The Value to You of a Brokerage Contract
There are two forms of contract available to offer a Yacht for sale via a broker, known as either an OPEN LISTING or a CENTRAL LISTING.
An OPEN LISTING permits you to find the buyer and sell the boat yourself and not pay the standard 10% commission, unless the buyer has been introduced to the yacht by a broker.
A CENTRAL LISTING traditionally obliges you to pay a 10 % commission to the listing broker, even though you might find the buyer yourself. To remedy this somewhat unfair situation, we will charge only a 5 % commission in the event that you find a buyer, providing that the buyer has not been introduced to the yacht by anyone from the yacht brokerage industry. Under this scenario, the responsibilities of the Broker are not diminished and we will still provide the usual services and assistance necessary to complete the sale.
First a word about the OPEN LISTING and some suggestions as to its limitations, inspite of its apparent appeal.
1. Human nature being what it is, a broker is unlikely to invest his skills, time, experience and advertising budget in a situation where he is competing for his livelihood directly with the owner of the boat.
2. Offering the listing on an open basis to several brokers might sound alluring, but the owner will quickly lose his power to control the selling price. Why? Because your yacht will become an item haggled over in a bazaar, as the potential buyer shops the market and contacts different brokers. In all probability, the brokers will be advertising varying prices representing their assorted financial needs rather than your price goal. Haggling in a bazaar always applies downward pressure, it is fun for the buyer, but hardly in your interest as the seller.
Selling a yacht invariably takes a while and obtaining the highest possible price for your asset demands a whole range of skills. Signing a Central Listing with us commits us not only to work on your behalf, but avoids the risk of your asking price spiraling downwards out of control.