You start educating the horse in groundwork, ie walking backwards on a circle. Here the horse can relax and let go of tensions and you teach the rein and leg aids using the whip. Thereby you can place the horse where you want it and shape it to carry itself in a proper way.
Equipment: Cavesson and leading rein in addition to a whip that works as your extended arm. If you have no cavesson then use your halter or regular bridle. The cavesson is a fantastic tool, and if you are sure to continue with AAoR then I strongly recommend getting one.
In the beginning, groundwork means walking backwards on a circle with the horse in front of you. You want the horse slightly to the outside of yourself, to be able to see the inside of the horse. Approximately your outer leg is in line with the inner legs of the horse. Your outer hand only hold on to the rein and with that hand you can give impulses to ask for stelling. Your inner hand holds the whip and the end of the rein.
When it is time to take the step from leading exercises to groundwork, you want to start working on the shape of the horse, and in order to do that you need to be able to ask for stelling of the neck, bending of the body and moving the front or hind legs in and pout of the track.