Yacht registration broker or agent

[delcrest]

Hi all, some info please, can anyone suggest/ recommend a reliable agent that I could use to register my yacht either in the USA or England , the yacht is currently registered south Africa , and I am a south African citizen, I am told this can be done by setting up a company first, any advice / suggestions would be appreciated

[Sand crab]

Federal registration in the US is called documentation. It's going to be really hard (expensive) for you to do this. Here's the facts:
https://www.dco.uscg.mil/Our-Organiz...r-FAQ/#anchor2

HOW DO I ESTABLISH U.S. CITIZENSHIP?

Citizenship is established by completion of form CG-1258. In addition to individuals, corporations, partnerships, and other entities capable of holding legal title may be deemed citizens for documentation purposes. Corporations must be registered in a state or the U.S; the chief executive officer and chairman of the board of directors must be U.S. citizens, and no more than a minority of the number of directors necessary to constitute a quorum may be non-citizens. In addition, at least 75% of the stock must be vested in U.S. citizens for a coastwise or fisheries endorsement.


Your boat will be for recreation so the 75% rule doesn't apply but setting up a corporation with all the yearly fees and tax reporting will be a several boat bucks every year.



You can do a state registration because they don't care about citizenship and there is no need to set up a corporation.

[delcrest]

thank you for your reply, any suggestions who I could contact assist me with the ins and outs of state registration

[boatpoker]

Where do you intend to keep/sail the boat ? This could have a significant effect on the practicality of having US State registration.

[delcrest]

current plan is to cruise for the next 3 - 4 years and then sell the boat, so basically boat will not be kept anywhere permanent

[gaucho]

Just do UK registration Part 1, forget US State Delaware LLC. Delaware doubled the prices, it's a shady state reg, and the UK one with UK company seems to be the best (an inexpensive on the MCA, Reg, Ofcom side). These people (I dont know them, just googled them) seem to do the dance: https://oceanskies.com/yachts/yacht-registration/

[delcrest]

The reason to change the registration is south african registration is very strict for off shore cruising, the vessel has to be inspected yearly by a south african maritime approved surveyor for both hull and all other safetey requirements, this makes it a bit difficult when you are thousands of miles away having to pay the cost of airline tickets etc for the surveyor to come to the boat, and haul out etc etc

[boatpoker]

Originally Posted by delcrest

current plan is to cruise for the next 3 - 4 years and then sell the boat, so basically boat will not be kept anywhere permanent

US State registration may not work for you. Many countries will not recognize it as they are used to "registered" or "documented" vessel paperwork.

[Montanan]

Originally Posted by delcrest

thank you for your reply, any suggestions who I could contact assist me with the ins and outs of state registration

State registration of a vessel [or a vehicle] is available within the State the vessel resides. A boat is not allowed to be registered within a State if it does not reside in the State's waters.

A State registration does not provide for "flagging" of the vessel, that is the vessel does not receive nationality for international transiting in foreign countries and international waters.

It is a simple matter to register a boat with a State in which the boat will reside, just google search for the department that is responsible and follow the instructions. It may require your visitation to the agency to accomplish.

You are South African and it does not sound like you are intending to have your boat reside in a State's waters hence State registration does not sound appropriate or legal and it will not provide your vessel with a flag.

Realize that Documentation in the USA is a form of "titling" of the vessel and provides for recordation of liens on the boat. As stated in a previous post, documenting your vessel with the USCG is only available for US citizens. Only US citizen owned vessels can fly a US Flag and garner USA nationality for the vessel.

Titling is the not the same as Registration. Many States also provide titling as well as registration, some States require titling with the State before Registration of boats residing in their waters. Note that in the USA, a vessel is not allowed to be titled by Documenting with the United States Coast Guard and at the same time titliing at the State government level. A State may require registration of a USCG documented vessel if the vessel resides in the State waters. Each State has its own laws and regulations.

[Montanan]

There was a suggestion to register under Part 1 of the UK small ship registry,

Reference link for such: https://www.gov.uk/register-a-boat/the-uk-ship-register

Note that Brexit may change the eligibilities. Read likely will change the eligibilities.

Here are the requirements for the Declaration of Eligibility, you can assess whether you will qualify for such flagging.

I have highlighted the bodies corporate approach as to qualifying ownership. Note that you will be required to maintain such body corporate standing and of course all the necessary government reporting of such entity, including for example taxation report returns, which in the USA will require at least both annual State and Federal tax reports.

https://assets.publishing.service.go...el_on_Pt_1.pdf

As copied from the declaration form:

For vessels to be registered on Part 1, please list the qualified owners first and draw a line under them, before entering the unqualified owners.
A vessel can be registered on Part 1 if the majority interest (i.e. 33 shares) is owned by persons qualified to be the owner/s of the vessel.
Notes on status
Qualified owners are:
(a) British citizens or non-United Kingdom nationals exercising their right of freedom of movement of workers or right of establishment
under Article 48 or 52 of the EEC Treaty or Article 28 or 31 of the EEA Agreement;
(b) British Dependent Territories citizens;
(c) British Overseas citizens;
(d) Persons who under the British Nationality Order 1981 are British subjects;
(e) Persons who under the Hong Kong (British Nationality) Order 1986 are British Nationals (Overseas);
(ea) Commonwealth citizens;
(eb) citizens of a country listed in Schedule 6 to the Registration Regulations
(ec) non-United Kingdom nationals who are settled in the United Kingdom;
(ed) bodies corporate incorporated in a Commonwealth State;
(ee) bodies corporate incorporated in a country listed in Schedule 6 to the Registration Regulations;
(f) Bodies corporate incorporated in the United Kingdom or in an EEA State;
(g) Bodies corporate incorporated in an EEA State;
(h) Bodies corporate incorporated in any relevant British Possession and having their principal place of business in the UK or any such
possession;
(i) European Economic Interest Groupings formed in pursuance in the UK.
Schedule 6 Countries
The countries listed in Schedule 6 to the Registration Regulations are Argentina, Aruba, Bahrain, Brazil, the Canary Islands, China, the Faroe
Islands, Haiti, Israel, Japan, Liberia, Madeira, the Marshall Islands, Monaco, Panama, South Korea, Switzerland, Suriname, the United Arab
Emirates, and the United States of America.
. . .

*I/we declare that:
• I/we understand that The Register is a Public Register from which any person can obtain a Transcript of the entries in the Register;
• the information given by me/us in this form is true to the best of my/our knowledge and belief;
• I am/we are the legal owner(s) of the shares as set out in section 2 of this form;
• the vessel is not fishing for profit;
• to the best of my/our knowledge and belief, a majority interest in the vessel is owned by persons qualified to be owners of British Vessels, and the
vessel is otherwise entitled to be registered in Part 1;
• any Nationals or an EEA country other than the UK, who are represented in the majority interest are established (within the meaning of Article 48
or 52 of the EEC Treaty or Article 28 or 31 of the EEA Agreement) in the UK.
• I/we understand that it is an offence to knowingly make a false statement in order to obtain registration and hereby declare that, to the best of my
knowledge, the details given in this application form are correct.

[boatpoker]

Langkawi international Yacht Registry

Royal Langkawi Yacht Club - Langkawi International Yacht Registery

[Sand crab]

Originally Posted by Montanan

As stated in a previous post, documenting your vessel with the USCG is only available for US citizens. Only US citizen owned vessels can fly a US Flag and garner USA nationality for the vessel.

But US corporations are allowed to document a boat. There are businesses that specialize in this. As long as the boat is for recreation the 75% US citizen owned does not apply. The Op could look at this but it's going to be some dollars to set up. If he visits the US in that boat then import duties if applicable would apply.

[Montanan]

Originally Posted by Sand crab

But US corporations are allowed to document a boat. There are businesses that specialize in this. As long as the boat is for recreation the 75% US citizen owned does not apply. The Op could look at this but it's going to be some dollars to set up. If he visits the US in that boat then import duties if applicable would apply.

A US Corporation will need to have managerial and directorship control by U.S. Citizens for a recreational endorsement. Reference Code of Federal Regulations, highlights provided.

[Title 46 CFR C]
[Code of Federal Regulations (annual edition) - October 1, 2006 Edition]
[Title 46 - SHIPPING]
[Chapter I - COAST GUARD, DEPARTMENT OF HOMELAND SECURITY (CONTINUED)]
[Subchapter G - DOCUMENTATION AND MEASUREMENT OF VESSELS]
[Part 67 - DOCUMENTATION OF VESSELS]
[Subpart C - Citizenship Requirements for Vessel Documentation]
[From the U.S. Government Publishing Office]


46SHIPPING22006-10-012006-10-01falseCSubpart CSHIPPINGCOAST GUARD, DEPARTMENT OF HOMELAND SECURITY (CONTINUED)DOCUMENTATION AND MEASUREMENT OF VESSELSDOCUMENTATION OF VESSELS
Subpart C_Citizenship Requirements for Vessel Documentation



Sec. 67.30 Requirement for citizen owner.

Certificates of Documentation may be issued under this part only to
vessels which are wholly owned by United States citizens. Pursuant to
extraordinary legislation at 46 U.S.C. app. 883-1 (Bowater Amendment)
and 46 U.S.C. 12106(d) (Oil Pollution Act of 1990), Certificates of
Documentation with limited endorsements may be issued in accordance with
part 68 of this chapter to vessels owned by certain persons who are not
citizens as defined in this part.



Sec. 67.31 Stock or equity interest requirements.

(a) The stock or equity interest requirements for citizenship under
this subpart encompass: Title to all classes of stock; title to voting
stock; and ownership of equity. An otherwise qualifying corporation or
partnership may fail to meet stock or equity interest requirements
because: Stock is subject to trust or fiduciary obligations in favor of
non-citizens; non-citizens exercise, directly or indirectly, voting
power; or non-citizens, by any means, exercise control over the entity.
The applicable stock or equity interest requirement is not met if the
amount of stock subject to obligations in favor of non-citizens, non-
citizen voting power, or non-citizen control exceeds the percentage of
the non-citizen interest permitted.
(b) For the purpose of stock or equity interest requirements for
citizenship under this subpart, control of non-fishing industry vessels
includes an absolute right to: Direct corporate or partnership business;
limit the actions of or replace the chief executive officer, a majority
of the board of directors, or any general partner; direct the transfer
or operations of any vessel owned by the corporation or partnership; or
otherwise exercise authority over the business of the corporation or
partnership. Control does not include the right to simply participate in
these activities or the right to receive a financial return, e.g.,
interest or the equivalent of interest on a loan or other financing
obligations.
(c) For the purpose of this section, control of a fishing industry
vessel means having:
(1) The right to direct the business of the entity that owns the
vessel;
(2) The right to limit the actions of or to replace the chief
executive officer, the majority of the board of directors, any general
partner, or any person serving in a management capacity of the entity
that owns the vessel;
(3) The right to direct the transfer, the operation, or the manning
of a vessel with a fishery endorsement.
(d) For purposes of meeting the stock or equity interest
requirements for citizenship under this subpart where title to a vessel
is held by an entity comprised, in whole or in part, of other entities
which are not individuals, each entity contributing to the stock or
equity interest qualifications of the entity holding title must be a
citizen eligible to document vessels in its own right with the trade
endorsement sought.

[CGD 89-007, CGD 89-007a, 58 FR 60266, Nov. 15, 1003, as amended by
USCG-1999-6095, 65 FR 76575, Dec. 7, 2000; USCG-2004-18884, 69 FR 58346,
Sept. 30, 2004]

[[Page 348]]



Sec. 67.33 Individual.

An individual is a citizen if native-born, naturalized, or a
derivative citizen of the United States, or otherwise qualifies as a
United States citizen.



Sec. 67.35 Partnership.

A partnership meets citizenship requirements if all its general
partners are citizens, and:
(a) For the purpose of obtaining a registry or recreational
endorsement, at least 50 percent of the equity interest in the
partnership is owned by citizens.
(b) For the purpose of obtaining a fishery endorsement, at least 75
percent of the equity interest in the partnership, at each tier of the
partnership and in the aggregate, is owned by citizens.
(c) For the purpose of obtaining a coastwise or Great Lakes
endorsement or both, at least 75 percent of the equity interest in the
partnership is owned by citizens or the vessel qualifies under Sec.
67.20.

[CGD 94-008, 59 FR 49846, Sept. 30, 1994, as amended by USCG-1999-6095,
65 FR 76575, Dec. 7, 2000; USCG-2001-8825, 69 FR 5401, Feb. 4, 2004]



Sec. 67.36 Trust.

(a) For the purpose of obtaining a registry or recreational
endorsement, a trust arrangement meets citizenship requirements if:
(1) Each of its trustees is a citizen; and
(2) Each beneficiary with an enforceable interest in the trust is a
citizen.
(b) For the purpose of obtaining a fishery endorsement, a trust
arrangement meets citizenship requirements if:
(1) It meets all the requirements of paragraph (a) of this section;
and
(2) At least 75 percent of the equity interest in the trust, at each
tier of the trust and in the aggregate, is owned by citizens.
(c) For the purpose of obtaining a coastwise or Great Lake
endorsement or both, a trust arrangement meets citizenship requirements
if:
(1) It meets the requirements of paragraph (a) of this section and
at least 75 percent of the equity interest in the trust is owned by
citizens; or
(2) It meets the requirements of Sec. 67.20.

[CGD 94-008, 59 FR 49846, Sept. 30, 1994, as amended by USCG-1999-6095,
65 FR 76576, Dec. 7, 2000; USCG-2001-8825, 69 FR 5401, Feb. 4, 2004]



Sec. 67.37 Association or joint venture.

(a) An association meets citizenship requirements if each of its
members is a citizen.
(b) A joint venture meets citizenship requirements if each of its
members is a citizen.

[USCG-1999-6095, 65 FR 76576, Dec. 7, 2000]



Sec. 67.39 Corporation.

(a) For the purpose of obtaining a registry or a recreational
endorsement, a corporation meets citizenship requirements if:
(1) It is incorporated under the laws of the United States or of a
State;
(2) Its chief executive officer, by whatever title, is a citizen;
(3) Its chairman of the board of directors is a citizen; and
(4) No more of its directors are non-citizens than a minority of the
number necessary to constitute a quorum.
(b) For the purpose of obtaining a fishery endorsement, a
corporation meets citizenship requirements if:
(1) It meets all the requirements of paragraph (a) of this section;
and
(2) At least 75 percent of the stock interest in the corporation, at
each tier of the corporation and in the aggregate, is owned by citizens.
(c) For the purpose of obtaining a coastwise or Great Lakes
endorsement or both, a corporation meets citizenship requirements if:
(1) It meets the requirements of paragraph (a) of this section and
at least 75 percent of the stock interest in the corporation is owned by
citizens; or[/B]
(2) It meets the requirements of Sec. 67.20.
(d) A corporation which does not meet the stock interest requirement
of

[[Page 349]]

paragraph (c) of this section may qualify for limited coastwise trading
privileges by meeting the requirements of part 68 of this chapter.

[CGD 89-007, CGD 89-007a, 58 FR 60266, Nov. 15, 1993, as amended by CGD
94-008, 59 FR 49847, Sept. 30, 1994; USCG-1999-6095, 65 FR 76576, Dec.
7, 2000; USCG-2001-8825, 69 FR 5401, Feb. 4, 2004]



Sec. 67.41 Governmental entity.

A governmental entity is a citizen for the purpose of obtaining a
vessel document if it is an entity of the Federal Government of the
United States or of the government of a State as defined in Sec. 67.3.



Sec. 67.43 Evidence of citizenship.

When received by the Coast Guard, a properly completed original
Application for Initial Issue, Exchange, or Replacement of Certificate
of Documentation; or Redocumentation (form CG-1258) establishes a
rebuttable presumption that the applicant is a United States citizen.

[CGD 89-007, CGD 89-007a, 58 FR 60266, Nov. 15, 1993; 58 FR 65131, Dec.
13, 1993]



Sec. 67.47 Requirement for Maritime Administration approval.

(a) The following transactions, among others, require approval of
the Maritime Administration in accordance with 46 CFR part 221:
(1) Placement of the vessel under foreign registry;
(2) Operation of the vessel under the authority of a foreign
country; and
(3) Sale or transfer of an interest in or control of the vessel from
a citizen, as defined in section 2 of the Shipping Act, 1916 (46 U.S.C.
app. 802), to a person not a citizen within the meaning of section 2 of
that act.
(b) A Certificate of Documentation may not be issued for a vessel
which subsequent to the last issuance of a Certificate of Documentation
has undergone any transaction listed in paragraph (a) of this section,
even if the owner meets the citizenship requirements of this subpart,
unless evidence is provided that the Maritime Administration approved
the transaction.
(c) The restriction imposed by paragraph (b) of this section does
not apply to a vessel identified in Sec. 67.11(b).

[Sand crab]

Montanan, Section 67-39 seems to give the loophole for non-citizens. This page talks about the details.
https://www.marlinmag.com/foreign-ci...g-boats-in-us/


PS I miss Bozeman.

[Dave852]

There are many country’s that offer registration of convenience, the US is not one of them. Contact these folks and they will hook you up with a country. https://www.registeryourboat.com/contact.html