OFFSHORE YACHT TRANSFERS
BOATINGLAW.COM'S GUIDE TO OFFSHORE YACHT TRANSFERS

 

British Virgin Islands • St. Vincent • Vanuatu


Mr. Lochner's clients often present the with question as to what is the best method to protect their assets and to mitigate the possible tax repercussions derived from their purchase of a new yacht. The simple and most-effective method is to purchase your new yacht offshore through the use of an International Business Company (IBC) based in one of the many "flag of convenience" countries. The maritime professionals at Lochner Law Firm, P.C., can help to effectuate your offshore yacht purchase by:

  1. Choosing the Correct Foreign Flag for Your Yacht: Depending upon a number of details specific to your investment, including the size, cost and financing of your yacht as well as your specific cruising plan, there may be specific advantages and disadvantages to creating a company in the British Virgin Islands, St. Vincent, Vanuatu or any of the other common "flag of convenience" countries.

  2. Creating Your IBC: Lochner Law Firm, P.C., works in coordination with the registries of the "flag of convenience" countries to quickly and efficiently create your specialized offshore company.

  3. Limiting Liability from the Beginning: Once we have created your IBC we will carefully coordinate with the yacht's seller, insurer and lien holder to ensure that all potential liability is shifted to the sole-asset IBC from its inception. By coordinating an offshore delivery of the yacht, and drafting all of the documents related thereto, we can mitigate any and all potential sales and use tax implications.

  4. Properly Documenting Your Offshore Vessel: At the Lochner Law Firm, P.C., is equipped to deal with the esoteric problems that often arise during the process of foreign-flagging a yacht, assuring you an efficient and worriless registration experience.

  5. Providing Financial and Insurance Advice: The Lochner Law Firm, P.C., has experience in drafting promissory notes and recording statutory ship's mortgages in the British Virgin Islands, St. Vincent and Vanuatu, assuring the security interests of all parties. We can also guide you through the insurance process in order to ensure that you have complete protection for your investment in the event of the unforeseen.

  6. Hands-On Closing Assistance: Mr. Lochner pride's himself on taking a hands-on, active approach towards his client's yacht purchases. He will coordinate and in most circumstances will personally attend the offshore closing in order to properly document that ownership is transferred beyond the taxing authority of any jurisdiction.

  7. Going Beyond the Transaction: Once the transaction has been completed Mr. Lochner is ready to assist you with the finite details of yacht ownership. In most circumstances he will personally obtain your United States Cruising Permit from the USCG to assure that you will have an unperturbed cruising experience in U.S. waters, and provide you with yearly renewal reminders. The conclusion of the initial transaction is the beginning of your need for a Proctor in Admiralty, has extensive experience in drafting and securing charter parties, captain and crew contracts, dockage agreements and more, to help with the minutiae of yacht ownership.

If you would like more information, please contact our office.