Purchasing a yacht is a very complex process, with many factors to consider before making the final decision. Involving professionals with extensive experience in yacht purchase and management not only helps you to make the right decision, but also allows you to create an ownership structure that optimizes your tax liabilities.
Contact Primus Wealth and let our professionals guide you through the whole process and put you in contact with experts who can ensure that you make the best possible choice when buying and operating your yacht.
Why purchase a private yacht?
Private yachts can offer the freedom, privacy and security high net worth individuals and families seek to relax and enjoy their time together while experiencing and savouring the unique lifestyle their wealth provides for.
What should you consider when purchasing a private yacht?
Many private yacht owners rented and sailed on different crewed vessels before arriving at the decision to purchase their own yacht. Leaving time for yourself to experience different vessels will support you greatly in making the right decision.
First you need to understand what type of yacht would best fit your needs for the destinations you plan to visit, and only afterwards make the decision to purchase a motor yacht, sailing yacht, or catamaran. Your performance, design and comfort needs are other factors that need serious consideration and assessment.
Setting a budget for both the purchase and the yearly operational and maintenance expenses is extremely important, and you need to make sure to forecast it properly. Purchasing a private yacht is a major investment, so you need to make sure that your choice is in line with your wealth plan, and you need a structure that optimizes your costs and your tax saving opportunities.
What is the best structure for owning a private yacht?
When deciding on the optimal ownership structure for your private yacht, you need to consider many factors. The optimal structure not only has to fit your wealth plan, but also ensure the most favourable taxation and VAT treatment both for the purchase and the operation of the vessel.
Limited liability companies are the most popular form of owning and operating a private yacht, but foundations, trusts and holding companies can also be the owners. Trusts, however, usually own the shares of the company that owns and operates the yacht.
Planning and executing the optimal ownership structure takes time and needs extensive knowledge and experience, so make sure to get your wealth manager involved at the very early stages. This way you can ensure that owning your private yacht will be a truly enjoyable and stress-free experience.
How long does it take to buy a private yacht and what is the process?
Purchasing a private yacht is a long procedure, especially if you are buying a new one. It usually takes 4 to 5 years to build a customised yacht. If you choose to buy a pre-owned vessel, you can enjoy sailing it in a much shorter time, but make sure you take the time to investigate your options and involve your wealth manager and other professionals to support you with all necessary information regarding, ownership, administration, registration, tax and VAT aspects of the purchase.