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Thread: I can afford it but

  1. #1
    Member ACBMAN's Avatar
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    Default I can afford it but

    Anyone have experience in(good and bad) or an opinion of what to consider when thinking about joint ownership in a boat,#1-only with someone you know well or not?,#2-has the skills to tow,launch and operate a 30',10,000 lbs boat,#3-agree on what upgrades are planned and a timeline for doing them,#4-an agreement on how to get maintenance done and payed for it (based on hours on the motor,days boat is used,miles boat was towed?),#5-a way out of the partnership that is fair if it does'nt work out(don't know what that would be),the more I write the more I think this would be impossible but would be interested in your experiences and thoughts,thanks.

  2. #2
    Member akrstabout's Avatar
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    Default I recomend not doing it

    I had just done this this past fall with a river boat a buddy and I thought we have fun with. Well it turns out I was not impressed with the performance after we got it fixed up and where I wanted it to be. I wanted to sell he didn't. Later he agreed to sell because I was majority owner because he had not paid his full share. He was not happy with me but my gut said to sell and I did. It turns the motor was pretty much blown and the guy who bought was pissed. but we sold it in working condition and it worked for us. It turns out he finally let me off the hook and bought his own boat by himself.
    He could have bought me out of the other one but didn't like my price. I wanted half of what my asking price was. He said i should only get what i paid for it. I said no, because then you could turn around and sell it for what I am asking and then keep 100% of the profit. It all worked like it did but could have been bad if the boat was like what you are discribing and in the 10's of thousands instead of just $1300 like ours. All i can say is go with your gut feeling. and good luck with whatever you go with.

  3. #3
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    I would vote against it as well. To many "what if's". It would seem like a good way to ruin a nice friendship.
    Tennessee

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    You'll have a new ex-best friend. Stay away, very far away from a deal like this.

  5. #5

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    Always a problem with joint ownership.

  6. #6
    Member skybust's Avatar
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    It never works stay away from it just got your own boat

  7. #7

    Default I just partnered with someone

    I just went in on a boat with someone and we will see how it will work out. Fortunately we are very like minded and agreed on how everything should work.

    He works on the slope so it makes it easy for sharing the boat. We both agreed to split any maintenance on the boat.

    For buyout we agreed to have the boat surveyed and split the value down the middle if/when it comes to that.

    Without going in on a boat with someone I would have been unable to afford a boat for many years to come so with that attitude going into the deal hopefully it will help offset the minor inconvieneces that will arise.

  8. #8
    Supporting Member bullbuster's Avatar
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    Thumbs up So far so good

    I partnered on our boat last July. We have fished together for 20 years and know how the other guy is. We have always had smaller boats that the other guy could borrow at will, and did. This allowed us to go to a bigger boat.

    First, make sure he can afford a boat. Things get expensive in a hurry.

    Second, discuss his plans for taking guests out. My buddy had Uncles grandpas and cousins show up last year. It worked for us, he invited me every time, but I declined. I had other options, the salmon were runninng on the west side. This year, I am going to suggest he buy a bigger boat, retain 1/2 ownership in ours and leave it for me!

    Third, make sure he is willing to do his share of the maintanence. Cleaning, waxing, greasing etc all take time. My partner is happy just puttering around the boat after work, so we have no problems there.

    Fourth, the "split the sheets" agreement. Our agreement is based on our investment, purchase and capital expenditures.

    Now, if I can get his girlfriend to stop gussying up the boat with "cute" little signs and filling the drawers with foofy stuff....
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  9. #9

    Default Joint Ownership

    I owned a boat with my brother for a number of years and it worked out great for us. I wouldn't hesitate to do it again (the only reason we don't still own one together is that he lives in Texas and I'm here). I think the reason it worked so well for us is the following:

    1) We both have about the same thinking on maintenance and taking care of our gear.
    2) Prior to getting into this we sat down agreed on how we would handle the owneship
    3) We agreed on how we would share the boat
    4) We agreed on how we would pay for maintenance
    5) We agreed on how we would pay for any damage to the boat or trailer
    6) We agreed on how we would split the costs if either of us decided that we needed to move or end the partnership.

    I guess I totally disagree with those saying that you should stay away from something like this. It really depends on the people involved and how much you communicate prior to the deal. It worked great for us.

    Good luck.

  10. #10
    Member Alaska Gray's Avatar
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    Default

    Quote Originally Posted by Snowwolfe View Post
    I would vote against it as well. To many "what if's". It would seem like a good way to ruin a nice friendship.
    I would second that too.

    BUT I do have another boat. A jon boat that I did go partners with. It has gone good I gusses due to me hardly using it.

    If something goes wrong you always have to worry if the other half will come up with the money. Then it comes down to selling it.
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  11. #11
    Moderator Paul H's Avatar
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    I'm in the don't do it group. More often than not, these deals lead towards arguments about who uses it when, and one guy ends up using it more than the other guy, which leads to resentment. Then there is the issue of wear and tear vs damage. If one guy damages something and thinks the other guy should pay for part of it, then that leads to hard feelings. Or the other way, one guy damages something and doesn't want to pay to repair it. Let's say the engine goes t/u, was it abuse based on the guy driving, or just bad luck his hand was on the controls at the time? The boat get's scuffed up on the dock, is it damage that needs repair, or just normal wear and tear? Do you pay for professional repair, or does one of the co-owners repair it, and the repair is done in a less than professional manner, lowering the value of the boat?

    If you guys are always going to be going out together, you could consider owning the boat, and the other guy pays opperating costs. You could also consider renting it to the other guy, but then that brings in the issue of liability, who pays for damages etc. I'm partial to going out together and the non-owner picks up fuel and other costs. A very clear line on who is responsible for what, and anything that goes wrong is fully on the captains head.

    What's that saying about not discussing religion, politics, matters of the heart and $ with friends and family? It also goes without saying to add joint ventures to the top of that list. Somebody always comes out on the short end of the stick. My dad was a co-owner of a business for 30+ years, and it completely soured me on the concept. Honestly I think sometimes the partner gets the rap simply because there is someone else to blame for normal crap that comes up.

    I'd much rather get a smaller boat I could afford all by myself then getting in on a partnership with a bigger boat I had to partner for. To me friendships are never worth loosing by quibling over money or property.

  12. #12
    Member Dan in Alaska's Avatar
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    Default

    Any partnership would depend almost entirely on the partners involved. I have seen two different boat partnerships and one airplane partnership work very well, but I can also imagine a boat partnership ruining a perfectly good friendship, as others have suggested.

    When my wife and I first moved to Alaska, we shared a large condo with my brother and his wife, until we both bought houses of our own. To handle finances in a fair manner, we opened a joint checking account and each party deposited a fixed sum of money into the account each month. We paid every household bill (electric, gas, garbage, cable TV, internet, etc.) from this joint account. When our wives went grocery shopping together, they used the joint check book. This system worked perfectly, and we never had issues with money.

    I think this might be a good way to go about co-owning a boat. Each party deposits a fixed sum into a joint account each month, and all the boat related expenses & maintenance gets paid from the joint account. Fuel should be on the user, in my opinion, with an agreement that the boat gets filled at the end of each trip.

    Like TriIron suggested, I think the more things you get worked out ahead of time, the better the partnership will be.

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