Charter Yacht Management
Charter Management. There are many solid reasons why offering your yacht for charter is a great idea. The safest method is to have the Charter Manager market and book your boat for you and run it as a crewed yacht. There are Bareboat situations that also work when the customers are highly screened and qualified to operate the vessel, but the boat maintenance increases, albeit offset by the income quite a bit. It is akin to Resort Property Management, which is the largest industry sector on the Outer Banks. Like private homes, the boats get used and have normal wear and tear from renters, and the management company takes care of managing the bookings, maintenance, and marketing of the asset. Its extremely important to have realistic expectations when offering your boat for charter. We like to spend alot of time working with you to discuss and describe the process, outlining the pros and cons. I personally have all my boats in charter, because I know how to take care of them and really can only afford them if the charter revenues offset the expenses, and am a big proponent!
Private Yacht Management
Yacht Management usually means taking care of the details so the boat owner can spend less time fixing and maintaining, and more quality time on the water with family and friends. For some, time off is extremely limited, but they still desire and pride themselves on being the boat owner. Frequently the boat can not be conveniently kept near where you live, and still be easily accessible to your favorite cruising area. Finding someone you trust to manage the care and maintenance details can be vital. Not unlike aircraft, which are extremely important to keep in perfect working condition, yachts also need to be used and operated on a regular basis to ensure the systems are at the top of their game. Even if the boat is in front of your porch window at its mooring/dock, it is still time consuming to take care of the details of proper upkeep. It takes time to establish good trustworthy relationships with your contractors and can be a hit or miss situation with many. Frequently a yacht management professional has pre-established and ongoing relationships with the various specialists needed to take of the yachts systems, and with smaller boats, just having someone keep an eye on things when you are away, is extremely important. Phillips Boatworks, offers yacht care and management services on Hatteras Island and Ocracoke.
Should I charter my yacht?
If you can accept that the boat will be used more often and understand that boats frequently run better if not left at rest for long periods of time, you have a good start. If you would like to earn some money to offset your boating habit, then it is a great idea. If you expect that a yacht in charter will earn a profit, you may not be thinking realistically, but you do need to look closely at how you define a profit. If you think that there will not be additional wear and tear, then you need some self calibration as well. There are tradeoffs for everything and earning money back on your boat, or running your boat as a business can have great benefits, if you can accept the reasonable tradeoffs.
Benefits of yacht charter
There are wonderful benefits to having your boat work as a business. The P/L of this sort of business depends significantly on how active you desire the boat to be in charter, which is directly inversely proportional to how much time it is available for your personal use. Your personal income and tax situation can have interesting benefits, if the boat is in a corporation and run as an asset in a charter business, including large tax deductions for depreciation and operating expenses.
- Makes Boat More Affordable
- Unlimited Owner Use
- Customers Managed by Us
- Commercial Use makes the boat more Seaworthy
- Maintenance becomes a high priority
- Possible Tax Advantages
- Boat Kept at a Great Cruising Destination
- Tradeoff – More wear and tear
- Tradeoff – Trusting someone else with your boat
- Tradeoff – Boats can get damaged
- Tradeoff – Bookings have to be honored by the Boat Owner
Benefits of private yacht management
A Yacht Manager can take care of as much or as little of the boat as you desire, or want to pay for. It is an in depth discussion you must have with us before we will take on a Yacht Management Client. 40 years of involvement in the Charter Management and Private Yacht Management Industry gives us a knowledgeable basis for expectations to be setup as a win win situation for you with Phillips Boatworks.
- Hectic Lives make for neglected boats
- Professional Care Standards are high!
- Manager offers experience and smart feedback
- More time boating, less time fixing
- Boat usually is kept beautiful and ready for you
- Safety systems may decrease your insurance costs