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The establishment of conservancies and collaborative nature reserves is often promoted without understanding the impact that such initiatives have on the environment, the wildlife and landowners. This tack of knowledge has resulted in the landowners' non-awareness of the advantages and disadvantages of establishing such entities and often leads to disillusionment. A conservancy is established by informal agreement between various landowners to enhance the conservation status of a specific area without affecting the owners' individual rights. A collaborative nature reserve is established as a result of a format agreement between landowners to manage and administer their collective land as a single unit. The agreement typically addresses issues such as the management systems, the methods to be utilised for income generation, the distribution of surpluses amongst landowners and the rights and privileges applicable to the landowners. The scope of this study has been limited to the establishment of conservancies and collaborative nature reserves between game ranchers and existing game ranches. A literature study was undertaken to determine the advantages and disadvantages of establishing collaborative nature reserves, including a comparative analysis of large versus small conservation areas. Practical research was done to determine the implications, advantages, disadvantages and landowners' perceptions pertaining to the establishment of collaborative nature reserves. The practical research was done by personal observation methods as well as the use of questionnaires. An existing and successful collaborative nature reserve was studied intensively to meet these objectives. This reserve includes the land of twelve individual landowners and also forms part of a greater conservancy. The establishment of collaborative nature reserves can solve the problems created by separate game ranches, especially that of the compartmentalisation of grazing areas for game. Careful pre-planning can surmount the negative aspects of establishing collaborative !lature reserves and the advantages can be maximally utilised.