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A horse bill of sale is an official document that outlines the purchase agreement between a buyer and a seller, including the purchase price and important details like both parties' signatures. Once finalized, it serves to record the transfer of ownership. This video covers essential information about horse bill of sale forms and where to find a free template. It emphasizes the importance of best practices in purchasing a horse, highlighting that horse ownership is a significant responsibility. Key steps include locating a suitable seller, determining your budget (considering space, food, and care), testing the horse through personal handling, and negotiating effectively.