Originally Posted by wildtsail7

I think what I'm getting at is I'd much rather charter but of course they have to be available!


With what you say, a charter makes perfect sense for those who don't want to "lose" their boats for the season. Do dealers have the ability to carry 4-5 boats each model year for charters in their region?

I would suspect dealers can't tie up that kind of capital, but I guess they could get residual value upon selling when they buy the new model year. And charter parties would know they're getting excellent boats rigged up right....? Might solve some of the insurance issues as well...

5 boats @ $20k USD/boat = $100k

5 charters per year x 5 boats x $2500 per charter = $62,500 annual

Maintenance, delivery & Expense ($3,000) x 5 boats = $15,000

Residual value ($12,500) x 5 boats = $62,500

So:

Revenue - expenses =

(Charter revenue + Residual value) - (Purchase + Maintenance)

($62,500 + $62,500) - ($100,000 + $15,000) = $10,000 net


I guess the next questions are:
- are there 5 "charter-worthy" events in that region
- is $2,500 USD a reasonable price-point for a charter (new, race-ready, delivered to the regatta site)

It all looks so easy on the inner-net...


Jay