Boat owners: you may be sitting on a gold mine in terms of the rental potential of your boat! Lots of people may want to rent your boat and are willing to pay to do so. And now, technology has made it easy to sign up and match renters and owners.
What has fueled boat rentals?
Two trends collided to make boat rentals take off. First, the technology is available and sophisticated, thanks to the online home rental explosion (with websites like Airbnb and VRBO). Second, the pandemic primed the pump, so to speak, as people sought vacations and travel that was safe. Boating ranked high on the list and continues to be popular post pandemic.
In short order, thousands of boat rental sites have sprung up. Some are focused on a particular city, like the Chicago waterfront. Some are focused on a single marina. Others are regional and national. Even some home rental sites now rent boats, including VRBO.
These boat rental sites are feeding the rental frenzy, with the global boat rental market expected to grow from $17.6 billion in 2019 to $23.1 billion by the end of 2025.
Getting started is easy
With very little effort, you can register your boat for rental. You determine the cost and the conditions based on the market you’re in (using these same rental sites, you can see what other owners of similar boats charge). Set ups are flexible. You pick the dates when you want to rent your boat. You can request that you always be the captain (with your crew if you like) and rent your boat as a charter service or you can rent your boat where the renter supplies the pilot and crew.
Here are a few quick pointers as you consider renting your boat:
USCG and State Licensing Requirements. If you want to be the captain when you rent your boat, you must become officially a charter captain. You must be licensed, and your vessel must meet passenger vessel requirements. Many rental sites will walk you through this requirement.
Insurance. Of course, it’s important to make sure you have the right insurance coverage. Insurance should cover damage if another person pilots the vessel, if that is your set up. Many of the rental sites offer insurance coverage for the rental period. Check with your insurance agent to make sure you have coverage for damage to your boat, damage to another boat from a collision, fines for accidental fuel spills and coverage for personal accidents, medical bills and legal costs.
Fees. Rental companies may charge up to 30% or 40% of the total transaction. This may or may not cover insurance and towing fees. Sites are transparent about their fee structures.
Rental stipulations should match your personality
If you are an extrovert and love to pilot your boat, you can set up the rental offer so that a renter must use you to captain the boat. Many renters prefer getting a boat that comes with a captain and crew, so the renter and friends can enjoy the travel without worry. Other renters want a captain in charge who is willing to teach them the ropes.
However, if you have a busy life and are looking to make some money from your boat during times you are not using it, you have two other choices. You can rent the boat as a bareboat, where the renter captains. Or, you can help the renters find a captain and crew.
No matter how you decide to join the boat rental market, rental sites will help answer your questions and smooth the process for you.
