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Offshore Pitfalls

The Australian marine industry is reported at being up in arms over the influx into Australia of what is commonly known as ‘grey boats’.
Having to often ‘pick up the pieces’ for many clients who purchase their own boats off shore, brokers are asked to remedy such problems as clear titles not established, monies still owed on boats bought, hidden costs, non-compliance with regulations and lapsed/unclear warranty cover. Sometimes help is at hand; other times the damage is already done. The Australian authorities are talking of legislating against the practice and at this stage are intent on making buyers aware of the pitfalls of going it alone.

Don't Get Caught Out

This same situation applies in New Zealand. Yachtfinders Global has consistently been asked to assist in an hour of need when things have come unstuck for an offshore purchaser going it alone. Our MD was asked as a crown witness to provide specialist knowledge as to the pitfalls and dangers the innocent and unaware purchaser is subjected to.
A lot of buyers think they save money by not using Yachtfinders Global when making their purchase – it costs them nothing for our protection. The commission is split. Pure and simple.

How Unsuspecting Internet Shoppers Do it Wrong

For the second time this month I have had a client approach me for assistance with buying a boat offshore, only to find that they have approached the opportunity the wrong way.

As is most often the case, the moment someone makes an enquiry through the internet their details are logged into a database and without knowing it, the person making the enquiry becomes the ‘client’ of the target of the enquiry. Two clients have done this in June alone.

I have one client who unwittingly made direct enquiries for over a dozen yachts and is now listed with just as many brokers in Europe and the USA as their ‘client’, making it very difficult for us to represent him for any of the yachts he has looked at. Although he made enquiry through us, he also made direct enquiry, so that when we tender a co-op agreement the listing broker advises; “that person is already a client of ours”.

This is one of the pitfalls of internet boat shopping. It’s a trap that many buyers fall into and often leaves them no choice but to trust the first point of contact, in a foreign country, often not even speaking the same language, to do the right thing and protect their interests. It can get very messy.

Let us do the Dirty Work

We encourage people to let us do the shopping, or at least make the first contact for a particular boat they have seen. By all means do your internet browsing but let us make contact for a boat that appeals to you. By doing it that way you are registered as our client. You automatically have local representation that is bound under the laws and commerce of New Zealand and there is no added cost to you. It is simply a co-op agreement between international brokers who split the commission. The commission on a boat gets paid regardless of who handles the contract so why would you choose not to have local representation?

An offshore broker’s background may appear to be reputable and your interests may be in good hands, but, should something go wrong your avenues of recourse are limited.

You can choose to go it alone, but in the lively offshore boat environment I feel obligated to bring this trap to your attention.

We are here to help, but helping after the ship has sailed is not preferable.