charter a yacht in Cannes
When chartering a yacht, you’re effectively hiring a privately owned vessel for your use. Your charter company assumes responsibility for the boat and its equipment in addition to all onboard costs including food, wages, and fuel. They also manage and supervise the crew and ensure they provide a high-quality charter experience for their guests. Meeting guest expectations is critical to being a profitable charter operator and requires significant time and effort.
There are many “hidden” costs associated with yacht chartering which you may not be aware of when booking a trip. The team at West Nautical explain what’s included in a base charter fee, how this varies, and what other expenses are payable.
The base charter a yacht in Cannes fee covers the hire cost of the yacht plus all onboard expenses. Depending on the yacht and destination, this may include everything from meals to water toys, fuel, and mooring fees. A yacht’s base rate will increase during the “high season” and decrease during the “low season”.
What exactly is a charter a yacht in Cannes?
On a “plus all expenses” contract, a separate advance provisioning allowance (APA) is collected to cover charter guests’ additional expenditures. This is similar to an expense account, which the captain or yacht purser will keep a detailed record of and present at the end of the private concierge service. Any unused APA funds are paid back to the charterers.
It’s worth noting that gratuity is not typically included. The amount will vary from country to country but typically ranges from 15% to 20% of the base charter fee. This is a common practice in most charter destinations and helps to reward the hard work of your crew.
Charter companies are required to comply with a variety of yachting regulations and legal requirements. These can include safety inspections, licensing, tax obligations and compliance with local maritime laws. Managing these requirements is often complex and requires professional assistance.
While operating a successful yacht charter business requires commitment, investment and expertise, the returns can be very satisfying for those with the right vessel in the right location, coupled with an effective management and marketing strategy. As with any venture, however, profitability will depend on a number of variables and may be volatile.
It’s not uncommon to hear of a yacht owner who can only break even or make a loss, especially for older vessels. This is due to a combination of factors, including the age of the yacht, maintenance and upkeep requirements, and the level of demand for the type of yacht and destination. As with any business, it is crucial to understand your return on investment and ensure your yacht is properly maintained in order to maximize its income potential. This will require the services of an experienced yacht broker. They can assess your yacht and recommend the best marketing strategies to help you achieve a positive return.