Buying • Selling • Building
Part 6
In this 12-part series Rosemont Yacht Services looks at key transaction issues in Superyacht Acquisitions, Superyacht Sales and Superyacht New Builds, and considers how we can assist owners in the process.
Preparing a Yacht for Sale: Why the Work Should Start Before the Yacht Is Listed
Build the seller file
A serious buyer will request title, registry, corporate authority, class/statutory certificates, maintenance history and VAT/customs evidence. Locating gaps after the MOA is signed creates pressure and weakens the seller’s position. Most documentary problems are easier to solve when there is no contractual clock running.
Prepare the asset
Presentation matters, but so does maintenance culture. The captain and manager should identify overdue servicing, obvious defects, upcoming yard work and incomplete records. It may be better to fix a known problem before listing than explain it during survey negotiations. Preparation is not concealment; it is understanding what should be fixed, disclosed or priced into the sale.
The captain’s role in sale preparation
The captain is often best placed to identify what a surveyor is likely to find. Maintenance schedules, recurring technical issues, upcoming class surveys and equipment condition should be discussed candidly with the seller’s team before negotiations become time-sensitive.
VAT and customs evidence
The seller should not rely on a general statement that VAT was paid at some point in the yacht’s history. The underlying invoices, import documents and evidence of the relevant transaction should be located and organised. If the evidence is incomplete, advisers can assess the position before it becomes a buyer objection.
Pre-sale title, mortgage and corporate review
The seller should obtain an up-to-date registry position and confirm whether any mortgage, charge or other recorded interest needs to be released. Corporate records, directors, signatories and authority to sell should be checked. If a lender is involved, early discussions can establish the redemption process and required documents.
Resolve inconsistencies before marketing
Pre-sale preparation may reveal inconsistencies between the registry, company records, sales particulars and technical documentation. A refit may be described differently in different records, or historic VAT evidence may be incomplete. These issues are usually easier to investigate before a buyer is working to contractual deadlines.
Prepare a controlled data room
Rather than sending documents piecemeal, create a structured electronic data room with clearly labelled corporate, title, registry, technical, class and VAT/customs folders. Access can be controlled and sensitive information released only when appropriate.
Prepare for KYC as well as due diligence
The stakeholder, buyer’s advisers, broker and banks may all require corporate documents, beneficial ownership information and evidence concerning the selling company. Preparing current corporate certificates, authorised-signatory information and UBO documentation before a buyer is found can prevent the seller’s own KYC from delaying receipt of the deposit or closing.
Where the seller forms part of a wider family-office structure, KYC preparation should extend beyond the immediate yacht-owning company where required. Trustees, foundations, holding companies or other entities in an international ownership chain may need to provide current corporate and beneficial-ownership information during the transaction.
How Rosemont Yacht Services can assist
RYS can assist an owner with a pre-sale transaction-readiness review before the yacht is formally marketed.
This can include organising the yacht-owning company’s corporate and compliance records, checking the availability of registry and title documentation, assembling available VAT/customs evidence and coordinating with the captain, manager and broker regarding the technical and administrative information likely to be required.
RYS can establish a controlled transaction data room and identify missing, outdated or inconsistent documentation so that the appropriate specialist advisers can address those issues before the seller is operating under contractual deadlines.
For yachts and ownership structures already administered by RYS, this preparation can build upon existing corporate and administrative records. RYS can also undertake a standalone readiness exercise for an owner preparing a yacht for sale.
RYS Transaction Check
☐ Technical and maintenance records complete?
☐ Title and registry position confirmed?
☐ Mortgage/security release requirements understood?
☐ Corporate records and authority current?
☐ VAT/customs supporting evidence located?
☐ UBO, signatory and KYC documentation current?
☐ Sales particulars consistent with records?
☐ Controlled data room prepared?
☐ Missing or inconsistent items identified?
☐ Responsibility and timetable agreed before listing?
You may also be interested in
- Insight - The Complete Guide to Superyacht Ownership by Rosemont Yacht Services
- Who we are - Rosemont Yacht Services
- Part 5 – Selling a Superyacht: From Preparing for Sale to Final Delivery
- Part 7 – The Yacht Survey from the Seller's Side: Preparing for the Buyer's Inspection
Important note: General information only. Transaction-specific legal, tax, customs, regulatory and flag advice should be obtained where required.