Would You Charter Your Boat to the General Public?

[nautical62]

I DO have a boat that is chartered to the general public. The boat including outfitting cost under 120K. In charter it generates $960/month in guaranteed income which will pay for about 45% of the boat price over the 4.5 years of charter. In addition I have no maintenance costs, no storage costs, no insurance costs and no hassles.

I find this is a fraction of the cost of chartering. Any added depreciation due to chartering can't possibly approach the revenues and saving mentioned above.

Obviously, not all charter agreements are the same, and the limitations that come with having a boat in charter and not suited to everybody's cruising desires.

[SabreKai]

Sure, for day or week charters with me as skipper. I'm figuring on doing that at some point when I get to where I'm going. But under no circumstances would I allow the boat out without me on board.

Sabre

[booknboat]

Thank you for the comments so far, its all very useful. It is something iv been considering for a while but your feedback has helped. Do you think that by 'screening' potential customers first, this could help with maintaining the quality of the boat? i.e. they need to have specific experience?

[nautical62]

Originally Posted by booknboat

Thank you for the comments so far, its all very useful. It is something iv been considering for a while but your feedback has helped. Do you think that by 'screening' potential customers first, this could help with maintaining the quality of the boat? i.e. they need to have specific experience?

I should screening might reduce the risk of someone damaging your boat, but I can't image charter people will ever be able to treat your boat as well as you do. Even most of the big charter companies offer at least some screening.

Your ability to screen will of course be influenced by how you go about chartering. If you work through a company that charters, you will probably loose the ability to screen yourself. If you charter the boat out yourself, (which what it sounds like you wish to do.) you need to consider not only the wear and tear, but the insurance, cost of your time and what will happen if someone gets in trouble with your boat. When going through a charter company these things in addition to marketing are not your concern. If you are going to charter yourself, they will be.

[s/v Beth]

I am chartering my Valiant this next summer. We will see how it goes.

[Sandero]

Not unless I was forced to. My boat is too complicated and idiosyncratic and it would be too hard to explain. It all seems sensible and simple to me, but I would think a random public guy would mess things up in short order.

[nautical62]

As I read some of the responses it occurs to me there seems to be a big difference between buying a boat with chartering in mind and buying a boat for your needs and deciding to put it in charter....

[David M]

I fear that some people would treat my rental boat the same way they treat a rental car. The problem is, its impossible to discern one type of person from the other.

[Stillraining]

Originally Posted by nautical62

As I read some of the responses it occurs to me there seems to be a big difference between buying a boat with chartering in mind and buying a boat for your needs and deciding to put it in charter....

Yes thats it....What were really talking about is personal attachment value..some of you live part time on your boats.

For me my attachment to the Sea Ray is all but gone..cant sell it so might as well rent it if I can...It will be fully insured for charter if I do so no loss if it burns to the waterline or sinks which I doubt will ever happen.

Sure there is going to be nicks and dings...scratches and broken things..but a small damage deposit of say 250.00 per week should cover a few hours of my time repairing gel-coat and carpet stains. Larger damages can be negotiated in the rental contract to begin with..and total loss is covered by insurance.

Its just been sitting for two years and that isnt good for it either..might as well get it out there for someone to enjoy.

No I would not charter the sail boat...not yet anyway...but if the day ever came where I was in the same predicament and mentally detached from it as well I sure as heck would....its just a boat.

[bob_77903]

Not today...

[Ex-Calif]

Originally Posted by Stillraining

For me my attachment to the Sea Ray is all but gone..cant sell it so might as well rent it if I can...It will be fully insured for charter if I do so no loss if it burns to the waterline or sinks which I doubt will ever happen.

Surprisingly, insurance companies understand this as well. Have you quoted commercial, bareboat chartering insurance yet?

Not saying it's not doable but make sure you have the right cover.

[s/v Beth]

2 grand a year for my 40 footer. Its an experiment but we will see how it goes. i am certainly learning a lot more about boat maintenance.

[James S]

No way...even with screening.
I can see buying a boat for that purpose...se but it’s hard to imagine it would be commercially viable.

[Bash]

Happy to charter my boat out. $1,000 a day, with a one-year minimum charter period. I'll throw in a full tank of diesel.

[CharlieJ]

Absolutely not! There are too many bumpkins with fat check books and no, and I mean literally no, mariner capability in their entire being.