Investing in a Boat Or Ship? Here’s Everything You Need To Know!
Ask the vast majority of people about their thoughts on buying a boat, and they will tell you it is a waste of your money. It’s one of those rumours that spreads throughout society, and is taken as Bible – but the reality is, it’s just another myth. Today, we’re going to take you through what to expect when you buy a boat,, and give you some tips on getting a great return on your investment. Let’s take a closer look.
The initial cost
OK, so buying a boat can be expensive – there is no denying that. But consider the fact that the vast majority of boat owners in the country earn household incomes of less than around £80,000 and you can see it isn’t a game for the astonishingly wealthy. A luxury yacht will set you back an incredible amount of money, of course, but you can pick up some genuine bargains if you are willing to set your sights a little lower. And, as any boat owner will tell you, the cost of your boat is actually a drop in the ocean to what you will spend on keeping it – more on which right now.
Maintenance and storage
As we mentioned above, the initial cost of your boat or ship tends to be far less than it costs to keep it. Mooring fees, real estate for storage, fuel – none of these are cheap. There’s boating insurance to consider, too, which can be incredibly expensive if you are using your boat for business purposes.
The first step in getting your boat seaworthy is to ensure it is up to scratch for current sailing rules. There are plenty of examples of this, as rules for boating and shipping are changing all the time. Let’s say you are using a ship for business purposes and have an electronic navigational display – or ECDIS. The International Hydrographic Organization (IHO) has introduced new standards which you need to meet to ensure your ECDIS offers you a complete solution to paperless navigation. Make sure you know about your responsibilities as a shipowner and carry out the relevant upgrades to ensure your boat or ship is complying with regulations.
Getting a return on your investment
Some boats depreciate naturally more than others – yachts, for example, as long as they are well cared for, can often enjoy less depreciation than you might think. But if you really want a better return, have a think about how you can use a boat to make money. They are incredibly valuable tools for starting a business, whether you want to start a small fishing business or just take people out for long, relaxing days out to sea. Tourists love the opportunity to head out onto the water on a boat, yacht, or even a tugboat. You’ll need to consider your liability, of course, and ensure you have the appropriate cover. But many boat and ship owners enjoy the returns that a full or part-time boating or shipping business can give.
Have you ever invested in a boat or ship? Let us know about your experiences and share the knowledge!