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A horse bill of sale serves as a legal document that formalizes the purchase of a horse, detailing the sale price, essential information about the transaction, and the signatures of both buyer and seller. It also signifies the official transfer of ownership. This video tutorial covers key aspects of horse Bill of Sale forms and provides information on obtaining a free official template. Before creating the Bill of Sale, the video emphasizes important best practices for buying a horse. Potential buyers are advised to find a seller with a suitable horse, establish a budget that includes care costs, handle the horse personally, and negotiate the terms of the sale.