2 | 2007 - International Yacht Centre

IYC:
You have been working in finance consultancy for 20 years.
Why are your services particularly interesting for yacht owners
and customers?
Michael Rüttger:
With 20 years experience and a portfolio of over 25 banks and lease
companies the finance consultancy Michael Rüttger is a leading bank
independent provider of financing solutions. Through numerous banking
and leasing partners the customer gains access to the most innovative
financing solutions available. For a little while now there has also been
the option of financing solutions using the EURIBOR that offers the
customer high flexibility at low interest rates. Through the Swiss Franc
loans customers have also been able to enjoy considerable exchange
rate profits.
IYC:
Since when have you been using your knowledge in the area
of yacht financing?
Michael Rüttger:
Since 1987. Upon request it is also possible to work with the house bank
or the investment consultant of the owner to achieve a custom-made
financing concept. Sensible financing and leasing solutions are more than
just a low interest rate. We advice from the early stages and accompany the
new boat owner during the new built stages or the purchase of their
yacht. We also offer solutions for refinancing to gain access to assets.
For boat dealers we offer financing solutions for purchases through our
banking partners and are responsible for the financing of many yachts
during boat shows. In the classic loan sector terms of 1 to 12 years are
possible. In these cases the customer will be able to choose between
varying interest rates or to secure a currently favourable interest rate
for the next 2, 5 or even 10 years a fixed interest rate. Naturally, some
banking partners will also offer us the option of unlimited unscheduled
repayment of loans. Apart from the Euro there are also options for
loans in other currencies, such as the Swiss Franc, US Dollar or the
Pound Sterling. The customer should be aware of exchange rate risks
but also of exchange rate profits.
IYC:
In the past years there has been a lot of talk about Italian Leasing.
Rumour has it that the owner using this model of saving on
VAT can make considerable long-term savings when buying a boat.
What does Italian Leasing exactly mean?
Michael Rüttger:
You could compare it to your car leasing models. Not the owner is
proprietor of the yacht but the lease company. The owner leases the
object for three years to max. 7 years and pays Italian VAT on the
monthly leasing rate. The tax is dependent on the length of the yacht and
for yachts over 24 metres this equates to 6 % and is thus considerably
below the current German VAT of 19 %. The Italian Leasing Model is
particularly interesting for private individuals.
76
COMPETENCE
THROUGH
EXPERIENCE
THE FINANCE CONSULTANCY MICHAEL RÜTTGER
OFFERS YOU PLAUSIBLE FINANCING SOLUTIONS
FOR YACHT FINANCING AND YACHT LEASING.
Example for Italian Leasing:
Motor yacht Length Sailing yacht Length VAT
24,01 m – 24,01 m – 6 %
16,01 m – 24,00 m 20,01 m – 24,00 m 8 %
12,01 m – 16,00 m 10,01 m – 20,00 m 10 %
7,51 m - 12,00 m 7,51 m – 10,00 m 12 %
IYC:
Is the Italian Leasing still a rather exotic option or would
you say that this type of financing has become part of everyday
business for some banks? Do German finance companies offer
this model as well?
Michael Rüttger:
For some time it has been noticed that more and more banks are founding
special leasing companies to enter this profitable market. For the
owner there are already numerous foreign leasing companies that offer
a whole variety of different leasing models. German banks are currently
developing new options in order to be able to offer similar interesting
models. The Italian Leasing was definitely the forerunner and became
famous through particular marketing campaigns by the companies
involved. That said the Dutch Leasing is also gaining importance.
IYC:
Finally your take on the future of the German yacht market.
Will the Italian Leasing be the long-term winner and is the
German boat owner happier to invest than in 2003 or 2004?
Michael Rüttger:
We will continue to observe the market and check the different financing
and leasing models. I can already say that the present yacht owner
looks deeper into the subject of financing than in previous years.
Particularly the owners of larger yachts invest their assets into interestbearing
opportunities and finance their yacht using attractive financing
solutions. For boat dealers and owners it has become increasingly
important to consult an experienced partner when it comes to yacht
financing and leasing. Particularly as more and more financing companies
have been entering the market over the past months, hoping that
marketing campaigns will lead to synergy effects in the private customer
sector, but who have no experience in the field of yachts. With reference
to my company I would like to say: You will benefit from our long-time
experience in this market sector and from our ambition never to settle
for a standard solution but to always look at the needs of each individual.
To be a reliable partner is the motto that characterises our company.
I will personally guarantee that we aim to adhere to this motto.
IYC:
We thank you for this informative conversation.
When will we see you again?
Michael Rüttger:
I thank you and your readers and wish you the perfect start into the
coming boating season. Should you have any further questions I will
be very happy to assist. When will you see me again? During the
coming boat shows you can always reach me on +49 172 2909292.
We will be where you need us.