When it comes time to sell your boat there are many ways that a relationship with a professional yacht management company can help her sell quickly and closer to your asking price!
If your yacht broker is doing their job right, a lot of people will be coming to see your yacht. As the old saying goes, “you never get a second chance to make a first impression.”
Your yacht management company can ensure that your boat is waxed, cleaned and detailed to the nines – inside and out. Yacht management will make sure all systems work, the engines fire up right away, and sound smooth. We will check for any oil leaks, water leaks, etc.
When it comes time to sell your boat, if you have had her in a yacht management program from the get-go, you can be sure she will be “ship-shape” when it comes time to sell!
Yacht Management Can Help You Prepare
There are a few areas throughout the sales cycle of your yacht, where professional yacht management, such as that provided by FYM can be critical in getting offers and closing the deal. Preparing your boat to be seen, whether to potential buyers during a scheduled tour, or for a boat show is one of them.
FYM has been managing, maintaining and preparing boats for sale for many years. FYM will make every effort to see that your luxury motor yacht shows well. For example, prior to exhibiting any vessel at a boat show, we prepare by paying special attention to the following:
- Teak treatment
- Fresh wax and stainless polish
- Cleaning all lockers and bilges to be dry
- Emptying and treating gray and black water tanks to prevent any undesirable smells
- Tidying lines and fenders to improve overall look of the vessel
- Putting staterooms in show condition with displays on each bed and fresh flowers in each head
- Staging interior with high end goods to improve overall experience
- Full detail of the Engine Room to show that the boat has been well maintained and is ready to go
We know that any potential buyers that come aboard your motor yacht for sale, will do so already seeing the boat “as theirs.” They will open cabinets, turn nobs, etc. We understand this, and will also make sure all electronics are in tip top shape, and all storage spaces are used efficiently. We know how to add just enough personal items, such as a few books, or items of clothing, to make the boat look homey and inviting, but still maintain an open, and uncluttered appearance.
Again, it’s all about the little details that can make your experience of selling at a boat show a big success!
The Value of Charter in Selling Your Yacht
Another way that professional yacht management can help you sell your boat is if you have her in an associated Charter Income Program.
The primary advantage of putting your boat up for Charter is the additional exposure she will get to potential buyers. A boat that is available and marketed for charter has a higher profile relative to one that is only available for private use. A prospective buyer of a motor yacht often will want to take her out for a “test drive” as charterer first.
However, there are many other reasons to consider chartering your boat, even before you are thinking about selling. Here are just a few, many of which will make you boat easier to sell, when the time comes!
- Offsetting expenses – Chartering your yacht should not be seen as a major generator of income, (unless you have purchased it strictly to start a charter business). But, in general, it should pay for dockage, routine maintenance and insurance. In other words, placing your boat with a good charter broker could reduce your operating expense by 30-70%, which can be significant!
- Use is good – It may seem a bit counterintuitive, but infrequently used yachts tend to have more maintenance issues. Fuel sitting in tanks and a million other things like that are bad for the boat – giving one’s yacht regular “exercise” is important. Putting a yacht into a charter program also enforces a stricter maintenance regimen which can pay dividends down the road.
- Keeps your crew sharp – Chartering enables a crew to hone their skills (after all how many weeks a year is an owner using his boat?) while also earning extra income via charter tips. After all, a happy crew is a better performing crew.
- An ego boost – There is a kind of “psychological benefit” of sharing a yacht, if only for the day or week, with other people. Most owners put tremendous thoughts and care into choosing their yacht, maybe customizing it or decorating the interior….and actually feel good that other people get an opportunity to enjoy it, particularly if the yacht is under-utilized by the owner.
- Tax advantages – This benefit is definitely one that needs to be explored by an accountant…but there may be significant tax benefits associated with putting a boat into charter. Some tax deductions that would not otherwise be available materialize because certain costs essentially become business expenses.
The Benefits of Planned Maintenance
Finally, when it is time to sell, a big way to make sure that you yacht is in perfect selling condition, inside and out, is to take advantage of planned maintenance. This is another major benefit of engaging with a yacht management company.
Someone once said, “Fail to plan, then you plan to fail.” Those are good words to live by, especially when it comes to maintaining your yacht in good operating condition. A modern motor yacht is a complex machine, whose electronics and systems rival any aircraft. With the safety and comfort of you and your guests on the line each time she leaves the dock, the importance of preemptive maintenance cannot be overstated.
With that said, developing a scheduled maintenance strategy is no simple task.
You need a system that takes into account the complex interactions of the manufactures required maintenance schedules for each system on board, along with parts inventory and availability, the labor hours required, and much more. Beyond that, you want a transparent system that can generate all reports, and fully account for all work done, to the captain, and the owner.
This is where a yacht management company that uses maintenance software can play a vital role. Ultimately, a good scheduled maintenance software program will save the yacht owner time, money and avoid breakdowns and more costly repairs – or worse yet – trouble at sea!
Plus, regular maintenance will likely prevent any surprises in your marine survey when you receive an offer on your boat. Also, the reports generated allow you to show potential buyers just how well-maintained your yacht has been!
The On Demand Solution
Florida Yacht Management’s proprietary On Demand Yachting software not only will track and maintain your boats proper weekly and monthly maintenance schedules, it allows you to monitor all of the service work being done on your boat in real time. That means at any time, you can approve or decline any service work. You have the ability to monitor all systems checks weekly or monthly, and can see when they were completed and by whom.
Through our engineers and industry-wide contacts, our On Demand software will:
- Implement and maintain the right planned maintenance set-up for your yacht
- Continuously assess performance and operations, taking any remedial actions as needed between scheduled maintenance
- Arrange for spare parts, repairs, refits as needed
- Track, monitor and report on all electrical, mechanical and physical repairs
- Maintain inventories on all stores, provisions and spare parts
- Allow you to “virtually” inspect and monitor our performance, and your boat’s condition – anytime
The bottom line is Yacht Management is integral to the entire lifecycle of your motor yacht, keeping her as valuable and luxurious on the day you sell her, as she was on the day you bought her!
Operating a motor yacht can be costly. You can reduce your expenses, and avoid costly repairs by keeping her well maintained. On Demand yachting from FYM can help. If you would like to learn more, or if you have any questions or comments about this blog post, do not hesitate to contact our Yacht Management specialists, or call us at (954) 900-9968.