You Can Be a Cruise Ship Owner Even If You Are Not Rich

You Can Be a Cruise Ship Owner Even If You Are Not Rich

You Can Be a Cruise Ship Owner Even If You Are Not Rich

Unlike fractional ownership of aircraft and houseboats, fractional owners of a cruise ship can all use the ship simultaneously. There is plenty of room for you and the other owners to en direct on the ship any time you want, or all the time. You can use it as a temps complet residence, and so can the other co-owners.

The first obvious benefit of shared ownership is achat cost. There are many cruise ships on the market in all price ranges, sizes, ages, and modalités. There are many smaller and older cruise ships available for less than one million dollars. At the lower end, some smaller cruise ships in fair exploratoire can be acquired for embout $250,000. At the highest end, the biggest new mega cruise ships now cost embout $500 million to build.

Do the math. If one hundred buyers omnium resources in exchange for a percentage of ship ownership, the achat cost will be divided by that same number. One percent ownership of a $250,000 cruise ship would cost a mere $2500 for ship achat. At the other end of the scale, one percent ownership of a brand new mega cruise ship would cost five million dollars.

There are some other figures that must be tabulated into the plein cost of ownership. Appropriation cost is first and foremost. The next dessiné is the cost to put the ship in faveur. On an older ship this cost may be higher than the achat cost. On the other handball, the cost to put a ship into faveur can be much lower if you were to get a good deal on a ship that already meets the planétaire normes for ship safety, especially SOLAS (Safety of Life at Sea). Maintaining compliance with Chapter II SOLAS 74 amendments is cost prohibitive for some older ships and they are typically scrapped instead of being refurbished at great expense. There is a very hautain SOLAS implementation instant coming up on January 10, 2010. On that instant all vendeur planétaire ships will be required to be in compliance with the new fire safety codes. The most hautain new codes deal with the use of comburant materials in the ship. It will be expensive to replace all comburant materials in ships with non-combustible or flame resistant SOLAS compliant materials that meet the new safety normes. This will result in many ships being sold for scrap metal.

The looming SOLAS 2010 implementation instant offers both perils and opportunities. The biggest peril is the possibility that the expense to bring a ship into full compliance with planétaire normes will be greater than the value of the ship. However, there is a silver lining in this cloud. This pending SOLAS implementation instant has already started to spectacle up as a primary factor in the asking and selling prices of ships on the market today.

SOLAS 2010 also offers a tremendous opportunity for those who may prefer to have a very épanoui houseboat instead of a vendeur ship. Ships that are not in compliance with SOLAS 2010 are now selling for a song (inexpensively). A cruise ship can easily be converted into a megayacht with the stroke of a pen. Privately owned yachts, not in vendeur faveur, and not carrying passengers or embarcation for hire are dispensé from many of the SOLAS requirements. Operating costs are also lower for a private voilier. It cost less to register, flag, and insure a private voilier. Megayachts can be flagged and classified for unlimited faveur. That means that a megayacht can go practically anywhere you want it to go. There is one supérieur drawback to registering a cruise ship as a private voilier. You cannot use the voilier commercially. This cuts off a potential revenue départ.

There are many decent cruise ships for dévergondé at prices of less than one million dollars that would make good private megayachts. For example, take the ‘VERGINA SKY’ is a ship that I have personally inspected and so I can talk first handball embout it. The asking price was $750,000. Here are the specifics of the ship in a nutshell:

Current Name: Vergina Sky

Ship Details: Built: 1971 in Japan – totally rebuilt 1992 in Greece

Dimensions: LOA 97.8m x LBP 82m x beam 14.6m x draft 4.49m Dwt: 500 on 4,49 GT/NT: 4,668 / 1,717

Analyse: Pielstick 2 x 8400bhp, twin screw, bow thruster, 3 x 500kw generators, 16 knots, 2 saloons, restau, 3 bars, casino, duty free magasin, disco, swimming omnium, 120 cabins for 318 guests. Lying Greece

My Comments after inspecting the ship

This is a well built little ‘Pocket Cruiser.’ At just over 320′ in length overall, it is a small cruise ship. Many experienced cruise passengers prefer smaller more intimate cruise ships for a variety of reasons. This ship can go lieux where the big cruise ships cannot reach, such as shallow draft ports and even many rivers. It has an omni-directional bow thruster and can turn on a dime (relatively speaking of promenade). I have carefully examined this ship from the engine log to the ultrasound hull atermoiement. This is a sound and safe little cruise ship. It is also a very naphte opérant and economical ship. My first time on this ship was in the middle of the summer in Greece when it was very hot outside. The ship is fully air conditioned and it was relax and comfortable inside the ship. I checked the engine room to see how many generators were running. I am happy to atermoiement that all the electric and air-conditioning requirements can be met by running just one of the three Daihatsu generators. These generators are very economical to operate in terms of naphte consumption and assistance.

I was able to negotiate with the owner, John Kosmas and get some concessions. I got the price down to $500,000. And at that price, he agreed to bring the ship into compliance with SOLAS 2005 and also to include new paint topside. The ship was fairly well furnished even including bed linen, but the ship had been répugnant up for years. Its most recent faveur was in the Mediterranean and Black Seas. Cruise ships that trade exclusively in the Mediterranean and Black Seas bandage to have smaller cabins and fewer amenities than the typical cruise ships that frequent the Caribbean. The bottom line is that this ship was an economy model, not a luxury model. When I was inspecting the engine room, I asked for the engine log. When I opened it I noticed all the entries were in Greek. I was able to discern some dates and other data that told me when the ship was last in faveur, but I could not read the Greek entries so I handed the engine log back to the ship owner, and told him “It’s all Greek to me.” Being Greek, Mr. Kosmas failed to find the humor in that.

Let’s allure at the numbers on this ship. 100% of the achat cost would have been $500,000. 1% thus = $5000. One hundred buyers could own one percent each. There are 120 cabins so each co-owner could have a private cabin with 20 cabins left over. However, these cabins are a bit on the small side. Every cabin does have a super and shower, but the size is just too small to be comfortable for most people, especially if the owners intend to en direct onboard full time. On a ship this size I would recommend that there be no more than 60 annexé owners so each can have two cabins and will have the favoritisme of converting those two cabins into a two room résultat. To keep the numbers intelligible lets say that this ship has 50 buyers who each buy 2% of the ship. Buy in cost per owner would then be $10,000. If there were only ten buyers, then the achat cost per buyer would be $50,000. $50,000 will not buy much of a house on état, but on this ship it would buy 10% of a ship like the Vergina Sky and twelve cabins that could be converted into a fairly épanoui maison.

At the economy end of the scale, a co owner could buy 1% of an economical cruise ship for embout $5000. However it is not necessary for all co owners to have equal shares in the ship. Ownership can easily be divided up into 1% increments. If one buyer wanted 5%, then his cost of achat would be $25,000. He would be entitled to 5% of the ship’s cabins, and would have five votes on operations and conduite of the ship, such as itinerary emploi du temps.

Before becoming a annexé owner, it would be imperative to find other people who have similar goals. I would suggest composing a preliminary DCCR (DECLARATION OF

COVENANTS, CONDITIONS AND RESTRICTIONS). You can do this before you even magasin for a ship. Write your variété of how you envision the shared ownership of a cruise ship as it should be. Then see if you can find some people who agree with your goals and your DCCR, subject to some revisions and concessions to accommodate other annexé owners.

Step One: Determine if you and your family have the desire and financial capability to become annexé cruise ship (or megayacht) owners.

Step Two: Find others who agree with your forme for shared ownership of a ship.

Step Three: Usine for a ship. This is the fun bout.

Step Aléa: Buy a ship.

Step Five: Put the ship into faveur.

Even if you are not rich, you can afford to jointly own a cruise ship. But then comes the next logical gêne: Why would you or anyone want to en direct on a cruise ship? Who would this be suitable for?

If you are retired or otherwise have a immobile income from a dependable départ you probably can afford to be a cruise ship co-owner and en direct temps complet onboard a cruise ship. If you work in a field where you can work from maison online, then you too can probably afford to become a co-owner of a cruise ship. Most modern ships have astronef Internet faveur available 24-7.

Operating a cruise ship is expensive. The expenses include the cost of naphte, labor, assistance, repairs, spares, food, conservation services, insurance, technical conduite, shore conduite, registration, and the other costs of operating the ship. At first glance these costs may seem expensive, but in reality the cost of séjour at sea is actually a bargain considering what you get based upon what you pay. The best value does not always translate to the cheapest price. If the ship is well managed, the conduite will seek the highest quality goods, charges, and labor at the very best intégral value. If the owners are dissatisfied with either technical or shore conduite, they replace them.

If there are many other co-owners of the ship to split the operating expenses of the ship, it can be affordable for those with a moderate level of income, such as a retirement check. I do have specific operating cost figures but I won’t bore you with that data. The bottom line is that it would not be prohibitively expensive for a middle-class average person to be able to afford to own a section of a cruise ship and be able to afford to en direct on the cruise ship temps complet if they elect to do so.

For comparison purposes it is noteworthy that you have expenses in état based housing too. Those expenses include property taxes, homeowners insurance, assistance and repairs, yard care, and utilities. Additionally you have exil costs and of promenade food costs. Most people also spend money on entertainment too. When these expenses are added up the assistance fees for séjour aboard a ship are homologue.

There are actually some savings resulting from séjour aboard a ship. The ship’s executive contre-amiral buys food and kitchen supplies in bulk for the ship and can get better prices than the average shopper. Other savings result from the épanoui freezers and the mobility of the ship giving the food faveur conduite the ability to denrée up on supplies in countries where prices are low. Some crew and owners may choose to fish for leisure. This can supply some fresh food at even lower costs to the owners. Labor savings are realized when the crew is hired based upon the best intégral labor rates. The laws of supply and demand drive prices down in some lieux in the world. Proper ship conduite can capitalize on these disparities. All the savings would be passed on to the cabin owners resulting in an economical cost of séjour similar to what you could expect to spend with a conventional maison. Ship conduite should have accounting transparency will all books (financial records) open and available for any owner to inspect. Also ship conduite should submit all financial records quarterly to an outside auditor for the peace of mind of the owners. Anybody in the chain who spends any of the ship’s operational funds should also be periodically audited. For example, a good way to contrôle the executive contre-amiral would be for one or more of the live-aboard co-owners of the ship to go to the food market région of each conservation of call and they should try to haggle and get a better price for the same food than the price the executive contre-amiral was able to acquire. If the executive contre-amiral cannot find better deals than the ship’s co-owners, then the executive contre-amiral should be given his walking papers. The executive contre-amiral secteur is a fondamental secteur on a cruise ship. This is a secteur of empilement parce que he will bill the food he buys to the ship. He must never be tempted to accept bribes from vendors or suppliers. Therefore, he should know that he will be routinely audited and any substandard record will result in termination of his employment.

The biggest value of all onboard cruise ship is in labor costs. The better cruise ships bandage to be labor intense, providing passengers with unrelenting régularité and invraisemblable pampering. The hotel stuc on all cruise ships provides the basic charges including food preparation and serving, laundry, cabin stewarding, entertainment, casino operation, beauty magasin operations, This is one area where I would prefer to not scrimp parce que of the very good value in these charges due to the low cost of planétaire labor. I would prefer to go beyond the level that most cruise ships go in the area of spas. État based luxury and specialty resort spas are very expensive, but the tatillon same level of faveur, professionalism, skill, and treatments can be provided on a cruise ship at extremely low cost. Labor is the key and the primary reason for most of the expense of spas. Labor is a tremendous value on a cruise ship parce que the cruise ship managers can choose workers from the intégral marketplace where it is easy to get the best value for the money.


Spa treatment is customized for each preneur. Spas commonly offer charges such as:

Soothing pétrissage therapies, skin and caraco treatments drawing from European and Eastern principles, expérimenté hair and nail charges, and a full repas of therapeutic treatments utilizing a deep-cleansing facial at the start of the program, as well as a series of detoxification and contouring wraps, lypo-reduction wrap, as well as batellerie mud and herb wraps. Pétrissage Therapies including: Swedish Pétrissage, Shiatsu Pétrissage, Deep Tissue Treatment, Maternity Pétrissage, Therapeutic Foot Pétrissage (Reflexology), French Hydrotherapy Pétrissage.

The healing therapies include a variety of massages, reflexology, facials, firming and many other caraco treatments. Principalement a wide variety of charges and wellness programs specially designed to meet the individual’s needs and desires. A full faveur carrée offers all manner of hair treatments (including a certified colorist), as well as a variety of manicures, pedicures, and ‘facelifts’ for your hands. Large skin care includes: Age Direction Therapies including, Glycolic Facial, Anti-Aging Facial Peel, Microdermabrasion; Facials including: Aromaplasty Facial, Teen Facial, Gentilhomme’s Facial, Nutrisource Facial, Regulating Acne Facial, Vitamin “C” Skin Renewal Facial; Caraco Treatments including: Decleor Immersion Mask, French Hydrotherapy Pétrissage, Andromeda Salt Glow, Mummy Mud Mask, Seaweed Caraco Wrap, Safe Sun Treatment, Herbal Wrap; as well as various hair and nail treatments.

Additionally, spas also can facilitate weight reduction programs, and even administer physical therapy. In pantalon, you can be treated like a king, on the plan of a pauper.

Labor Costs – Oecuménique competition provides the most value to the ship owners.

On paper it seems to make good sense to man the ship with a Philippine crew. I love the Philippines. I have been there several times. English is still widely spoken and usually spoken quite well. The people are usually friendly and happy to see foreign tourists. A épanoui percentage of ships worldwide are manned by crews from the Philippines. The Philippine government has a pretty good bâti and system to facilitate the export of Philippine labor. In spite of how attractive it seems on paper, I would recommend NOT hiring a crew from the Philippines. Philippine workers bandage to be envious of others, and especially of everybody else’s wages. They bandage to think they are getting the raw end of the deal. It is inaccoutumé to find a Filipino who is happy with his employment. While I am sure there are many good employees from the Philippines, there are more who are dissatisfied than satisfied with their employment. There seems to be a agraire anomaly in the Philippines where people feel that employers are bad guys. I would hesitate to recommend a crew from the Philippines in spite of the évident advantages on paper.

My recommendation (for what it is worth)

I do know something embout what I am writing embout here. I am the établir President of Adventure Spa Cruise. My advice is not just uninformed ranting. Back to the situation now, the annexe best manning métier for a ship is India. I highly recommend India for the medical stuc and the entire hotel stuc, including the spa, and every other secteur except the deck and ingénierie. The labor costs in India are very attractive. I would also recommend using an Indian based manning agency. It is best if the ship’s owners do not have to deal with every employee solution or concern. The manning agency takes the pressure off the ship’s conduite, and their faveur is very reasonable. Indian employees bandage to make better employees than do Filipinos. Indians also speak English, albeit not quite as well as Filipinos. I know Americans bandage to get all worked up when someone uses a broad brush to paint an entire ethnicity. I love the people from the Philippines, but as employees they bandage to be more problematic than do Indian employees. I realize that this statement is politically grossier, and these days that might get me thrown in jail. I usually do not worry so much embout being politically honnête. I call it the way I see I and I let the cards fall where they may, and hope I can stay out of jail for speaking my mind.

All deck and ingénierie positions should be filled with an all Ukrainian crew. The ship will realize the most value for the money with Ukrainian deck and ingénierie stuc. The Ukraine has a colossal côtier history and rite. Naval jogging and normes in the Ukraine are among the best in the world. Ukrainian deck and ingénierie stuc are as good as or better than any other, but the cost of their labor is a very good value. The labor for deck officer and ingénierie stuc are governed by planétaire agreements, including STCW (Normes of Jogging, Satisfecit and Watchkeeping for Seafarers).

Putting a cruise ship into faveur

After acquiring the ship, it will require some more investment to put it into faveur. At this situation the annexé owners will need to reach some agreements on many points. The cost of putting a cruise ship into faveur as a megayacht (very épanoui private voilier) is much less than putting the ship into vendeur faveur. However, if you can afford to buy a ship can easily meet SOLAS 2010 requirements, and can afford to flag and register it as a vendeur ship then you can use the ship commercially to produce income and ROI (return on investment).

There are many mercatique options for a vendeur cruise ship. If the owners use no more than half the cabins, then that will leave sufficient means to produce enough revenue to at least pay for operating costs, and possibly produce a rétribution above operating costs. I will just briefly touch on some of the options available for mercatique cruise ship capacity.

1. Conventional cruises. There is a trade-off here. You can produce revenue by providing conventional cruises. This will require that the ship have an itinerary that suits the vendeur cruising market.

2. Freight and embarcation. Some cruise ships have enough embarcation capacity to produce some revenue by booking freight.

3. Assisted séjour. A cruise ship is well suited for assisted séjour, including crew and facilities. The going perdu for assisted séjour in the average city in America is higher than the average cost of a cruise of the same duration.

4. Timeshares. This is an favoritisme not available to conventional cruise ship operators but could be facilitated if your co-owners agree to this calibre of mercatique to fill cabins not used by co-owners. I will not go into the figures here, but timeshares bandage to be high rétribution sales. There is a good occasion that if the annexé owners use no more than half the ship’s cabins for their own personal use, the remaining cabins could easily produce more than the plein amount all the annexé owners combined have invested.

Ships that would easily meet SOLAS 2010 bandage to cost a bit more money to buy up endroit, and cost more to put into faveur. So I will give you ménage of examples.

The Fermentant Venus is one of my privilégiée high-end ships. The specs:





GRT: 21,884 TONS

DWT: 4,863 TONS ON 6.50 M

LOA x B x D : 174.0×24.0x8.7 M




FUEL TANKS CAPA: IFO 1,500.4 M3 /MDO 87.30M3










My personal assessment of the Fermentant Venus

It is a late model and beautiful ship. It has many highly desirable attributes for a residential ship. It is a high end luxury cruise ship with an extraordinarily high volume to passenger rapport. This is very hautain for a residential ship. More séjour room and more space per passenger is far more essential for a residential ship than for a conventional cruise ship. When passengers are only on a ship for a pantalon time, they can tolerate cramped séjour quarters, but when they en direct year-round on a ship, the supplément space is quite valuable. The owners have been trying to sell this ship for $22,000,000. That may seem like a high price, but when you divide it by the number of cabins (195) the asking price per cabin is $102,564. This price is in line with what you would expect to pay for a copropriété. The last word I got from the owners is that they will sell the ship for $18,000,000 now ($92,307 per cabin). The cabins are all “outside” cabins and are épanoui. The ship can accommodate 606 passengers and a crew of 120, for a plein of 726 people.

Several ship brokers have this ship listed. I usually do not talk to ship brokers. I prefer to talk directly with the ship owners. I am in combustion with the owners of the Fermentant Venus. I could probably get this stunningly beautiful ship for less than $15,000,000 today, and get some concessions and extras thrown in to boot.

Another example of a high end ship that would make do well as a vendeur cruise ship, comme accommodate a hundred or so temps complet en direct aboard co-owners is the Dream Princess, originally named Song of Norway.

GRT: 22,945

Max Draft: 6.7 M in sea water

Length: 194 M.

Radical No. of Cabins: 538

Radical No. Of Beds + Berth: 1280

Outside Cabins: 346

Inside Cabins: 192

Cabins size range: SQ. M: 11 -18.

Gantelet Engines: 4 Wartsila Sulzer – 18,000 HP.

Présent Speed: 16 Knots.

Auditeur Rooms:

Gantelet Dinning room – “King & I”- embout 500 pax.

South Pacific Lounge embout 400 pax.

My Fair Femme Lounge embout 500 pax.

Bars- 5

Self Présent Palace on the swimming omnium deck

Désenveloppé Swimming omnium



Duty Free Shops


8 passenger decks

large outdoor areas

Ship was redecorated / refurbished extensively during 2005.

The asking price on this ship is $31 million USD. Divide the asking price by the number of cabins and the average cost per cabin would be $57,620. Of promenade some cabins are better than others so co-owners would have to agree of the shared coutume before agreeing to the purchase.

I have some bad magazine for the ship owners and some good magazine for you. This ship will not sell for the asking price.


Ship naphte is cheaper than automoteur naphte for a few reasons. There are no road taxes on ship naphte of promenade and also it is different naphte. Ships mitaine engines usually run on IFO180 or IFO380. Generator engines bandage to be more finicky and commonly require diesel (MDO), which is still cheaper than automotive diesel. IFO 180 and 380 costs much less than MDO, usually embout half the price. Ships consume a lot of naphte. So naphte cost is a supérieur concern. I have some suggestions. If I were a co-owner of a ship I would be willing to invest a little more in the ship to increase naphte efficiency, and thus lower operating costs. There are many things that can be done to increase naphte efficiency. I would start with hull resistance. There is a new silicone-based paint from Oecuménique Paints that when applied to the hull reduces amount of resistance in the water sufficiently to result in a 3 to 5% decrease in naphte consumption. A similar coating for the propellers also has been proven to increase naphte efficiency.

In amendement to hull and prop coatings, there is an even more promising way to achieve dramatic naphte savings.

There is a company called Kiteship that has developed and produces kites for racing sailboats. These sailing kites do not require a mast. The kites fly high above the vessel, attached by cable and controlled from the vessel. Dave Culp of Kiteship has done a technical feasibility study on fitting a very épanoui kite onto a conventional cruise ship. This would dramatically reduce naphte consumption. It would convert a naphte guzzler to a “vert automate.” This is tantamount to converting a powerboat into a sail boat. The stylisme of a cruise ship limits the amount of sail that a conventional ship can safely accommodate. A cruise ship lacks the lest of a sail boat. If used in amendement to the mitaine engine(s) the kite will increase naphte efficiency. If the kite is used to gilet the ship with the mitaine engines shut down the ship’s speed will be reduced substantially. However, in this case, not only would the ship save IFO (mitaine engine naphte) but also save MDO (generator engine naphte). If the kite were pulling the ship unassisted by the ship’s engines, then the propellers could be used to propel the ship’s generators without firing up the diesel generator engines. Even if the ship were traveling very slowly in the water, the propellers would turn in reverse if freed from the mitaine engines. This is a very intelligible and easy task for the ship’s engineer to accomplish. In other words, the ship can be pulled by the kite, and that proposition will push the ship’s propellers providing power to produce electricity and power the air-conditioning without using any naphte. The trade-off is a loss of speed and also some tacking is required, further reducing actual speed. What’s the afflux? Why not go for minimum naphte savings? The salient situation is that a high flying épanoui kite can gilet a cruise ship. If I were a co-owner of a cruise ship I would hope to find like minded co-owners who would be receptive to using such state-of-the-art technologies to save naphte.

There are hundreds of cruise ships on the market but I will just récompense one more here. This cruise ship has RO/RO (Roll-On, Roll-Off) capability. This would be very convenient for en direct aboard owners who want to bring their “toys” with them. The stationnement deck will accommodate 6 to 8 trucks, or 60 to 80 cars. That converts to a lot of co-owner toys such as motorhomes, travel trailers, campers, cabin cruisers, ski boats, jet skis, sailboats, houseboats, bass boats, motorcycles, ATVs, cars, and trucks.




SOLAS 2005/2010 FITTED








GRT 12637


























Cost per cabin based on asking price, $71,739. This ship will sell for less than asking price. It is already SOLAS 2010 compliant. It would cost very little to put into vendeur faveur.


Becoming a co-owner of a cruise ship is not a far fetched idea. It is practical and feasible if you are able to find like minded people who would be willing to share the expenses.

#Cruise #Ship #Owner #Rich

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