The International Yacht Charter Guide

Before choosing a yacht, decide what kind of holiday or trip you actually want.

Consider:

• destinations;
• number of guests;
• length of charter;
• type of yacht;
• activities;
• preferred level of formality;
• family requirements;
• nightlife;
• watersports;
• food preferences; and
• how much time you want to spend cruising.

A yacht chosen for island hopping in Greece may be very different from one selected for cruising the Caribbean, exploring Southeast Asia or entertaining guests during a major international event.

The best charter yacht is not necessarily the largest yacht within your budget.

It is the yacht best suited to the experience you want.

There are two fundamentally different approaches to yacht charter.

Crewed Yacht Charter

A crewed yacht is supplied with professional crew.

Depending upon the yacht, this can include:

• captain;
• deck crew;
• engineer;
• chef;
• stewardesses or stewards;
• watersports instructors; and
• other specialist crew.

The crew operate the yacht, maintain it, prepare meals, assist guests and help organise the charter.

For larger motor yachts and superyachts, professional crew are standard.

Bareboat Charter

A bareboat yacht is hired without professional crew.

The charterer is responsible for operating the yacht and normally needs to demonstrate appropriate qualifications and experience.

Bareboat charter is particularly common with sailing yachts and smaller motor yachts in established cruising areas.

Some operators also offer the option of hiring a skipper or other crew separately.

If you want a holiday where somebody else takes responsibility for operating the yacht, choose a crewed charter.

Each offers a different experience.

Motor Yachts

Motor yachts generally provide:

• greater speed;
• substantial accommodation;
• extensive outdoor space;
• sophisticated entertainment systems;
• water toys; and
• the ability to cover greater distances during a charter.

They can be ideal for guests wanting to visit several destinations during a relatively short period.

Sailing Yachts

Sailing yachts offer a more traditional experience and can provide an exceptional sense of travelling under sail.

They appeal particularly to guests who enjoy the experience of sailing itself rather than simply using the yacht as transportation between destinations.

Catamarans

Catamarans can provide:

• large living areas;
• excellent deck space;
• relatively shallow draught;
• stability; and
• easy access to the water.

They are especially popular in island destinations.

Your choice should reflect how you want to spend the charter rather than simply which yacht looks most impressive.

Passenger capacity is not determined solely by how many beds physically exist.

Commercial charter yachts operate under regulations applicable to their flag, certification and operating area.

Many large yachts commonly accommodate up to 12 charter guests, although some yachts are certified for more.

Smaller yachts may accommodate considerably fewer.

Always check:

• maximum overnight guests;
• cabin configuration;
• number of double and twin cabins;
• convertible cabins;
• children's arrangements; and
• maximum guests permitted while cruising.

Never assume additional guests can simply sleep on sofas or temporary beds.

Cabin configuration matters, particularly for groups.

A yacht might offer:

• master suite;
• VIP cabin;
• double cabins;
• twin cabins;
• convertible double/twin cabins;
• Pullman berths; and
• family arrangements.

A yacht with five cabins does not necessarily work equally well for five couples, two families or a multi-generational group.

Tell the broker exactly who is travelling.

The right cabin arrangement can be more important than an additional few metres of yacht length.

The advertised weekly charter rate does not usually represent the final amount you will spend.

On many crewed yacht charters, the base charter fee principally covers:

• use of the yacht;
• normal yacht equipment;
• crew services; and
• the yacht's standard operating availability during the charter.

Additional expenses can include:

• fuel;
• food;
• beverages;
• marina fees;
• local taxes;
• communications;
• shore transport;
• special requests; and
• other charter-related expenditure.

The exact inclusions vary according to the yacht and charter terms.

Always ask for a clear explanation of what is and is not included.

On many luxury yacht charters, guests pay an Advance Provisioning Allowance, commonly known as APA.

APA is money provided in advance to cover expenses incurred on behalf of the charter party during the charter.

Typical expenses can include:

• yacht fuel;
• tender fuel;
• food;
• beverages;
• marina fees;
• port charges;
• communications;
• special supplies; and
• other requested expenses.

The captain manages the APA and maintains accounts during the charter.

At the end of the charter, the accounts are normally reconciled.

If less than the amount advanced has been spent, the remaining balance is returned.

If expenditure exceeds the amount available, the charterer may be asked to provide additional funds.

APA is therefore not normally an additional fee retained by the yacht owner. It is an advance against actual charter expenses.

APA requirements differ according to yacht, charter agreement, cruising area and intended use.

For many larger crewed yacht charters, it is commonly calculated as a percentage of the base charter fee.

However, there is no universal percentage suitable for every charter.

Fuel-intensive itineraries, extensive use of tenders or water toys, premium food and wine, expensive marinas or significant cruising distances can all increase expenditure.

Your broker should provide the applicable APA requirement for the specific yacht.

Taxes on yacht charter vary significantly around the world.

Depending upon where the charter takes place, taxes may include:

• VAT;
• GST;
• sales tax;
• charter tax;
• tourism taxes; and
• local operating charges.

Different countries — and sometimes different regions within countries — can apply different rules.

Tax treatment may also depend upon:

• where the charter begins;
• where it ends;
• where the yacht cruises;
• the yacht's commercial status;
• the duration of the charter; and
• applicable local legislation.

Never assume that because one Mediterranean charter attracted a particular VAT rate, another charter elsewhere will be taxed in the same way.

The applicable tax should be confirmed for the specific booking before the charter contract is signed.

The Mediterranean remains one of the world's largest yacht charter regions.

Popular areas include:

• French Riviera;
• Monaco;
• Italian Riviera;
• Sardinia;
• Sicily;
• Amalfi Coast;
• Balearic Islands;
• Croatia;
• Greece;
• Turkey; and
• Montenegro.

Each destination offers a different style of charter.

Some focus on glamorous ports, restaurants and nightlife.

Others offer quieter anchorages, historic towns, islands and remote bays.

Regulatory and tax arrangements are not identical across Mediterranean countries, so the yacht must be authorised to conduct the intended charter in the relevant area.

The Caribbean offers numerous distinctive cruising regions.

Popular areas include:

• British Virgin Islands;
• US Virgin Islands;
• Antigua;
• St Martin / Sint Maarten;
• St Barths;
• Grenadines;
• Bahamas;
• Grenada; and
• other island groups.

Distances, customs procedures, charter regulations and seasonal weather conditions vary between destinations.

Some itineraries may cross national borders during a single charter.

Your captain and charter broker will normally structure the itinerary around the yacht's operational permissions and local entry requirements.

The Middle East is an increasingly significant yacht destination.

Dubai, Abu Dhabi and other Gulf destinations offer modern marinas, events, coastal cruising and warm-weather boating.

Charter regulations and operating permissions vary by country and can differ substantially from European arrangements.

Climate should also be considered.

Seasonal temperatures can have a major influence on when a charter is most comfortable.

Asia offers some extraordinary charter destinations.

These include areas of:

• Thailand;
• Indonesia;
• Malaysia;
• Singapore;
• Japan;
• Maldives;
• Philippines; and
• other parts of Southeast and East Asia.

The region is extremely diverse.

Infrastructure, charter regulation, climate, cruising distances and yacht availability can differ significantly.

Some locations are established international charter markets while others are more remote and expedition-oriented.

Local knowledge becomes particularly valuable.

Australia, New Zealand and the wider South Pacific provide enormous variety.

Potential cruising areas include:

• Whitsunday Islands;
• Great Barrier Reef;
• Sydney;
• New Zealand;
• Fiji;
• French Polynesia; and
• other Pacific island groups.

Long distances and remote cruising can make yacht capability, range and provisioning particularly important.

Entry, customs and commercial charter regulations should always be considered when crossing jurisdictions.

Yacht charter is highly seasonal.

The ideal period depends upon destination.

Factors include:

• temperature;
• rainfall;
• hurricanes or cyclones;
• prevailing winds;
• sea conditions;
• major events;
• school holidays;
• local festivals; and
• peak tourism periods.

High season generally means greater demand and potentially higher charter rates.

Shoulder-season charters can sometimes provide:

• quieter anchorages;
• greater yacht availability;
• more flexible itineraries; and
• attractive pricing.

But weather needs to be considered carefully.

One week is common, but there is no universal ideal duration.

Shorter charters can work well for:

• events;
• weekends;
• celebrations; and
• compact cruising areas.

Longer charters allow a more relaxed itinerary and greater exploration.

When comparing duration, remember that embarkation and disembarkation times mean a seven-day charter is not necessarily seven complete 24-hour days aboard.

Check the exact contract times.

One of the major benefits of yacht charter is flexibility.

You can normally discuss a preferred itinerary with your broker and captain.

However, a yacht charter is not the same as booking a fixed cruise-ship schedule.

The itinerary can be affected by:

• weather;
• sea conditions;
• port availability;
• berth availability;
• regulations;
• distance;
• fuel;
• yacht capability; and
• safety.

The captain ultimately has responsibility for the safe operation of the yacht.

That means an itinerary should be treated as an intended plan rather than an absolute guarantee that every destination will be visited.

Trying to visit too many places can reduce enjoyment.

A yacht provides the freedom to move — but constantly moving means less time swimming, dining ashore, using water toys or simply relaxing.

Discuss:

• preferred cruising speed;
• distances;
• fuel implications;
• travel time; and
• what you want to do ashore.

Often, the best itinerary involves fewer destinations and more time enjoying them.

The captain is responsible for the safety of the yacht, guests and crew.

This means the captain may need to change an itinerary, delay departure or refuse a particular activity when conditions make it unsafe.

This is not a failure to provide the charter.

It is an essential part of professional yacht operation.

An experienced captain can normally suggest an alternative that preserves as much of the intended experience as possible.

Food is a major part of many crewed yacht charters.

Before the charter, guests are normally asked about:

• dietary requirements;
• allergies;
• favourite foods;
• disliked foods;
• preferred cuisine;
• children's meals;
• breakfast preferences;
• snacks;
• wine;
• spirits;
• soft drinks; and
• special celebrations.

This information helps the chef provision the yacht specifically for your party.

Be accurate and detailed.

It is far easier for the crew to prepare properly before embarkation than to source unusual items after the charter has begun.

Before many luxury yacht charters, the lead charterer receives a preference questionnaire.

Take it seriously.

It can cover:

• food;
• drinks;
• allergies;
• cabin arrangements;
• preferred activities;
• music;
• celebrations;
• medical considerations;
• airport transfers;
• watersports;
• itinerary preferences; and
• special requests.

The purpose is to allow the crew to personalise the experience.

The more useful information you provide, the better prepared they can be.

Tell the broker and crew about significant food allergies or other important medical requirements before embarkation.

A yacht may be hours from specialist facilities.

The crew need enough information to provision and plan appropriately.

Guests should also carry necessary personal medication and check any relevant travel or medical requirements for the countries being visited.

Many charter yachts carry a considerable selection of recreational equipment.

Depending upon yacht and jurisdiction, this can include:

• jet skis;
• SeaBobs;
• paddleboards;
• kayaks;
• wakeboards;
• waterskis;
• inflatables;
• snorkelling equipment;
• diving equipment;
• e-foils; and
• tenders.

Check the yacht's actual equipment list rather than assuming all yachts carry the same toys.

Some activities may require licences, qualifications, local permits or crew supervision.

If scuba diving is important, establish whether:

• the yacht carries dive equipment;
• qualified dive personnel are aboard;
• diving is offered directly from the yacht;
• local regulations permit it;
• external dive operators are required; and
• certification is needed.

A yacht advertised as carrying diving equipment does not necessarily operate as a fully equipped dive yacht.

Discuss requirements before booking.

Yacht charter can be exceptionally good for families.

But different yachts suit children differently.

Consider:

• rail heights;
• staircases;
• deck arrangements;
• swimming access;
• cabin location;
• water toys;
• crew experience with children; and
• age restrictions on particular activities.

Tell the broker the ages of children travelling.

A yacht suitable for teenagers may not be the best choice for toddlers.

Yachts vary enormously in accessibility.

Stairs between decks, passerelles, tenders and bathing platforms can create difficulties for guests with reduced mobility.

If anybody in the party has mobility requirements, discuss them before selecting the yacht.

Do not rely on photographs alone.

A broker familiar with the yacht can help identify whether it is realistically suitable.

Some yachts allow pets and others do not.

Even where the owner permits them, moving animals between countries can involve:

• veterinary documentation;
• vaccinations;
• microchips;
• quarantine restrictions; and
• local entry requirements.

Never assume a pet can simply join an international charter.

Check both yacht policy and destination regulations well in advance.

Smoking policies vary.

Many yachts prohibit smoking inside but permit it in specifically designated exterior areas.

Some yachts may prohibit it entirely.

Vaping may also be subject to yacht-specific rules.

Confirm before booking if this is important to anybody in the group.

Many modern charter yachts provide internet connectivity.

However, coverage and performance vary depending upon:

• cruising area;
• satellite system;
• mobile networks;
• equipment aboard; and
• data arrangements.

If you need reliable connectivity for business, video conferencing or large data transfers, tell the broker before selecting the yacht.

Do not assume "Wi-Fi" means the same level of connectivity you would have at home or in an office.

Yacht storage can be limited compared with hotel rooms.

Soft luggage is generally much easier to store than large rigid suitcases.

Useful items can include:

• swimwear;
• casual clothing;
• sun protection;
• sunglasses;
• lightweight footwear;
• evening clothing appropriate to your destination;
• medication;
• travel documents; and
• chargers.

Many yachts ask guests not to wear outdoor shoes aboard.

Luxury yacht charter is generally much less formal than many first-time guests expect.

Guests are responsible for ensuring they have the appropriate travel documents.

Depending upon itinerary, this may include:

• passport;
• visa;
• electronic travel authorisation;
• immigration documents;
• vaccination documentation; and
• other entry requirements.

A charter crossing several countries may involve multiple immigration or customs procedures.

Requirements depend on nationality as well as destination.

Check official government requirements before travelling.

A professional charter should be governed by a written agreement.

The contract normally sets out matters including:

• yacht;
• charter dates;
• embarkation location;
• disembarkation location;
• charter fee;
• payment schedule;
• operating expenses;
• cancellation terms;
• responsibilities of owner and charterer;
• cruising area;
• guest numbers; and
• other conditions.

Read it.

For a high-value charter, the contract can represent a very substantial financial commitment.

Ask questions before signing if any provision is unclear.

Payment structures vary.

A charter commonly involves an initial payment when the agreement is signed and a remaining balance before the charter begins.

APA, taxes and other charges may also become payable before embarkation.

Exact terms depend upon the charter agreement.

Be cautious about sending substantial funds without verifying who you are dealing with and ensuring the booking and payment instructions are legitimate.

High-value yacht charters can attract fraud.

Protect yourself.

Before transferring money:

• verify the broker or charter company;
• independently confirm bank details;
• be suspicious of unexpected changes in payment instructions;
• check the yacht is genuinely represented;
• use recognised professionals; and
• query prices that appear unrealistically low.

Email accounts can be compromised.

If bank details suddenly change, verify them independently using a known telephone number rather than simply replying to the email.

Cancellation arrangements are determined by the charter agreement.

A charterer who cancels may not automatically receive a refund.

The outcome can depend upon:

• contract terms;
• timing;
• reason for cancellation;
• whether the yacht can be rebooked; and
• applicable law.

For an expensive charter, consider appropriate travel or cancellation insurance.

Professional charter contracts generally address circumstances in which the yacht becomes unavailable because of mechanical problems, damage or other events.

Possible outcomes may depend upon the agreement and circumstances and can include:

• delayed embarkation;
• substitution where possible;
• proportional refund; or
• cancellation.

The precise rights of the parties depend upon the contract.

Poor weather does not automatically create a right to cancel a yacht charter.

Weather is inherently part of boating.

The captain may alter the itinerary or remain in a protected location if conditions make the intended route unsafe.

This is another reason to approach yacht charter with some flexibility.

Sometimes an alternative destination recommended by the captain becomes one of the highlights of the charter.

The yacht owner should maintain the yacht's required commercial insurance.

Guests should separately consider their own:

• travel insurance;
• cancellation cover;
• medical insurance;
• personal property cover; and
• activity-specific insurance where appropriate.

Charterers should not assume the yacht's insurance replaces their own travel protection.

Crew gratuities are customary in many yacht charter markets but conventions vary around the world.

They are generally discretionary and should reflect the service received.

There is no single global percentage that applies to every yacht or destination.

Your charter broker can explain the customary practice in the relevant market.

Where a gratuity is given, it is commonly presented to the captain for distribution among the crew according to the yacht's normal procedure.

Professional yacht crew can work very long hours during charter.

They may begin preparing breakfast before guests wake and continue working long after dinner.

Guests should respect:

• crew working areas;
• safety instructions;
• rest requirements;
• yacht procedures; and
• professional boundaries.

Excellent charter experiences work best when there is mutual respect between guests and crew.

Privacy is one of the attractions of chartering a yacht.

If confidentiality is particularly important, discuss it before booking.

High-profile guests may need additional arrangements relating to:

• photography;
• social media;
• communications;
• security;
• visitors; and
• shoreside activities.

Professional yachts are accustomed to respecting guest privacy.

Do not assume that friends can simply arrive at the yacht.

Visitor numbers can be affected by:

• yacht certification;
• insurance;
• port regulations;
• security;
• crew requirements; and
• local law.

Ask the captain before inviting anybody aboard.

This is particularly important during major events and when yachts are berthed in controlled marina areas.

Yachts are frequently chartered around:

• yacht shows;
• film festivals;
• major sporting events;
• exhibitions;
• corporate hospitality;
• product launches; and
• celebrations.

An event charter can be quite different from a conventional cruising holiday.

Important considerations can include:

• berth availability;
• event credentials;
• guest capacity;
• catering;
• security;
• shore access;
• branding;
• audio-visual requirements; and
• local event regulations.

Book well in advance for major international events.

Sometimes.

This is known as a one-way or repositioning charter.

Whether it is possible depends upon:

• yacht location;
• commercial permissions;
• customs;
• immigration;
• tax;
• distance;
• subsequent bookings; and
• owner approval.

Additional repositioning costs may apply.

Discuss the intended itinerary before requesting the contract.

Yachts sometimes need to move from one cruising area to another.

A charter that fits that movement can occasionally be offered on attractive terms.

However, repositioning charters can involve:

• longer passages;
• less itinerary flexibility;
• fixed dates;
• fixed start/end points; and
• more time underway.

They can represent excellent value for guests whose plans match the yacht's schedule.

The same yacht can have different rates depending upon:

• season;
• destination;
• demand;
• major events;
• Christmas and New Year;
• availability; and
• other factors.

A published "from" price should therefore not be assumed to apply to every week of the year.

Always request the rate for your exact dates and destination.

For maximum choice, earlier is generally better.

This is particularly important for:

• Christmas and New Year;
• Mediterranean peak summer;
• major events;
• popular yachts;
• large family groups; and
• specific cabin requirements.

Last-minute availability can exist, but relying on it reduces your choice.

A professional charter broker can help:

• identify suitable yachts;
• compare options;
• understand charter costs;
• check availability;
• explain contracts;
• coordinate preferences;
• assist with itineraries; and
• communicate with the yacht before embarkation.

A broker should be representing your requirements rather than simply pushing whichever yacht appears first in a search.

Explain what matters to you rather than merely requesting "a 40-metre yacht."

Before confirming a yacht, ask:

1. Is the yacht legally available for charter in my chosen cruising area?
2. What exactly is included in the charter fee?
3. What is the APA or expense arrangement?
4. What taxes apply?
5. What is the cabin configuration?
6. How many guests can sleep aboard?
7. What water toys are available?
8. Is internet connectivity suitable for my needs?
9. Does the crew have experience with children if relevant?
10. Are pets permitted if relevant?
11. What is the proposed itinerary?
12. How much cruising is involved?
13. Are marina fees likely to be significant?
14. What food and beverage information is required?
15. What cancellation terms apply?
16. What insurance should I arrange?
17. What is the customary gratuity practice?
18. Are there restrictions on visitors?
19. Can the yacht accommodate any mobility or medical requirements?
20. Who should I contact if something changes before the charter?