Of course. Navigare regularly offers SHORT TERM, where an investor may take over a pre-owned yacht at any of their locations and still gain the benefits of being a Navigare yacht investor. This is the perfect solution if an investor wants a short-term programme but still with the great returns on the initial investment.

The interest of the investor is formally noted on the registry of the yacht in the country of usage. It is therefore impossible for Navigare to pledge, raise a loan or sell the boat, or to change or cancel the registration without the authorisation of the investor. No other creditor can lay claim to the boat as the investor has first claim entitlement The parent company is Swedish and owns 100% of the subsidiaries. All contracts are under Swedish Law.

A frequently asked question, and Navigare are happy to accommodate this. There are a few small costs of registering the investor as the owner, and these are down to the investor. However, given that the net funds generated are therefore income, this route could open up a greater tax liability. It would be advisable to consult a tax specialist before opting to take this route.

All agreements are based on the investor receiving the boat either on their own volition (e.g. termination of contracts) or if something happens to Navigare. The priority lien on the boat is very strong, which in fact means that the investor would receive the ownership within a few weeks from the application date. The boat can never be subject to distraint when 110% of the value is pledged to the investor in the case when the investment is made as SMART or SMART LOW, there is an agreement between the investor and the bank who is financing the balance, which gives the investor the right to take over the contract and find another operator.

Again, not a problem. Navigare will reduce the guarantee return to 4%-8% and agree with you a split percentage of all charters that they take for your boat.

You can of course opt for a shorter period of charter. Given that Navigare can get greater income in the earlier years, and discount the latter years, a shorter period of investment will actually be beneficial to you, guaranteeing greater returns. You can ask for this to be built in at the start of your agreement
Alternatively, if, under the FULL FINANCE option, you wish to withdraw your boat during the term of the charter period, you may do so at the end of any one season, and it will be excluded from the following seasons, and you can sail off in your own boat without any further obligations for either party.

Yes, with the Complete Finance option through SGB Finance.

Absolutely! And once settled, your boat will remain there, unless a change is agreed mutually.

Not at all. Some charter companies will ship boats to the Caribbean for the European winter, but Navigare yachts finish their season, and are then serviced and winterised.

Unique to Navigare is a “real time” web portal called the Navigare Maintenance System (NMS) where you can log in and see all works that have been requested / done on your own boat. Be it a timely engine service or even the smallest of gelcoat repairs, everything is logged, so you not only get to see what is going on with your boat, but you also have a full service log when your boat finishes the charter period with Navigare.

For example, Navigare undertake to replace the mainsail and genoa of the yacht at least once during the charter period, albeit not necessarily at the same time.

The guaranteed payments by Navigare are split and itemised thus: 1% of the outstanding capital of the loan is paid as interest; the balance of the agreed amount is repayment of the remaining capital amount. You are advised to speak to your own tax adviser, but with this set-up, most investors are only liable to tax on the minimal interest section of the payments.

When an investor charters a boat, the local Navigare base has a tax liability for the VAT. This is split 50% has been agreed with customers authorities to be of the standard VAT rate. In addition, flights and transfers are also the investor’s own cost.

All of these are covered by Navigare for the duration of the agreement, as well as registration and Charter Certification. A generous sum is also set aside for maintenance during the charter period. Exacting Swedish standards, and an ethos to keep their boats in a tip-top state is the mantra here, and as a result, the boats operate better, and have a higher residual value at the end of the term. Detailed information of the service plan can be found in the initial sales agreement.

Navigare also insure against this loss of rent and third-party liability, so as to cover their commitments to their investors. No matter whether the issue is the boat being out of operation, regional politics or climate conditions.

Whilst Navigare has a proposed “best options” spec for each boat, they are happy to accommodate any specific options that you may have. Such options may add to your initial cost, whilst bringing no incremental return on your investment (e.g. a coloured hull), whereas other options are acceptable, but may reduce your income (e.g. a different cabin layout). There may even be options that you wish to have on your boat, but will only get added to the boat when you use it, and stored at all other times (e.g. Satellite communication). Prior to signing the final agreement, you will have some time with a Technical Manager from Navigare, who will go through all details of the boat to ensure the spec is accurate, full and to your satisfaction.

Absolutely. Your best return will be the Navigare standard, but if you want to elect for more or even less cabins, Navigare will accommodate this, albeit the guaranteed returns may vary.

As well as its own charter team, Navigare Moments, situated in Sweden, and Navigare Charter Sales, based in Zagreb, Navigare boats are marketed through 1,200 charter agents around the world who act as travel agents for the available boats.

No. The entire inventory is included within the original price of the boat

Navigare have found that dinghies & outboards do not last the entire term of the charter, so they are included within the charter spec, but excluded from your initial investment. You have the option to buy the one on your boat however, at the end of the charter term.

At the end of any investment period, the boat is yours and title is transferred to you. If this is to a private EU citizen, VAT will need to be paid on the reduced residual value Calculated based on the original price less the value of your holiday usage, usually 40% of the original price of the boat. Navigare and its partners such as Ancasta, will also broker the boat, should you wish to sell it on at the end of the agreement.

In certain circumstances, Navigare may also even offer an optional period of 1-4 years, but there is no compulsion to take this.

Should you wish to continue, Navigare will take your boat in part-exchange for a replacement boat, and agree with you a new term for a new boat. There are many investors already on their second and even third boats within the Navigare programme, some terms even cut short by mutual agreement, where the investor has decided to upgrade his boat during the first term.

Navigare have a “phase out” checklist prior to handover at the end of the charter period, so you know at the outset that your boat is coming back to you to a given standard.

Such figures are difficult to determine in advance, but Navigare sales tend to average out at 55% of the original purchase / investment price.