Funding Sources? (merged)

I have a large catamaran build with the hull 95% complete. That means both hulls done, all connectives done, bridgedeck up, etc... Even the roof is up.

However, we need another $150-$200K to complete the project.

The boat's finished value will be in the range of $600-$800K. The boat also charters for $20K per week after launch.

Where can one find financing for this type of gap?

 

I guess you know the chances of any bank touching this is very remote-unless you get another mortgage.
My only suggestion is private money,and they're going to want very good collateral ie. free and clear property,cars etc. and you'll be paying higher interest.

 

Look carefully at this site-you may be able to put together and offering that would work: http://www.indiegogo.com/
There are several other sites like this-this one has good rep as best I can tell. Check any site like this out very thoroughly. Good luck!

 

Outside of family this is almost impossible to agree terms . The lender will (and I dont blame them) want ownership for security and that would be a bitter pill for you.

If you were willing to do that you would in effect be handing it over and when paid hope they would give it back.

Some trick contracts needed.

 

You would have to seek private finance, using a decent buisness model and operating from a home base.

 

hahaha - I think you know exactly where you need to get the money from - and fishing around boating forums is as clever a way as any.

Whether I would go into business with someone thinking that the boat was 95% completed with $200,000 left to go, is another thing. That would make the boat worth in the millions.

Is it being built to survey so it can be insured and chartered ?

 

I know where there's a bridge we can raffle off, for a modest 25% commission.

Interesting definition of '95% complete', I agree.

PDW

 

Actually banks are willing to finance boats, particularly commercial ones. However, you need to be able to provide a solid business plan and good references of what other venture you have been successful on. For example, your statement that " the boat charters for $20 k after launch" is meaningless. You need to show that you actual or previous boat generated that kind of profit. Also, that the market hasn't changed and your previous customers are satisfied and will charter the new boat.

 

One problem with 20k per week charter boats is that the charter market is 75 percent Mediterranean, 12 percent Caribbean and 13 percent rest of the world including the US.

http://www.camperandnicholsons.com/publications/document/view?fn=45

Your buisness plan must address this.

 

catbuilder in trouble

Remember catbuilder? Looks like he is going through a rough patch and his build is in jeopardy.

Take a look. You may have to join to see the pictures on this forum.

http://www.multihulls4us.com/forums/showthread.php?t=5202

http://www.multihulls4us.com/forums/showthread.php?t=5212

 

Hmmmm

It doesn't pass the smell test.

 

All I vaguely remember is he'd ask for advice continually,then when it didn't fit what he thought it should he'd get all pissy.

But thought himself the expert on everything else..and left in a huff because he was proven wrong about something- cats flipping IIRC.

 

Yes, I thought that the gorgeous, ex model, boat loving wife concept was great, but living with the captain, while building such a big boat, would try the patience of a saint.

So many project driven males ( houses, boats, cars, rockets, submarines ) end up without the original partner.

 

Yup..that's how I remember him too...

 

It looks like 'cat' is doing everything he can think of to fund this build....:

This stinks