The delectable feel obtained from driving around Dubai’s state-of-the-art and pristine roads is a spectacular ardor that motorists all over the UAE love to live for, but while wafting across Dubai’s intricate network of well-engineered roads might feel enthralling, cruising in a yacht far away from the chaos that happens within the UAE takes the entire narrative to the next level.
But with this choice, a growing concern slides into view, the cost of owning a yacht and maintaining it yearly can be very expensive even for wealthy individuals, which is why a commonly asked question in the UAE’s maritime sector remains “shared yacht ownership and how possible it is to be able to split running costs”?
Sure, renting a yacht can offer unique perks, but nothing beats the versatility of owning one outright. Many enthusiasts want to make this move but need accurate information on how it is being carried out within the UAE.
In this blog, we’ll examine the pros and cons of shared yacht ownership with verified information within the UAE’s maritime sector and official statements from the Ministry of Energy and Infrastructure within the UAE.
Deconstructing the Maritime Sector: What Is Shared Yacht Ownership?
Before we jump straight into the pros and cons of shared yacht ownership, it is important to understand what the concept entails. Theoretically, shared yacht ownership is a fractional investment model where multiple individuals jointly purchase a yacht. Instead of owning the vessel outright. With this arrangement, each co-owner holds a percentage that looks like this: 12.5%, 25%, or 50%. This is then further translated into a set number of usage days or weeks per year.
Shared yacht ownership offers the best of both worlds on a platter. The usual worry about maintenance costs when it comes to the topic of renting is eliminated, as well as the steep costs you stand to bear if you own it outright. It makes perfect sense for expatriates and tourists looking to visit a city like Dubai to go for this option since the yachting season basically runs from October to April.
The Pros and Cons of Shared Yacht Ownership in the UAE
We have divided this part into sections. The first section explicitly talks about yacht ownership benefits while also cross-referencing the MOEI website in Dubai for accurate information.
The second section discusses the likely hurdles you are likely to come across when you decide to share the ownership of a yacht. Without wasting time, let’s dive into the details:
Pros of Shared Yacht Ownership in the UAE
Reduction in Barrier Cost: For most shared yacht ownership enquiries, this is the number one reason why several enthusiasts go for the shared ownership option. Upkeep costs can easily cost 10-15% of the vessel’s value. Shared ownership lowers the financial barrier for entry and allows for even distribution of yachts between middle-income-sized entrepreneurs.
Shared Maintenance and Operating Costs: Operating a yacht can be tricky because it is a vehicle with a lot of moving parts. This leads to budgeting extensively for essential maintenance operations, which can be greatly reduced if you decide to go for the option of shared yacht ownership.
Access to Better and More Sophisticated, Yachts: Originally, your budget might have just been able to get a smaller vessel after planning and strategizing but going for the option of shared yacht ownership gives you a better option to get a better yacht even better than what you had planned and in many cases, turns out to be a spectacular investment on the long run.
Professional Yacht Management: When you go for the option of shared yacht ownership, the full package often comes with extensive yacht management, where crew hiring, maintenance scheduling, refueling, cleaning, and logistics are handled by seasoned experts. This elevates the overall yachting investment experience.
The Cons of Shared Yacht Ownership in the UAE
Restricted Versatility: While the perks of sharing the ownership of the yacht can be profound, the area of flexibility in scheduling might be a throbbing concern. Schedules might not align, and you might be faced with last-minute needs, but you will inevitably have to forfeit, as you can not use the yacht outside of your allocated time.
Shared Decision-Making: The choice of upgrades and route preferences requires a great deal of collaboration between co-owners, leading to random cases of compromises on both ends from time to time. For someone seeking the ultimate yacht ownership experience, this might be non-negotiable.
Persistence of Seldom Operational Costs: Shared ownership is beneficial in cutting operational costs, but it doesn’t magically go away. Operational costs still exist and must still be factored into consideratio,n and while it is reduced compared to sole ownership, it is still an important factor if you’re trying to understand the pros and cons of shared yacht ownership.
Our Final Verdict: Is Shared Yacht Ownership Worth It in Dubai?
For the million-dollar question, “Is shared yacht ownership worth it?” The answer to this will specifically depend on your lifestyle.
If you’re a Dubai resident who enjoys yachting several times a year, appreciates structured planning, and wants long-term value, co-ownership is the best option, but for returning tourists who spend extended periods in the UAE, it can also offer continuity and convenience.
Luxury Is About Access: Not Just Ownership
At BENO, we strongly believe that luxury is defined by access, flexibility, and experience. Our yacht rental in Dubai is perfect for you to enjoy the best of what Dubai’s maritime has to offer.
Understanding the pros and cons of shared yacht ownership allows you to make smarter lifestyle decisions, ensuring your time and money are spent on experiences that truly elevate your stay in Dubai.
FAQs
- Is the yacht business profitable in Dubai?
With increased activity, particularly around tourism and peak seasonal periods, the yacht business can be one of the most profitable businesses in Dubai that is worth investing in.
- How much does a small yacht cost in Dubai?
Depends on the model you’re getting, but you can expect to pay an average of 1 million dollars for a small yacht.
- Can you drink on a yacht in Dubai?
Yes, you can drink on a yacht in Duba,i but there are certain rules you must also follow.
- Do you need a license to drive a yacht in Dubai?
Yes, anyone interested in driving a yacht within Dubai’s International waters requires a boat driving license from the Dubai Maritime City Authority.
- Do you need a passport for a yacht?
Yes, every sailor is required to carry a valid passport with at least 6 months left before expiration.
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