Every economic condition produces a positive climate for certain sectors of the market and luxury boat syndication is one of the industries that has actually prospered during the Global Financial Crisis (GFC).
The Marine Industry is often an accurate indicator of which industries at a given period of time are prospering. The purchase of a luxury boat is generally the reward of a successful business and according to Marine Industry stalwart John Russell of Brisbane’s John Crawford Marine and Riviera Syndication, this has proven to be an accurate guide during 30 odd years of selling boats.
Mr Russell said at any given point in time he could report on the industries that were doing well in the marketplace because it was those industries that were buying boats.
“What the syndication industry has experienced during the GFC is a move to a more investigative and intelligent approach to buying a luxury boat and this is where today’s syndication options are standing out as a practical way to own a luxury boat,” Mr Russell said.
During the late 1990s and in the early days of syndication, this form of boat ownership was generally associated with time share and was largely overlooked by the market.
“Customers either saw syndication as too new and untried or could not overcome the desire to own the whole boat themselves despite the fact that many boat owners have acknowledged there is a lot of expense and work associated with owning a luxury boat which they would not use as often as they would like,” Mr Russell said.
With the passage of time, the syndication market became more professional and was introduced by major manufacturers such as Riviera. Sophisticated clients began seriously considering the merits of buying an equity share in a luxury boat.
“The other major attraction for these buyers was the fact that they did not have to do any of the work normally associated with the ownership of a luxury boat and the costs were significantly less.
“Syndication also looked attractive to wives and families as the normal chores of cleaning up, laundry etc were passed on to the syndication company. And then came along the GFC which meant the decision to purchase that luxury cruiser was a more considered purchase and syndication became worth investigating.
“Companies such as Riviera Syndication who have 11 years experience in boat syndication as well as a history and association with a major manufacturer, have prospered over the past three years. Thus the message is getting out to the market place that luxury boat ownership through an equity syndication program is a viable alternative that is worth fully investigating before making a new boat purchase.
“Other benefits of syndication include the initial purchase price being a little over 10 percent of the normal cost of the same boat and the opportunity to partake in a variety of adventure travel programs with like-minded people. These travel programs are run by syndication leaders Riviera Syndication.”
Riviera Syndication also have syndicated Rivieras in most major centres around Australia where an owner of a share in a new Riviera 5800 Sport Yacht in Perth can exchange usage with an owner of the same boat in Sydney, Sanctuary Cove or Hamilton Island.
“It is always good to hear stories of success and this is one industry that has been recognised largely due to the effects of the Global Financial Crisis,” Mr Russell said.
Riviera Syndication offers models from 36 to 58 feet in different ports around Australia