What is Yacht Finance?
A superyacht or mega-yacht is a large and luxurious pleasure vessel. There are no official or agreed-upon definitions for such yachts. But these terms are regularly used to describe professionally crewed motor or sailing yachts, ranging from 40 metres (130 ft) to more than 180 metres (590 ft) in length.
The lenders will finance the purchase of new build and second-hand yachts. Specialist yacht lenders are generally private banks or private wealth divisions of large international banks.
The borrowers are usually an offshore and Special Purpose Vehicle (SPV) companies.
The following topics need to be considered while purchasing/acquiring a superyacht:
- loan finance or finance leases
- tax and customs
- insurance, and
- enforcement of security
The nature of the yacht transaction is national as well as international. This means that the choice of available finance is wide. Therefore, it increases the complexity of finance options. Any yacht buyer can choose the level of finance sought, the security provided, the timing of repayments and the cost of servicing the debt.
Strategy Finance provides a comprehensive overview of the principal sources of superyacht finances and their main features.
Please note that we can only consider financing a yacht for 40 metres and above.
To discuss your financing options, please contact us directly.