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10 May 2023

Last revised

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4

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The first question your naval architect is likely to ask is where your yacht will be registered. That registry’s regulations will do much to determine the design of your yacht. But, beyond that, the registry provides the legal framework for crew employment, and may determine how easily insurance and finance can be obtained. So research this in-depth rather than accepting your architect’s suggestion.

minutes

4

Reading time

10 May 2023

Last revised

The first question your naval architect is likely to ask is where your yacht will be registered. That registry’s regulations will do much to determine the design of your yacht. But, beyond that, the registry provides the legal framework for crew employment, and may determine how easily insurance and finance can be obtained. So research this in-depth rather than accepting your architect’s suggestion.

  • Registering a yacht in a country's ship registry determines its nationality, owner's responsibilities, and compliance with laws and regulations.

  • The choice of registry impacts insurance availability, financing options, chartering regulations, taxation requirements, scrutiny from port officials, and service provided.

  • Unusual flags may reduce insurance options and increase premiums.

  • Lenders require high maintenance and safety standards and confidence in the country's rule of law for financing agreements.

  • Chartering requires compliance with international regulations, and certain registries have simplified safety codes for cost-effective compliance.

  • Cabotage rules may require local registration for commercial operations in specific jurisdictions.

  • Temporary Admission allows tax avoidance in the EU for non-commercial use, but specific advice is necessary.

  • Scrutiny by port officials can cause delays and inspections may be prioritized based on flag categorization.

  • Helpful registries with easily accessible regulations and guidance are preferred.

  • Local agents and service providers can assist with overcoming time zone difficulties, but may come with additional costs and risks.

  • Cabotage rules may require local registration for commercial operations in specific jurisdictions.

  • Temporary Admission allows tax avoidance in the EU for non-commercial use, but specific advice is necessary.

  • Scrutiny by port officials can cause delays and inspections may be prioritized based on flag categorization.

  • Helpful registries with easily accessible regulations and guidance are preferred.

  • Local agents and service providers can assist with overcoming time zone difficulties, but may come with additional costs and risks.