The story is narrated by a horse named Black Beauty, beginning with his carefree days as a colt on an English farm, to his difficult life pulling cabs in London, to his happy retirement in the country.
As a colt Black Beauty lives on a farm with a large meadow with his mother, Duchess. his mother teaches him to always behave well and do his work willingly and to the best of his abilities. At age of four he is 'broken in'. Farmer Grey gently teaches him to get used to new thing such as bits, saddles, horseshoes and many others. He also teaches him not t be startled by loud noises. Then Black Beauty is sold to Squire Gordon of Birtwick Park.
At his new home, Black Beauty serves happily under the care of coachman, John Manly and groom. James Howard. Ginger and Merrylegs become his good friends. After three years at the park, Black Beauty and Merrylegs are sold to Earlshall Park. At Earlshall Park, Black Beauty suffers great pain when the Mistress uses the check rein. A drunk groom rides Black Beauty and has an accident. Black Beauty breaks a knee and is sold as a job horse. He has a hard time with many bad drivers until he is sold again to Jerry Baker, a cab driver.
Black Beauty finds life much better at his new home. He pairs up with Captain, a war horse who has taken part in the Crimea War. They become good friends. When Black Beauty is no longer strong enough to work for Jerry, Black Beauty is sold once again. He passes through many owners before Farmer Thoroughgood sees him at a horse fair. He is sold to Farmer Thoroughgood.
With the good care of the farmer and his grandson, his health improves. He is sold to three sisters to do light work. The sisters promise Thoroughgood that Black Beauty will never be sold again. So Black Beauty has a happy home at last for the rest of his life.