Most boat owners spend less than 60 days each year actually using their boat. Don't believe it? Let's say the average family can get 4 weeks off of work each year, which we'll assume will be taken in 4 separate 1 week vacations and to be conservative we'll also assume all 4 weeks are on the boat itself (which of course is unlikely). That still leaves 30 days of the original 60, so let's add in 5 long-weekends of 3 days each, for a total of 15 holiday weekend days. We still have 15 days remaining of the original 60 and we haven't even factored in how many of those long weekends will be used for family events, special occasions, or even just relaxing at home, doing housework, or maybe taking a vacation that doesn't involve the boat. Starting to see the math add up?
Looking to invest in a new boat? Bluesail was lucky enough to sail a brand new Excess 15 offered by Denison Yachting. Check it out below!
What does your boat do the other 305 days each year?
If the average boat owner only uses 60 days annually, then what happens for the remaining 305 days? Do you spend some of that time performing your own maintenance? Are you regularly washing down your sails and buffing/waxing the hull? Is your boat a seasonal vessel that gets hauled out each winter and sits in a cradle? Maybe you spend a few months each year catching up on improvement projects? No matter how you slice-n-dice it your boat is at rest either causing headaches, building up on maintenance/upgrade tasks, or best case sitting quietly at her dock not adding any additional value other than looking good. Why not put those 305 days to work for you, position her in a vacation destination, and let someone else deal with the rest!
Meet Bluesail's owner as he dives into the charter world
Who wouldn't want to jump on a plane and land in a tropical paradise where your impeccably maintained yacht awaits, stocked with your favorite food and drinks, fueled up and ready to go? Bluesail's base in Key West is just the ticket! Key West International Airport is easily accessible with direct flights from major U.S. airports, or you can take an adventure by driving down historic Route 1 from Miami or even boat in on the Key West Express departing from various Florida ports along the Gulf of Mexico. Bluesail makes enjoying your yacht in one of the most desirable locations in the country easy as a piece of key lime pie!
Can I really make a profit in charter?
It depends on how you define profit and whether you're looking at it on a monthly cashflow basis or a total cost of ownership basis, including tax advantages. There are quite a few charter boat ownership programs in the market that advertise the ability to generate a profit, though that generally takes into account tax advantages that have the ability to lower your overall tax exposure (consult your tax advisor for additional details). That will vary from situation to situation, however, you can certainly reduce the overall expense of boat ownership by placing her in charter.
Rather than focusing on tax advantages we suggest focusing on offsetting your core annual expenses while in parallel ensuring your boat is maintained at the most appropriate level to ensure safety and seaworthiness. The goal here is to help you spend your hard-earned vacation time enjoying your boat and less time worrying how to afford her or whether you're maintaining her to the proper level. Consider identifying ways to offset the following expenses, where any additional income or tax advantages end up being gravy:
Annual dockage ($10k - $25k)
Annual insurance premium ($8k - $20k)
Regular scheduled maintenance ($5k - $20k)
When partnered with a reputable charter operator who will maintain your vessel to the highest standards while also generating an income, you can expect to regularly offset 50% - 75% of the above fixed expenses. The chart below is an illustration showing what could be possible on a well maintained 3 cabin/2 head boat that's less than 10 years old in the Key West market.
If this type of program sounds interesting and you'd like to learn more please email Scott at firstname.lastname@example.org and we'll schedule a time to chat about your options to join our Key West charter fleet!
Current Fleet Openings:
40' - 55' power catamaran with 3+ cabins/2+ heads (Fall 2021)
45' to 67' catamaran sailboat with 4+ cabins/4+ heads (Winter 2022)