Definition
A brokerage is the commercial intermediary that represents buyers and sellers in yacht and tender transactions. The broker sources or markets the boat, qualifies counterparties, negotiates the deal, and manages the paperwork through to closing in exchange for a commission, typically paid by the seller.
Background and use
Yacht brokerage borrows its structure from real estate but operates without a central listing system. Listings circulate through professional networks (YATCO, BoatWizard, IYBA) and through direct-to-broker relationships. A buyer working with a broker gets access to the on-market inventory plus, in most cases, a quiet pipeline of off-market boats that owners are willing to sell to the right buyer without public exposure.
For tenders specifically, the brokerage market is smaller and more relationship-driven than the main yacht market. Tenders rarely have a single canonical valuation source, and condition variance is wide because they live a hard life under davits and on transom platforms. A specialist tender broker brings model-by-model knowledge that a generalist yacht broker often lacks: which Pascoe limos have been refitted, which Hodgdons are coming up for sale ahead of an owner's new build delivery, which Williams jet tenders carry residual value and which do not.
Commission rates run 8-10% of the gross sale price, split between buyer's and seller's brokers if both are involved. Most jurisdictions require brokers to be licensed (Florida, California, the UK under MCA-related schemes for commercial vessels) but the practice itself is global and not heavily regulated for private sales.
Related considerations
- Buyer's broker representation is paid out of the seller's commission in nearly all transactions; engaging one rarely costs the buyer extra.
- A central agency listing concentrates marketing through one broker; co-brokerage means multiple brokers can introduce buyers.
- Always insist on funds held in escrow during the survey-and-acceptance period; never wire deposits direct to a seller.
- Check broker membership of IYBA, MYBA, or equivalent for code-of-conduct enforcement.
- Off-market deals often close faster but with less competitive pricing leverage.