What Is The Yacht Registry?

The Maltese ship registry is the largest in Europe and one of the most popular countries for pleasure yacht registration. It has EU-compliant legislation, clear laws relating to yacht mortgages, low registration costs, and is well-respected across the globe. A flag state generally requires a yacht to be in compliance with construction standards set forth by one or more of the top countries to register your yacht offshore.

Yacht registration is one of the best options for foreign nationals to get started with an offshore business. Buying a yacht can be a crucial international investment, and the choice of flag state is one of the most important decisions a buyer must make before closing on a yacht. The Republic of the Marshall Islands (RMI) allows the registration of private yachts, private yachts limited charter, commercial yachts, and commercial yachts through its national legislation and the RMI Yacht Code 2021.

The Canadian Register of Vessels tracks vessel ownership and characteristics like tonnage, construction material, and more. The Certificate of Registry issued by a vessel’s state of registry (flag state) effectively acts as a passport for the vessel. Ship registration is the process by which a ship is documented and given the nationality of the country to which the ship has been documented.

The most widely used yacht registries are the United States, the Marshall Islands, the Cayman Islands, St. Vincent, and the Grenadines. The Liberian Registry is owned and operated by the United States, offering 24/7 service. Preferred Yacht Registry Specialists Jan Painter provide expertise in yachting and financing over 30 years.

What does it mean to be yacht certified?

What is Yacht Certification?. Yacht Certification is provided by the National Marine Manufacturers Association (NMMA) to confirm that a particular boat model has been manufactured to meet all ABYC standards of safety, design, and construction. The manufacturer must undergo an annual inspection to maintain certification.

To round out the process, each vessel is tagged with a permanent “Yacht Certification” plate.

How Vessel Certification Works. The most influential group in the world of boat manufacturing is the NMMA, an organization that ensures a wide variety of vessels are constructed to the highest standards possible. The NMMA provides certifications to manufacturers of recreational boats who meet standards set by the American Boats & Yacht Council (ABYC). Boat builders can become members of NMMA, have their vessels certified, and even undergo routine audits to ensure compliance against the frequently evolving standards.

What boat qualifies as a yacht?

A yacht () is a sail- or motor-propelled watercraft used for pleasure, cruising, or racing. There is no standard definition, though the term generally applies to vessels with a cabin intended for overnight use. To be termed a yacht, as opposed to a boat, such a pleasure vessel is likely to be at least 33 feet (10m) in length and may have been judged to have good aesthetic qualities.

The Commercial Yacht Code classifies yachts 79ft (24m) and over as large. Such yachts typically require a hired crew and have higher construction standards. Further classifications for large yachts are commercial: carrying no more than 12 passengers; private: solely for the pleasure of the owner and guests, or by flag, the country under which it is registered. A superyacht (sometimes megayacht) generally refers to any yacht (sail or power) longer than 131ft (40m).

Racing yachts are designed to emphasize performance over comfort. Charter yachts are run as a business for profit. As of 2020, there were more than 15,000 yachts of sufficient size to require a professional crew.

Why register a yacht in the Marshall Islands?

Marshall Islands is a popular jurisdiction for boat registration due to its favorable tax and legal environment. The Marshall Islands Maritime and Corporate Registries (MI) is responsible for registering vessels under the flag of the Republic of the Marshall Islands.

There are several benefits to registering a vessel in the Marshall Islands, including:

Recognition by major international maritime organizations.

How do I prove ownership of a boat in Canada?

To establish proof of ownership, we need documents that include:name, address and signature of the person who sold you the pleasure craft.name and signature of the new owner.description of the pleasure craft (make, model and other details requested on the application form)hull serial number (HIN) (if available)

Gather all the documents you will need. If we don’t receive the correct documents, your application will incur delays.

Proof of ownership or bill of sale. To establish proof of ownership, we need documents that include:

• Name, address and signature of the person who sold you the pleasure craft
• name and signature of the new owner
• description of the pleasure craft (make, model and other details requested on the application form)
• hull serial number (HIN) (if available)
• pleasure craft licence number (if already licensed)

Why register a yacht in the Cayman Islands?

Tax Benefits. One of the main advantages of registering a superyacht in the Cayman Islands is the favorable tax regime. The islands have no income, capital gains, or inheritance taxes, and there are no restrictions on foreign ownership. Moreover, the Cayman Islands offer a range of tax-efficient structures for yacht ownership, such as exempted companies, limited partnerships, and trusts. These structures can help yacht owners to minimize their tax liabilities and optimize their financial planning.

Efficient Registration Process. The Cayman Islands have a streamlined and efficient registration process for superyachts. The registration is handled by the Cayman Islands Shipping Registry, which is a Category 1 member of the Red Ensign Group. This means that the registry is authorized to register yachts of any size and type, and it adheres to the highest international standards of safety and quality. The registration process can be completed in a few days, and it involves minimal paperwork and formalities.

World-Class Infrastructure. The Cayman Islands have a world-class infrastructure for superyachts, with modern marinas, ports, and facilities. The islands are strategically located in the heart of the Caribbean, and they offer easy access to the main yachting destinations in the region. The Grand Cayman Island, which is the largest of the three islands, has several marinas that can accommodate superyachts of up to 100 meters in length. These marinas offer a range of services and amenities, such as fueling, provisioning, maintenance, and repairs.

Why are yachts flagged in the Cayman Islands?

The Cayman Islands is a jurisdiction of choice for offshore vessel registration for many reasons, the most popular of which being the tax benefits. As a tax-neutral jurisdiction, yacht owners registered in the Cayman Islands can save thousands in fees related to taxes, registration, and VAT alone. The Cayman Islands also offers convenient ease of marine vessel access with three ports of registry and several marinas across the three islands.

Another benefit of registering vessels in the Cayman Islands is that they are considered British vessels and are therefore protected by the British Royal Navy. Furthermore, these vessels fall under the Category 1 British Registry within the Red Ensign Group. This is considered a first-class flag and one of the top flags in the world by the International Chamber of Shipping (ICS). Vessels registered under CISR also benefit from its whitelist and low-risk status at all major ports worldwide, and with 15 global locations yacht owners are afforded 24/7 support. CISR-registered vessels can also participate in the International Maritime Organization (IMO) using the British status of their vessel.

Yacht owners registered in the Cayman Islands also benefit from considerably fewer inspections, less hassle, more support, and smoother sailing…no pun intended.

The Cayman Islands has set itself above other tax-free locations such as Malta, Singapore, and Cyprus by offering yacht owners and shipping companies a genuine physical presence in which to place their staff in turnkey offices and generate legitimate tax-free international business income. This is accomplished through Cayman Maritime & Aviation City, a component of Cayman Enterprise City (CEC) set up specifically for businesses within the maritime industry so they can take advantage of the benefits offer by operating from the award-winning Special Economic Zone. The Cayman Islands Government has granted appealing concessions to such companies.

Do I need to register my boat in Canada?

Small Vessel Register. You’re required to register your vessel in the Small Vessel Register if your vessel is a:

• Commercial (non-pleasure) vessel with a gross tonnage of 15 or less, and powered by a motor of 7.5kW (10 horsepower) or more
• barge with a gross tonnage of 15 or less
• commercial river raft

If you want to name your vessel or register a mortgage, you must register it in the Large Vessel Register, even if it qualifies to be registered in the Small Vessel Register. If you travel internationally with your vessel, you may want to consider registering it in the Large Vessel Register.

Large Vessel Register. You’re required to register a vessel in the Large Vessel Register if your vessel:

Why are so many yachts registered in Isle of Man?

The long history of political and financial stability on the Isle of Man and OECD “white-listed” jurisdiction makes it beneficial to register ships on the Isle of Man. The Isle of Man Ship Registry accepts almost all vessel types, including merchant ships, offshore vessels and private and commercial yachts.

Fast, professional service at low cost makes the Isle of Man an ideal choice for ship and yacht registration. In addition, the Isle of Man offers the full range of professional maritime services to assist with the registration, ownership and management of vessels and crew.

• Elite Customer Service. Pragmatic approach to regulation with a focus on finding solutions and building relationships
• Response time to technical/registration queries is normally within same day
• Local Representatives in key markets including Japan, China, Hong Kong and Greece
• Technical expertise in-house with survey and policy teams on hand for consultation and reliable advice
• Network of surveyors in key survey locations around the World
• Simple regulations applying international convention standards with no additional requirements.
• Digital Certification meaning original certification can be onboard within minutes

What are the benefits of yacht certification?

• Assurance their boats meet the industry standards for the United States (ABYC Standards)
• A detailed inspection and verification process
• Improved consumer confidence
• Increased brand respect
• Liability protection and product liability insurance discounts

Testimonials. Three cheers also for the National Marine Manufacturers Association (NMMA) which has further raised the bar by requiring that all boatbuilders who want to remain members of the industry trade group must meet NMMA certification standards. These boat building standards are more extensive than those required by the U.S. Coast Guard. Boating consumers and especially anyone in the market looking to purchase a new boat would do well to visit DiscoverBoating.com/certification for the current list of NMMA certified boat brands.

Richard Schwartz, Founder & Chairman & Michael G. Sciulla, Editor, Boat U.S.

What ships need to be registered?

International law requires that every ship be registered in a country, called its flag state. A ship is subject to the law of its flag state. It is usual to say that the ship sails under the flag of the country of registration.

A ship’s flag state exercises regulatory control over the vessel and is required to inspect it regularly, certify the ship’s equipment and crew, and issue safety and pollution prevention documents. The organization which actually registers the ship is known as its registry. Registries may be governmental or private agencies. In some cases, such as the United States’ Alternative Compliance Program, the registry can assign a third party to administer inspections.

A register that is open only to ships of its own nation is known as a traditional or national register. Registers that are open to foreign-owned ships are known as open registries and are sometimes called flags of convenience.

Why are so many ships registered in the Marshall Islands?

Marshall Islands registration is considered to be a “flag of convenience” as maritime vessels register there for its favorable tax environment and more operational freedom.

To start with, it’s important to remember that a lot of jurisdictions that offer low upfront costs, usually have high associated costs or add-on costs that are not articulated straight off.

For example, jurisdiction “A” offers yacht registration for $325, which seems like a great deal. However, jurisdiction “A” also requires a survey for the yacht to be registered. The survey can only be done by a select group of service providers and can cost anywhere from $4,000 – $6,000. Suddenly, it doesn’t seem as reasonably pricedanymore!

The Marshall Islands flag, on the other hand, offers all costsupfront and registration is a relatively pain-free process. Also, the Marshall Islands registry is more than 40 years old and has a tremendous amount of experience in the yachting registration arena. Additionally, the Marshall Islands remains on the white list for Paris MoU – which is a great indicator of the legitimacy of the product. There is no requirement to bring the vessel to The Marshall Islands either.