with us than judge—a real com- less any one person has to do. pliment. The events seemed to go very well and we finished at very The October Board meeting will Thanks for reading— reasonable times. Although the be after the Super Stakes classes now get out and ride! show was smaller than many of on October 14th. I’m requesting our others have been, the compe- that all 2011 and 2012 officers Grady Dougless, tition was no less intense—but and Board members please at- OkFQHR President everybody maintained their usual 14tend. The Agenda will be posted [email protected]
www.okfqhr.com/docs/showbill.pdf www.okfqhr.com/Docs/Brochure.pdf
15 Legal Advice & Tips for the Equine Industry
“Jurisdiction of IRS Appeals”
Article Courtesy of John Alan Cohan
Many taxpayers fear being audited, for good rea- Section 6662 of the IRS Code imposes various sons. An extended period of deductions for penalties that almost always are assessed by the horse activities, livestock ranching, or other farm- IRS auditor if the audit goes against you. These ing ventures can easily trigger an audit. Even penalties include an accuracy-related penalty, a with the best of records, IRS auditors are inclined separate penalty for negligence, and other pen- to deny these deductions if there are ongoing alties. These can also be contested in IRS Ap- losses. Although these industries are crucial to peals. The negligence penalty is based on the the American economy, the IRS takes a skeptical notion that your tax deductions were attribut- view towards taxpayers who have a history of able to negligence or disregard for rules or losses in these areas. regulations. As mentioned, these penalties are also at issue in IRS Appeals, so that you can There are remedies available after an adverse au- provide evidence to show that you reasonably dit decision. Most often, the remedy is to file an relied on advice given you by your accountant appeal with IRS Appeals. Information about this or attorney. is set forth in IRS Publication 5, ―Appeal Rights and Preparation of Protests for Unagreed Cases.‖ Filing an IRS Appeal keeps open the option of Once the case is with IRS Appeals, your returns going to Tax Court if your case is not settled in are re-evaluated by a different staff, and you will Appeals. have the opportunity to present new evidence, oral clarification, witnesses, and negotiate a set- Filing an IRS Appeal is time sensitive. It must tlement with the appeals officer. If you have a be done within 30 days of the date of the 30-day good case and a formal business plan that makes letter that informs you of the adverse audit de- economic sense, you even stand a chance of get- cision. ting the entire matter dismissed in your favor. About 86% of the cases in IRS Appeals end up Often the Appeals officer will ask for additional being settled. information. The Appeals officer will evaluate how credible you and other witnesses are, how According to the IRS Appeals mission statement, likely you will be able to prove the legal points their mission is: ―to resolve tax controversies, of your case, and how good your documentary without litigation, on a basis which is fair and im- evidence is. If, for example, you have a formal partial to both the Government and the taxpayer business plan that makes sense and sets forth in a manner that will enhance voluntary compli- how you expect to make a profit, this will be ance and public confidence in the integrity and important evidence in your favor. If you have efficiency of the Service.‖ evidence of significant sales or evidence of ef- forts to reduce costs, this also will be helpful to your case.
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Tax planning in advance is always the best approach in operating an activity in the horse, livestock or farming industries, but there is still always the risk of an audit especially if tax deductions are used to offset other sources of income. One of the worst things you can do is to try and get advice from one of the IRS ―hot lines‖ in which you can pose questions to IRS agents. The problem is, first, the information given over the phone is not binding on the IRS. Second, you will likely get different answers to the same question, depending on whom you speak with. Third, IRS agents may not be able to answer complex questions, and how you frame a question will be a factor in what answer you get. And fourth, you will have no documentary evidence to prove what the IRS agent told you
~John Alan Cohan
John Alan Cohan is a lawyer who has served the horse, livestock and farming industries since l98l. He has clients in all 50 states. He can be reached at: (3l0) 278-0203, by e-mail at [email protected], or you can see more at his website: www.JohnAlanCohan.com
17 Legal Advice & Tips for the Equine Industry
“The IRS Emphasizes Importance of Business Plans”
Article Courtesy of John Alan Cohan
In recent years the IRS has ruled that a written What is a business plan? The business plan nar- business plan is important evidence tending to rates what your business is all about, what kind prove that you are operating in a businesslike of opportunity you see, and how you intend to manner. The Tax Court has said that in hobby make money. It is a guide for carrying forward loss cases you should have ―some type of plan‖ your idea into a successful business operation. for the venture. This applies whether you are in- A business plan sets forth the overall market volved in timber farming, horse racing or breed- that you are targeting, and how your product ing, ranching, other farming activities, classic car or services compare with those of others. The refurbishing, multi-level marketing, antique col- length and breadth of the plan will depend on lecting, boat or aircraft chartering, and other how much time you want to put into develop- areas traditionally under IRS scrutiny. ing it.
The IRS takes the view that a written business The language of a business plan is usually sim- plan demonstrates your businesslike concern for ple and nontechnical. For many individuals, the success of the venture. People engaged in a writing the plan is easy because of their prior hobby do not have business plans. One of the experience in the field. For many, it is fun and most important things that distinguishes a busi- creative. ness from a hobby is the existence of a written business plan. The main focus of a business plan concerns your marketing strategy and financial projec- There are numerous resources, some good and tions. You should narrate your market strategy, others not, to assist you in drawing up a business and state why you believe this activity can be plan. It is advisable to have a business plan profitable. You could include as an appendix drafted by a professional, and the fee will depend copies of market information you have re- on the complexity of the facts involved. searched. You should also describe your com- petition and how you will be able to compete. Keep in mind that a business plan is one of the You should set forth any competitive advan- best items of evidence to show your true inten- tages that you have over other similar ventures. tions. The IRS Audit Technique Guide asks reve- nue agents to ask for a business plan in horse and In financial projections you want to show how livestock audits, and the absence of a plan is evi- much money you will need to spend to get the dence that the taxpayer is not operating in a busi- business going, what equipment, inventory, nesslike manner. In audits, most individuals are and materials you will need to obtain, and caught off guard when asked whether they have when you expect to make a profit. There should a business plan. Some will say that their activity be an indication as to your reasonable estimate is very basic, that they know what they are doing, of revenue. This is usually very difficult to pro- and that they don’t ―need‖ a business plan. ject. Just do your best, perhaps with the aid of others experienced in the industry. Your finan- cial projections of profit should be reasonable, not exaggerated.
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Preferably, your financial projections should cover a three- to five-year period. Some people hire an accountant or CPA to help prepare the projections, as this can further bolster the businesslike nature of the document, although you will still need to spend time developing the figures.
Most people project operating losses for the startup phase of the activity, which can be from three to seven years or longer, depending on the particular activity.
Prepare your business plan now: don’t wait to get audited. It is too late to muster up a plan once you are audited. The IRS wants to see business records that are maintained in the ordinary course of your activity, not those that you might prepare once you have been notified of an audit. Ideally, your business plan will be written before you start the venture, rather than midway through it.
If you are audited and you don’t have an existing business plan you should still prepare one, and admit that you have prepared it in connection with your audit. That is better than nothing. You can explain that the plan has always been in your head, and you thought it would be best at this time to reduce it to writing so that it can be clear how you forecast that this activity can be en- gaged in for profit.
~John Alan Cohan
John Alan Cohan is a lawyer who has served the horse, livestock and farming industries since l98l. He has clients in all 50 states. He can be reached at: (3l0) 278-0203, by e-mail at [email protected], or you can see more at his website: www.JohnAlanCohan.com
19 Breeder’ Spotlight
Jeffcoat Quarter Horses
Jeffcoat Quarter Horses is owned by husband and wife team Mike and Katherine Jeffcoat and is based in Waurika, Oklahoma. Mike and Katherine have a grown son, Shawn Michael, and 4 grandchildren....Jet, Gage, Davis, & Braden. Each spring Katherine and Mike produce the Jacspin Derby & Show in Graham, Texas. This growing show has a friendly vibe that newbies and accomplished competitors alike appreciate and look forward to each year. If you've not been to the show, you owe it to yourself to go...it will be the best time you have all year and there are always plenty of smiling faces to welcome you! When not riding rein- ing horses, Mike is better known as the Jefferson County Extension Educator, a position he has held for 23 years.
Mike started his love affaire with reining horses while living in River Falls, Wisconsin. Larry Kasten, Tim Lynch, Rich Sasella, Ken Eppers, Kathy & Van Luse all have been major influences in Mike's riding and most recently Italian born Marco Formentin. Mike's particular gift is for riding 2 year olds and then showing them as NP Reining Futurity Horses and beyond. In fact, Mike has most of his NRHA earnings on Jacspin offspring and mostly Category 2 (aged event). Over the last several years Mike has shown at many of the Oklahoma Foundation Quarter Horse Shows, and mainly concentrates on the ranch reining classes, however a few years back did win the Stallion Stakes Pleasure Class with a two year old reining prospect.
An accomplished Non-Pro and Amatuer, Mike trains all of his own horses, including all the great Jacspin babies that are born on the farm. Jeffcoat's band of 10 broodmares keeps Mike and Katherine busy doing what they love and it is a rare occasion that Mike rides something that hasn’t actually been born on the place out of one of his own broodmares.
Mike bought his senior sire Jacspin when the stallion was 11. He is now 24 and has been the cornerstone of Jeffcoat Quarter Horses. Jacspins are widely known for their quietness, athletic ability and great minds, which are all wrapped into a package with beautiful eye appeal! (click on photo line-up for web link)
Mike and Katherine are excited about their new prospect Spooks Gotta Run, a 2008 bay Stallion sired by Spooks Gotta Gun out of PrettyWhizPrettyDoes by Topsail Whiz. "Possum" is marked to be the next junior sire at Jeffcoat Quarter Horses. Mike and Katherine purchased Possum in September 2010 from Clint and Liz Haverty. About one month after purchasing Possum, Mike and Katherine started receiving ―Great news from the NRHA Futurity‖. Possum's full brother (Spooks Gotta Whiz) marked scores of 221 and 225, which (cont’d on next page…) 20
got them into the Open Finals, on a catch ride a few days prior and then won the Level 4 Open Futurity with a 227. This made them even more excited about this Possum’s future as their junior sire!
Possum and Mike won both the Level 2 & 4 Non Pro Futurities at the San Angelo September Slide this year! The duo made their best out this year, marking a 72.5 and a 73 for a combined score of 145.5! The pair came home with their first Morrison and Pewter plus a few goodies courtesy of the San Angelo Stock Show & Rodeo who hosted the event.
Possum is the second of the Spooks Gotta Gun/PrettyWhizPrettyDoes cross and Mike and Katherine are already seeing him do the impressive maneuvers of his famous brother, Spooks Gotta Whiz. Better still is the mind of this colt. After his start at Haverty Ranch, Possum has been trained exclusively by a non-pro. With a score of 220.5 at the SWRHA WinStar World Casino Limited Non Pro and Non Pro Prime Time, Mike and Possum claimed the SWRHA's Limited Non Pro and Non Pro Prime Time Championships, fin- ished as the Reserve Champion of the Intermediate Non Pro, tied for fourth in the Non Pro and won $5,244. Mike plans to show Possum at the NRHA Futurity in the Non Pro, and plans for the stallion to compete with an Open rider at the large Derbies in 2012, including the NRHA Derby and the National Reining Breeders Classic. "I thank Clint and Liz, as well as Marco Formentin - he's the trainer who has helped me get here this year," Mike said. Possum never says no and always loves to show. Maneuvers come so easy for him and he does them with style. Stop by and see Possum at a show near you! (click on Possum’s headshot below for web link.)
Jeffcoat Quarter Horses Rt. 2 Box 137 Waurika, Oklahoma 73573
www.jeffcoatquarterhorses.com
Follow Possum on Facebook!
21 The Judges Corner
Reevea Nickerson of Sedalia, Missouri
I have been a carded judge for five years and I have been judging 4-H and open shows for approximately fifteen years. I currently hold breed cards in POAC and FQHR. I am certified in four states (Iowa Wisconsin, Illinois and Missouri) for 4-H.
My husband Gary (Gary Nickerson, featured in Volume 2 of The Journal under ―The Judge’s Corner) and I also conduct clinics throughout the country. We usually instruct the advanced group of youth in state 4-H clinics. I also instruct at rodeo queen contests and judge the events.
I was raised on cattle and horse ranches in New Mexico and Texas. I have been a mem- ber of and competed in AQHA and rodeo since I was a child. I have qualified and shown at the AQHA world show as well as winning state championships. I have competed in many different events, but my favorites are the cattle classes and reining. I also rope on the MRCA circuit and open jackpots.
Along with my husband, we own the ZIA Quarter Horses and training facility in Sedalia, Missouri. I have judged in a total of ten states in the past ten years. With holding breed cards and judging in multiple genres, I feel I am able to be a well rounded judge. I enjoy every aspect of judging and meeting so many different people and cultures.
The Foundation Quarter Horse Registry has been very good to both myself and my hus- band. We have thoroughly enjoyed each affiliate that we have judged for! I so enjoy the great camaraderie amongst the members. I feel all of the judges in the association have worked hard to bring respect and dignity to the arena. I have truly enjoyed being a pro- ductive part of seeing this association grow22 and thrive.
23 Classifieds Promote services, sell items, trade tack….do it all here!
FOR SALE: 2003 Sorrel Mare, 16-1 h, approx 1300 lbs. FOR SALE: FOUR daughters of Mr Blackburn Shown in Wisconsin Foundation Champ by Mr Blackburn 41, AQHA Champion Quarter Horse Association 2 Duns, 1 Brown and 1 bay– 3 are five year olds and shows earning a total of 93 halter 1 seven year old– 3 are broke– 1 not broke - 3 are out points and 76 performance of daughters of Lenata Doc and out of granddaugh- points plus numerous year end ter of Clarks Doc Bar. Reason for selling is health and high point and reserve high point awards. She is a age. Asking $2500 each. Call for more info 715-284- "gentle giant" that could go on in the show pen or 5656 eves— 715-284-4024 days or email. make a wonderful trail horse with a jog trot that you can sit all day. Loads, hauls well, bathes, clips, good with the Farrier, no bad stall habits and is good in FOR SALE: Continentl Silk 4444 & FILLY the pasture with other horses. Just a very nice mare Silky is a 2005 Bay Mare to handle and own. Asking $5000. Call 715-284-5656 who stands between 15.0 eves - 715-284-4024 days or email. and 15.1h. She has King on her AQHA Papers. She is FOR SALE: 2004 Foundation Bred Buckskin Mare 29.627% King, AQHA SB Lean With Grace is a wonderful #4722971. She has been pro- 14.2, 7 yr. old mare. She is fully fessionally broke, but would need finishing to show or to trained, attentive and light. She's compete. She is all Cow bred. It is very hard to find a very athletic and can do all thats mare this age with King on her 4 generation pedigree asked of her. She was hand se- these days. She has been very well cared for. UTD on eve- lected, trained and shown by Joe rything, and never been mistreated. She had a 2011 filly Goodenow at Lightning Bar Equine in Michigan. Gracie is by Dunnits Gold King by Hollywood Dun triple registered; FQHR, BIA, AQHA. AQHA open reining It. The filly looks to be sorrel. She is pts., 2007 Michigan FQHR Open Versatility Champion, friendly, healthy and weaned. We will sell She has FQHR open and amateur pts in ranch pleasure, them together or separately. The filly foaled ranch cutting, working cow horse, working ranch horse, May 17, 2011 and is eligible for the Incen- conformation, reining, barrels and stake race classes. tive Fund. The owner has been in the foun- FQHR COP in ranch pleasure and ranch reining. She's dation breeding business for nearly 30 sound in everyway. Gracie has Doc OLena on top and years and will soon be retiring. One of the Smart Little Lena on bottom. Most notably she is grand- Last Great Opportunities to own a well bred Mare and a daughter of Lean With Me, 1995 AQHA World Champion 2011 Well Bred Filly. The bloodlines say it all. Show and Senior Reining Horse. Gracie needs a capable rider to give Compete with them, then breed them down the road for her their time and get her shown. You wont ride a more another generation of the Great FQH. $10,000 for the responsive horse. Call 616-460-1568 or email. Asking mare, $8500 for the filly, or $18,000 for both. They are $9500. Reasonable Offers Considered. Video here. located near Opheim, IL. EMAIL for more info/pics.
Classified Rates
$45 for 6 months
$80 for 1 year
All ads are approximately 1/8 page in size Please see page 2 for submission deadlines & dates
24 A last word...
Affiliate listings have been updated! Included now are links to social network sites such as Facebook. If you have any updates in regards to contact information, website, social media or other information, please get that to us here at The Journal and we’ll update it in the next issue.
To all of our judges: We try to keep our listing as updated as possible. But if you have any changes, additions, or would like some information deleted from your contact on page 2, get ahold of us and we’ll fix it in time for the next issue. We also try to spotlight a judge or 2 in each issue. Please send in a photo of yourself (with or without a horse, working or playing, with your family or solo, etc—we aren’t picky so long as you’re in it somewhere!) and a brief write-up about how you got to where you are with judging and anything else you’d like to include about yourself. A list of certifications and/or awards & achievements is also welcomed! The more the better, its always nice to put a face to a name when you see it on the showbill. If you’re not the type to write up a bunch of stuff, that’s alright. Let us know that, too, and we’ll send you a fun questionnaire to get things going.
Content for The Journal is always welcomed! If you have an outstanding equine member (or human member), a great group of youth, events you’re proud to be a part of, show bills, events you have upcoming, letters to the President, newsletters from your affiliate you’d like published, etc, let us know! We’d love to see what everyone else is up to. How do you keep your horse(s) busy in the non-show season? Any pointers on getting horses back into working mode come spring? Plus, for those of us in cooler climates, it sure would be nice to see some folks soaking up some sun on horseback so we can all take a mental mini- vacation and wish we were there too! Brr!
Our next issue will be heavily loaded with a lot of Round-Up & Review action shots and commentary. If you have something you’d like to add for it, let us know!
Also working on one extra edition for the end of the year to cover Certificates and Achieve- ments handed out by the home office. If you would like to give your members some ac- knowledgement from all of your 2011 end-of-show awards from each FQHR-judged show this past year, please send in photos with detailed affiliate info/member name/horse name/award or certificate won/points and we’ll be super happy to get them in as well.
The Journal is published by a member, for the members! We’d love to hear from you!
Kelly Hoekstra, Editor
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