OFFSHORE YACHT REGISTRATION WHY AND WHERE TO REGISTER

YOUR YACHT?
Many people are registering their yacht offshore. But why? what that the benefits of offshore yacht registration?. Do
not hesitate to contact me at corporate@offshorepremium.com for more information on this matter

What are the benefits of an offshore flag?

Tax and Privacy

The first reason will of course be privacy and tax saving

Registration of a yacht under offshore flag will of course be cheaper in terms of registration costs, it will also
permit the owner to save on related taxes (including VAT)

Also there is the matter of confidentiality while some wealthy people like to show off and shows to the world that
they own a Yacht some owners are more discreet and prefer to remove the ownership of the Yacht from
themselves and prefer to create the appearance that they charter a yacht from time to time than to make know
than they owned one.

Labour issues
One of the main reason is actually labor issue. In many countries labor regulations will request that for example

at least 50% or more of the crew be composed of citizens of the registration countries

that the crew must benefits from the country of registration labor law and benefits
that the crew must have training minimum requirements

This will of course increase the cost of operation of the boat as a US or French captain will not cost the same than for
example a captain from the Philippines for example
Liabilities Issues
Then there is a question of liability.

In some countries crew members can sue the owner of the boat for any injuries sustained aboard wherever the
injuries occurred;

If you charter your yacht to a US customer and this customer is injured during the course of his stay on the boat
he could sue you in the USA for damage which would exceed even the value of the Yacht. So you better insulate
the ownership of the boat from yourself to avoid those consequences

Securities Issues

Finally in the current geopolitical context a flying the US or the French flag may actually put the passengers and
crew at risk in some unfriendly waters.

A harmless offshore jurisdiction flag may ensure much safer journey

What is the best country to register a Yacht?

There is not a jurisdiction that is per se better than another one. Panama, BVI, Cyprus, Hong Kong, Saint Lucia
etc Each jurisdiction has its advantages and drawbacks

Each destination comes with its own set of benefits for the yacht and the owner and it is just a matter to decide
which jurisdiction is more appropriate for you based on your requirements.

Some jurisdiction have for example additional benefits for example the BVI (British Virgin Island) comes with an
additional benefit which may be not negligible in those troubled times. While registration in the BVI will bring you
all the advantages of the offshore registration BVI is a member of the Commonwealth and the vessels flying the
BVI Red Ensign will be entitled to the support of the British Consular and High Commission and Royal Naval
protection.

How to register a yacht step by step?

The yacht Survey

Prior to the registration the ship will need to be surveyed and measured to obtain details of size, and other
descriptive particulars necessary for the registration. The surveyor must be a surveyor registered or authorized
by the registry.

A simplified survey procedure apply to Vessel of less than 24 meters in length

Additional requirements will be required for commercial vessels

Authorized surveyors are in general always the same such as for example

American Bureau of Shipping (ABS)

Bureau VERITAS (BV)

Lloyds Register of Shipping (LR) ..

The Registration Process

Here below we will describe registration in the BVI. It will be similar in all jurisdiction that depend of the UK registry

The first step will of course to prepare and file the application documents

The second step will be to have the name of the ship approved

Third step will be to provide the supporting documents that is to say

The surveys

satisfactory evidence of title to ownership in the form of:- the builder certificate if it is a new vessel or Document
/Bill of Sale or Transfer (prior to registry) if the vessel has passed through more than one owners hand before
registration

Issuance of the Official Number: In the UK and in most countries of the Commonwealth for example in the BVI
the Boat will be issued an official number that will not change for all the Boat life but if it is sold outside the (UK/
register).Carving of the Official Number: a Carving and Marking Note is issued. It shows the vessels
Name, Port of Registry, Official Number and Registered Tonnage which are to be carved /marked on the vessel
and contains relevant instruction for doing so. (for UK registry boat. The Port of registry will depend of the
country where you are located for example for BVI registered ship it will be RoadHarbour even if the ship has
never been in this port.

Payment of the government fees

Registration of the Boat in the Registry

Note that the process will also include a license for the radio equipment of the ship

What are the costs?

Costs are globally the same in every jurisdictions
Cost of registration of a Vessel for a Yacht of less than 24 meters of length and including company registration,
opening of the bank account, filling the application and the government fees whether in BVI, Saint Lucia, Panama will
be between 8,500 USD to 10,000 USD depending of the specification of the client
Note that this does not include the cost of the survey which the owner must do before the application as this must be
negotiated directly with the surveyor.
Once the yacht is registered we can also provide administrative maintenance services such as

Accounting Services

Payroll Services
Administrative services (paying insurances and other expenses)