BoatTESTLEASING to market leases in new boats for their owners
BoatTEST has announced a new division called BoatTESTLEASING which will market leases in new boats for their owners. The program is modeled closely on the auto leasing model, with appropriate changes reflecting the different nature of the usage between boats and cars.
According to BoatTEST, 31% of the automobiles on US highways are leased, compared to 9% 20 years ago. Further, according to NADA, 70% of the growth in expensive automobile sales is due to leasing.
“Surveys among our BoatTEST members indicate that American boaters are ready for boat leasing,” said BoatTEST owner Jeff Hammond, “as 43% say they are ready to lease a new boat and 75% say they will seriously consider it.”
The basic program
BoatTEST cites NMMA statistics, claiming the average boat is only used 25 days a year. ”Owners of new boats who want to harness income from the days the boat would otherwise sit idle, can have BoattestLEASING market their boat to people looking for premium boats that they can use for far less cost than ownership. By selling numerous leases in a single boat, owners can collect significant monthly income,” says a release from BoatTEST.
The cost of slip rental, storage, insurance and regularly scheduled maintenance, is divided among all of the users, which results in a fraction of the operating expense for the owner and the Leaseholders. The lease terms will be for 48-months.
Specialising in premium boats
BoattestLEASING will specialise in marketing boats that are in the $100,000 to $500,000 range used for a variety of purposes. All new boats handled will be premium models built by the industry’s leading brands. The size range of the boats leased will be from about 25ft-38ft. The types of boats that will be handled include center consoles, dual consoles, sportboats, wake boats, express cruisers, walkarounds, express fishboats, and catamarans.
Owners of new premium boats with fewer than 25 engine hours that meet the company’s guidelines of size, cost, quality and location, may enroll their boats in the BoatTESTLEASING program.
BoatTESTLEASING will manage all reservations online as well to secure the slip, insurance, and oversee all maintenance and repair. At the end of the 48-month contract, all control and boat operational responsibility is contractually returned to the boat owner.
David Aldrich is heading up the new BoatTEST division as general manager of Dealer Sales.Aldrich has been active in the boat rental and charter industry, selling franchises for Freedom Boat Club for three years and was most recently involved with Dream Yacht Charters.
“The BoatTESTLEASING program allows ‘Affiliated Dealers’ to participate in the upside of the growing shared access business, without added expense or work,” said Aldrich. “There is no membership fee, nor are dealers involved with the hassle and expense of having to market and then manage leases, reservations, and maintenance. This program can only lead to more and easier new boat sales for boat dealers.”
“BoatTESTLEASING will create increased showroom traffic, a new source of serious sales leads, and a new business profit center,” Aldrich said. “It will also create new selling opportunities for boats near curtailment or which are non-current.”
BoatTEST “Affiliated Dealers” can enroll new boats into BoatTESTLEASING’s program and earn a commission on the sale of the program, as well as on any subsequent leases it sells.
Annual leasing costs will depend on the cost of the new boat, and the amount of days per year that the Lessee wants to reserve. The minimum number of leased days is 20 a year for most boats.
First Leased Boat: Pursuit DC266
The first boat being made available for lease is a Pursuit DC266 powered with twin 200-hp engines which is located in St. Petersburg. Fla. at the Maximo Marina. The owner purchased it from Quality Boats in St. Petersburg, in consultation with BoatTEST, and the boat was chosen because of its versatility for fishing, watersports, coastal cruising, and entertaining.
BoatTESTLEASING is planning a strong promotional campaign for selling the leases in BoatTEST, social media, and through its “Affiliated Dealers.”
BoatTEST captains will be used to test all boats before entering them into BoatTESTLEASING’s program to make sure they meet its standards, and to promote the leased boats with video and special usage reports.