ONBOARD Magazine autumn 2023

The buyer’s journey
FINANCE
Andrew Wilson, Head of Aviation and Marine, ZEDRA, Isle of
Man, looks at the points to consider if you’re relocating your
yacht from the Mediterranean to the Caribbean this autumn
The Mediterranean marinas from Kalamata to Capri to Ibiza
have thinned out as work and school resume and summer
yields to autumn. The sensible option is to ship your yacht
across the Atlantic, however if you’re planning to cross under
your own propulsion – either for chartering or for the winter
holidays – below are tips to consider before crossing.
SAFETY
It can take about two weeks to do a transatlantic crossing.
First, ensure the seaworthiness of your yacht and make sure
you’re in compliance with safety regulations, the Atlantic can
be tough on the yacht and crew. Lock down all moveable items
from furniture and galley items to anything else that can move.
Loose items can fly around during rough seas and hurt a crew
member, damage your yacht, or both.
PREPAREDNESS
Crew
Have your crew confirm they are well prepared and discuss their
plan in as much detail as possible. Determine whether your
regular crew or a delivery crew will do the crossing. You won’t
need a full crew, but you will need a sufficient level of coverage to
operate safely. Make sure your crew are certified and insurers
well informed of any crew changes.
Navigation
Your captain will take weather forecasting, currents, and a fuel
stop into account as part of the route planning process. The
route from the Mediterranean to the Caribbean is through the
Strait of Gibraltar and then westward across the Atlantic Ocean
to the Caribbean. Some crews may stop at the Canary Islands,
Cape Verde or the Azores to fuel-up and break up the journey.
The typical time of year for these crossings is mid to late autumn,
which is the end of the hurricane season. Make sure crew monitor
weather to avoid hurricane and storm activity. And ensure that
your yacht’s technology and navigation systems are in top form.
Also, make sure there are up-to-date emergency plans in place
and agreed with insurers.
Fuel stop(s)
Remember to contact the fuel provider and schedule your fuelling
appointments well before the journey begins and build any stops
into your itinerary. If fuel quality is a concern, have it validated
as quality can vary around the world. Plan this aspect of the
journey out carefully and build in a contingency plan.
Insurance
Make sure the route you’re planning to take is covered by your
insurance policy. A simple read through the policy wording and
geographic coverage will suffice. However, it’s crucial to share
your itinerary with your insurance broker before the voyage so
there is awareness and underwriters confirm cover. In the event
of an insurance claim you will have comfort that full disclosure
was made at the outset. Speak with your insurance broker to
ensure your regular insurance is appropriate coverage for the
crossing.
BUDGET
After the budget is finalised, make sure the committed funds will
be available to pay additional delivery crew, fuel, taxes (if any),
and operational costs. Note that fuel will be the single largest
expense item in your budget. It will be at least 20% of the total
budget, for regular fuel.
Also, if you plan to charter your vessel in the Caribbean, keep
in mind the time commitment needed to pack up on both ends
of the journey plus the time to do the crossing and make the
yacht ‘guest ready’. Cleaning required from the crossing will
take extra time. This time should also be backed out of earnings
projections for your chartered vessel.
TAXES & CUSTOMS
Depending on where the yacht is in the EU there could be a
customs export declaration to make for departing, and despite
the act of crossing the frontier from domestic to international
waters is well recognised and written into the EU Customs
Code, there is increased awareness to support this with a formal
customs declaration. The type of export declaration will depend
on the current status in the EU and future plans to return to
the EU or not.
In the Caribbean, charter taxes may be due depending on size
and cruising itinerary, a local agent is essential to avoid noncompliance,
your charter manager should know the rules locally.
This is not an operational cost but a consumer tax collected
from the charterer and paid to local authorities.
A transatlantic crossing is a significant undertaking. There are
multiple variables to be carefully managed. Make sure you have
an excellent crew, plan early, and incorporate safety into every
aspect of your planning.
Yacht ownership – regardless of yacht type –
is complex. Having the right partners on
hand who can support an owner with their
structuring needs is key.
For more details
Tel: +44 1624 850500
or visit www.zedra.com
ONBOARD | AUTUMN 2023 | 231