In this example, Mr. Jones owns a 50 ft., 3 stateroom boat that cost him $750,000 new. The boat is docked at a marina and Jones has a part-time maintenance guy who checks on the boat a couple of times a week. Jones uses the boat on occasional weekends taking short trips with his friends and family. The boat is now five years old and requires some major mechanical and cosmetic work.

Jones is considering selling his boat and purchasing a fractional interest in a brand new 4-stateroom fractional yacht for $500,000. Mr. Jones likes the idea of owning a brand new yacht complete with warranties, competent management and a professional captain & crew. He's also tired of being at the helm while his guests enjoy themselves on his boat.

Cost of ownership for his 50 ft. boat:

Investment $750k Annual expenses: Dockage $18-20k Maintenance checks 20,000 Repairs 15k Supplies 6,000 Insurance 10k Miscellaneous 5k Total annual expenses $75k.

Cost of owning a fractional share in a brand new, fully equipped 100 ft. 3 or 4-stateroom yacht complete with a top deck Jacuzzi spa, 2 jet skis, a 25 ft. tender, and a professional captain & crew of 4 to serve him and his guests during the time of his percentage ownership in exotic locations.

Cost of owning a share of a new 100 ft. yacht:

Investment $500-600k with Annual Expenses estimated at $50-60k, no personal responsibilities, aggravations are eliminated and full enjoyment is PRICELESS !