Letting a friend use my boat for charter -- good idea? - SailNet Community
Reply
 
LinkBack Thread Tools
post #1 of 19 Old 08-31-2011 Thread Starter
Glad I found Sailnet
 
Bene505's Avatar
 
Join Date: Jul 2008
Posts: 3,816
Thanks: 14
Thanked 51 Times in 50 Posts
Rep Power: 8
   
Letting a friend use my boat for charter -- good idea?

A friend of mine had his Catalina 38 hit by lightening 9 days ago. He was using the boat to run charters and he was making money.

We've been discussing his using my boat until the end of the season. He offered a 50/50 deal, using his website, advertising, etc.

I'm confident in his sailing ability and would like to help him out. And making a few bucks would be good. Yes, I would have to change our insurance. What are the drawbacks to doing this? What do you think?

Regards,
Brad

.
.
Great minds discuss ideas;
Average minds discuss events;
Small minds discuss people.
.
The best minds discuss sailing (and a little bit of politics). I don't know why. It's a mystery!
.
Bene505 is offline  
Quote Quick Reply Share with Facebook
Sponsored Links
Advertisement
 
post #2 of 19 Old 08-31-2011
Just a Member
 
primerate84's Avatar
 
Join Date: Jun 2006
Posts: 272
Thanks: 0
Thanked 0 Times in 0 Posts
Rep Power: 10
 
Get a contract drafted that addresses all the possible problems (such as damage to the boat, mechanical failures, etc.) that could occur and who has the liability, etc. I would hire a good lawyer to do the document and make sure you're protected. The quickest way to lose a friend will be a disagreement concerning the business arrangement you are about to enter into.
primerate84 is offline  
Quote Quick Reply Share with Facebook
post #3 of 19 Old 08-31-2011
Senior Member
 
Join Date: Feb 2007
Location: New Jersey
Posts: 2,181
Thanks: 6
Thanked 63 Times in 62 Posts
Rep Power: 9
 
Is it bareboat?? or captained? charters..

Either way..I think you have to face:

Wear and tear on your boat all systems.
Broken stuff
Higher insurance costs
Wear and tear on your engine...

It's my belief that the cost/benefit ratio is not going to be a good one...Unless you're getting top dollar for the boat rental. I've turned down this kind of offer many times...no one will care for your boat as much as you do.

Tempest
Sabre 34
Morgan, NJ

Last edited by Tempest; 08-31-2011 at 04:17 PM.
Tempest is offline  
Quote Quick Reply Share with Facebook
post #4 of 19 Old 08-31-2011 Thread Starter
Glad I found Sailnet
 
Bene505's Avatar
 
Join Date: Jul 2008
Posts: 3,816
Thanks: 14
Thanked 51 Times in 50 Posts
Rep Power: 8
   
I need to clarify...

He does sunset cruises, charging $59 per person. Also does 2 hour sails mornings and afternoons too.

While $59 may be good for a ride on a old 38 footer that is very beat-up, our boat is a nearly pristine 50 footer.

(For reference, BillyRuffn is pristine. Scott has that boat shining and sparkling.)

Regards,
Brad

.
.
Great minds discuss ideas;
Average minds discuss events;
Small minds discuss people.
.
The best minds discuss sailing (and a little bit of politics). I don't know why. It's a mystery!
.

Last edited by Bene505; 08-31-2011 at 06:34 PM.
Bene505 is offline  
Quote Quick Reply Share with Facebook
post #5 of 19 Old 08-31-2011
Senior Member
 
jackdale's Avatar
 
Join Date: Dec 2008
Location: Calgary, AB, Canada
Posts: 9,028
Thanks: 27
Thanked 59 Times in 56 Posts
Rep Power: 7
 
Check with your insurance company.

__________________
ISPA Yachtmaster Offshore Instructor Evaluator
Sail Canada Advanced Cruising Instructor
IYT Yachtmaster Coastal Instructor
ASA 201, 203, 204, 205, 206, 214
As I sail, I praise God, and care not. (Luke Foxe)
jackdale is offline  
Quote Quick Reply Share with Facebook
post #6 of 19 Old 08-31-2011
Senior Member
 
Join Date: Feb 2007
Location: New Jersey
Posts: 2,181
Thanks: 6
Thanked 63 Times in 62 Posts
Rep Power: 9
 
Well, that's somewhat...better than people living aboard for days at a time..

So, what is the traffic like? he can only take 6 people out at a time..
I'm assuming that you don't have an inspected vessel.

Best case scenario..18 passengers per day? you get $500.00 day.. less if he doesn't fill the boat.... is he covering the bump to your insurance, or is that out of your cut ?

The fact that you're considering it I'll assume he's a good friend and you trust his skills...
it could help defray some of your annual costs....

If you declare the income though.....Uncle Sam will want his cut....How's he going to expense the rental?..... Rhetorical...I don't need to know....just things I bump into..when considering this stuff..

Tempest
Sabre 34
Morgan, NJ
Tempest is offline  
Quote Quick Reply Share with Facebook
post #7 of 19 Old 08-31-2011
Member
 
Undadar's Avatar
 
Join Date: Mar 2011
Posts: 83
Thanks: 0
Thanked 0 Times in 0 Posts
Rep Power: 5
 
I've seen "partnerships" work a couple of times and I've seen them not work many dozens of times. Either the money would have to be very good or I would have to be in a situation where I was not using my boat and it was do this or sell it.

I concur with the advice to document every possible scenario and how it will be handled else it will not end well (for you).

JdFinley.com | Sailing, development, and life with JD
You can observe a lot just by watching.
Undadar is offline  
Quote Quick Reply Share with Facebook
post #8 of 19 Old 08-31-2011
Last Man Standing
 
smackdaddy's Avatar
 
Join Date: Aug 2008
Posts: 14,364
Thanks: 147
Thanked 131 Times in 124 Posts
Rep Power: 9
     
I'd say if you're cool with a certain level of problems, damage, neglect, and head-shaker behavior - it may not be a bad way to make back some coin on your boat.

Just get a good agreement on paper so you don't have to deal with too much of the above. You'll be surprised how far people can push all of the above.


To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.


To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.

S/V Dawn Treader - 1989 Hunter Legend 40
smackdaddy is offline  
Quote Quick Reply Share with Facebook
post #9 of 19 Old 08-31-2011
ASA and PSIA Instructor
 
Join Date: Apr 2000
Posts: 3,557
Thanks: 7
Thanked 24 Times in 24 Posts
Rep Power: 16
 
As Jackdale says above, check with your insurance company. I suspect the idea will die with the one phone call. Most insurers will not cover a charter of a vessel, let alone a charter to a day-sailing business.

Certified...in several regards...
sailingfool is offline  
Quote Quick Reply Share with Facebook
post #10 of 19 Old 09-01-2011
Senior Member
 
imagine2frolic's Avatar
 
Join Date: Aug 2008
Posts: 1,830
Thanks: 0
Thanked 1 Time in 1 Post
Rep Power: 7
 
I wouldn't, but if you decide to. Let him pay the insurance deal. He is already paying his own, and he can transfer it........i2f

20 MPH ain't fast unless, you do it in a 1000sq 3/2 house on 10foot waves
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.


BORROWED, No single one of us is as smart as all of us!
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.



To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
imagine2frolic is offline  
Quote Quick Reply Share with Facebook
Reply

Quick Reply
Message:
Options

Register Now



In order to be able to post messages on the SailNet Community forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.
Please note: After entering 3 characters a list of Usernames already in use will appear and the list will disappear once a valid Username is entered.


User Name:
Password
Please enter a password for your user account. Note that passwords are case-sensitive.

Password:


Confirm Password:
Email Address
Please enter a valid email address for yourself.

Email Address:
OR

Log-in









Human Verification

In order to verify that you are a human and not a spam bot, please enter the answer into the following box below based on the instructions contained in the graphic.




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Show Printable Version Show Printable Version
Email this Page Email this Page



Similar Threads
Thread Thread Starter Forum Replies Last Post
in a storm... good or bad idea to... jobi Learning to Sail 14 07-05-2010 04:58 PM
Who thought this was a good idea? flyingwelshman General Discussion (sailing related) 14 04-08-2010 07:19 AM
Sailing community loses a good friend (Whidbey News-Times) NewsReader News Feeds 0 08-02-2006 11:15 AM
a good food idea Tegolin Provisioning 1 06-25-2005 07:47 PM

Posting Rules  
You may post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Trackbacks are On
Pingbacks are On
Refbacks are On

 
For the best viewing experience please update your browser to Google Chrome