Yacht Management Guide
Yachting is a passion and it is an honor to share this love with the distinguished owners and talented Luna Yachting team. So you have a few hundred million dollars lying around and you want to buy a brand new yacht. With the purchase comes a number of responsibilities. But who has time as a Yacht Owner, right? This is exactly where a highly trained Yacht Management team comes into play, taking care of your yacht and serving you in every aspect.
A yacht management company can oversee a range of services such as safety, security, accounting, crew, technical support and operations. Depending on your budget, you can hire one company that will handle all of your superyacht management needs, or you can choose to hire separate experts on each subject.
In any case, yacht management is the best way to keep your boat in perfect condition without doing anything. If you're still not convinced, here's a closer look at yacht management.
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Yacht Manager Role
A yacht manager is in charge of the yacht. Major decisions and overall operation of the yacht are overseen by yacht managers, who are also the primary contacts that people like you, like the owners, turn to to report essential information.
However, you should make sure that your manager is a team player and a good leader. Must be able to multi-task and have excellent communication skills. These skills enable them to perform successful business management and oversee the safety and technical aspects of the operation and management of a yacht.
However, your yacht manager should be more than just a manager. Your yacht manager will need to have solid experience in the field, ideally a chief engineer, chief officer or a master sailor.
A chief officer is a licensed sailor for yachts, while a master sailor has a sailor's license who can handle all types of watercraft, especially superyachts.
Additionally, a yacht manager must have knowledge of ISM, ISPS, Port State Control and SOLAS codes, which cover safety measures and rules regarding marine vessels. Make sure the Yacht Management company is well-equipped with Flag State laws and regulations, for example the Cayman Islands.
Yacht Management Services
Yacht services will vary depending on the business you hire for yacht management. However, most businesses allow you to customize your superyacht management needs.
Your yacht management team can handle basic duties such as catering for parties, arranging charter routes with the captain's assistance, and financial expenses for boat maintenance, repairs, and other living expenses. Yacht services include safety and security personnel as well as a team to manage the technical aspects.
Boat crew management services handle everything from simple housekeeping to more important issues like budgeting and yacht insurance.
Yacht services offer all the food you'd expect from a hotel, except it's at sea. A Yacht Management company will take care of all the headaches and hassles that come with owning a luxury yacht so you don't have to worry about safety, crew, maintenance, insurance, inspections, category, flag regulation and compliance and the thousand and one other tasks handled behind the scenes on a daily basis. You can enjoy it without having to.
Yacht Financial Management
They take into account every yacht service performed by yacht management and crew. Repair and maintenance of the boat are two obvious costs. Others include general day-to-day operations for the boat and crew.
Creating a second bank account in a common currency (such as EUR) allows for more manageable payment for common transactions. Depending on your preferences, you can track all your expenses on a regular, monthly or annual basis. An in-house accountant can handle this, and yacht management businesses can assist with arranging offshore companies to operate the yacht.
A review of the cost and amount spent is also displayed to determine if the budget is being adhered to or if yacht maintenance will require more funds.
Maintaining tight control over the yacht's accounts is critical. Letting a professional accountant do this is also a smart idea for future verification and resale. To prepare for prospective buyers, a yacht broker will look for clean, up-to-date accounts.
SECURITY MANAGEMENT (ISM AND ISPS)
At sea, all marine vessels, including your yacht, must comply with safety regulations. The International Security Management (ISM) Code and the International Ship and Port Facility Security (ISPS) Code are the most important and your yacht manager should be familiar with both.
The International Maritime Organization (IMO) established the ISM Code to maintain a set of internationally accepted safety and pollution avoidance requirements. The ISPS Code, which is an annex to the Safety of Life at Sea Act (SOLAS), addresses basic safety criteria.
Governments and marine vessels (like your yacht) are expected to comply. If security criteria are not met, preventive steps are taken.
Technical Support Management
Technical support management covers all elements that ensure the safe operation of a boat. It includes maintenance and repair, repair and maintenance, scheduled servicing, purchasing of equipment and spare parts needed on board from suppliers, and outsourced captains and staff for safe yacht operation.
In the event of an injury, technical support personnel can provide the crew with a plan for each section of the ship and spare parts for repairs, as well as attempt to contact local coast guards or boats. This way, not only the Engineers and certified crew ensure the safety of the Yacht, but the technical management can also assist with different security solutions through a DPA (land-assigned person) whom the Vessel's crew can call for assistance 24 hours a day, seven days a week.
Yacht Planned Maintenance
Yachts, like any other piece of machinery, require regular maintenance to eliminate possible malfunctions and increase functionality. This is also known as planned maintenance. Since the dangers of boats at sea are significantly higher, yacht repairs must be thoroughly planned and organized to ensure as little downtime as possible. Longer planned maintenance periods are often carried out at local shipyards. Some yachts are returned to the original Boat Builder for warranty repairs or major alterations.
Superyacht management implements a strategy to guarantee that the safety and security of the yacht is always up to date and ready for guests.
Yachts are incredibly expensive luxury objects, but yacht insurance is necessary in the event of significant damage. Boat management businesses often have excellent relationships with various insurance brokers such as Lloyds and can help you get appropriate insurance for your yacht.
Crew Recruitment and Placement
Crewing agencies can manage the recruitment of qualified and experienced, certified and well-trained crew to ensure the safety of your yacht. Yacht management businesses may collaborate with crew recruitment agencies or have their own in-house staff to source crew appropriately.
The boat owner, captain or yacht manager should thoroughly interview and evaluate applicants for crew positions.
Crew Management and Payroll
Crew management is no simple task; Crew size varies from 15 to 100+ depending on the scale of the boat. Maintaining the crew's identity information as well as their payment and training. If you want the best service for your visitors, you will also want the best staff for your yacht, which is where we can help you discover the boat crew for your latest Superyacht.
Luxury Yacht Management
While buying a boat is simple, maintaining one is extremely difficult. As mentioned before, yacht charter management companies help you keep your boat in tip-top shape without taking on any of the day-to-day work.
As the owner, you can be as involved or distant as you want. But when you need your boat, the management prepares everything for you. On the other hand, luxury yacht management can be more expensive than buying a boat in the long run. Estimated expenses for a Yacht exceeding 60 meters can reach 10% of the purchase price. This includes operating costs of staff, maintenance, insurance and of course costly management.
Yacht Operations Management
Whether you're docked off the coast of St. Tropez or for the Monaco Grand Prix, as a yacht owner, anything that makes you and your boat look good falls under the purview of yacht operations management. The yacht management company you choose may have crew members who can speak different languages to support your guests with courtesy and conversation, or may have temporary staff available to accommodate your Charter or guest needs, such as barbers/hairdressers, masseuses, fitness instructors, etc.
Your crew must ensure that the presentation of the yacht is always flawless, which is why they work day and night to ensure everything is ready when you arrive on board. As a guide, an itinerary should be prepared and provided to everyone on the yacht. To enhance the whole experience, some members of the crew can provide information about the docks and local cities.
These are some of the essential tasks that a yacht facilities management team should be able to put together well in advance; security personnel can check locations and destinations in advance to ensure you and your guests have a perfect blue cruise experience.
Yacht Management Team
A yacht management team includes everyone working on the ship other than the owner. The yacht management team consists of all crew members of the yacht management – technical support management members, yacht maintenance engineers and specialists, finance and accounting members within the team, insurance brokers and the yacht manager or captain of the boat. Some work onshore, such as port support, shipyards, subcontractors, repair specialists and yacht builders, while others work onboard, such as crew.
For more information about yacht management, please contact us.