What is APA?
When you charter a yacht, the APA is a pre-paid amount covering various running costs during your trip. Think of the APA as a dedicated allowance for the crew, designed to simplify the charter experience by ensuring all your onboard expenses are covered from the start.
What Does APA Cover?
The APA covers all day-to-day operating expenses for your yacht charter, including:
- Fuel: For cruising, water sports, the tender (dinghy), and running the yacht (generators). Your fuel costs will depend on your itinerary and activities.
- Food and Beverages: Customized to your tastes and dietary needs. Your broker will send you a preference sheet to specify your favorite foods and drinks, including specific brands you prefer, which helps calculate your APA estimation.
- Port and Marina Fees: Charges for docking at various locations.
- Communications Costs: Internet and satellite communications while onboard.
- Special Requests: Such as renting special equipment or arranging unique experiences.
- Delivery Fees: Applicable if you board or disembark the yacht outside of her usual port.
- Laundry Costs: Yacht laundry is included in the charter fee, but personal items may incur additional charges.
How is APA Calculated?
The APA is generally calculated as a percentage of the charter fee:
Sailing Yachts: 25% - 30%
Motor Yachts: 35% - 40% (Motor yachts typically consume more fuel, leading to a higher APA.)
Your broker will provide an APA estimation before your charter, tailored to your specific itinerary and preferences.
How APA Allows for Flexibility and Customization
One of the core benefits of the APA is the freedom it gives you to customize your charter experience.
Here’s how it works:
- Preference Sheet: Before your charter, you will fill out a preference sheet provided by your broker. This sheet allows you to specify your favorite foods, beverages, and any specific brands or products you want to have on board. Whether it's a particular type of wine, a brand of coffee, or dietary requirements, you can detail all your preferences.
- Custom Requests: The APA allows for all these custom requests. For instance, if you prefer gourmet ingredients or a specific brand of spirits, these items will be sourced as per your request. The costs of these specific items are managed within the APA by the captain.
- Impact on APA Estimation: The more specific and premium your requests, the higher the APA estimation might be. For example, requesting vintage wines or specialty foods will increase the overall costs covered by the APA. However, this system ensures that your charter experience is tailored exactly to your preferences, providing a truly bespoke charter experience.
This flexibility and customization mean that your yacht charter is not just a trip but a personalized luxury experience. The APA system allows the crew to prepare everything in advance according to your exact preferences, ensuring a flawless and enjoyable experience from the moment you step onboard.
How is APA Handled?
When and How Do You Pay APA?
The APA is due at the same time as your final charter payment, approximately one month before you set sail. You will pay the APA to your broker, who will then ensure that the funds are transferred to the yacht captain.
Who Manages the APA?
The captain oversees all purchases made before and during your charter, ensuring the crew stays within budget. The captain keeps detailed records and can provide receipts and expense accounts upon request during the charter. If significant costs arise during the charter, the captain will notify you before such expenses incur and seek your approval.
What if the APA Doesn’t Cover All Expenses?
Should your expenses exceed the initial APA, you can top it up in cash while onboard. The captain will keep you updated throughout the trip, and any outstanding costs must be settled before disembarking.
What if We Don’t Use the Full APA?
If there’s any credit remaining at the end of the charter, the captain will issue a refund. You will receive the outstanding balance in cash before you leave the yacht unless agreed otherwise.
APA Closure
At the end of the charter, the captain will provide a detailed APA report to the client, showing all the expenses incurred during the trip. This report includes receipts and records of all purchases made. The captain will review the report with you, and any outstanding costs must be settled before disembarking. If there is any remaining balance, it will be refunded to you.
Once the report is reviewed, the client will sign the APA report to confirm that all expenses are clear and acceptable. If there are any disputes, the captain will handle them via the broker until all issues are resolved to the satisfaction of all parties. This final review and agreement ensure that all financial matters are transparently handled and concluded appropriately.
The Role of APA in Your Yacht Charter
The APA is a key component in creating a bespoke and enjoyable yacht charter experience. It allows the crew to provision the yacht according to your preferences, ensuring everything from food and drinks to fuel and port fees are covered. This prepayment system lets the crew prepare in advance, so the yacht is ready and equipped to meet your needs from the moment you board.
Yacht charters are more than just rentals; they are luxury experiences tailored to your desires. The APA enables this customization, allowing for a truly unique experience. Understanding the APA and communicating your preferences ensures your trip is perfectly tailored to you. Open communication with your charter company or broker can help make your yacht charter an unforgettable and personalized vacation.
Happy sailing!
To learn more about charter prices and different charter terms and conditions, please read our blog on [Budget Planning When Chartering a Yacht].
Feel free to reach out if you have any questions or need further assistance with your yacht charter plans. We're here to help make your experience as smooth and enjoyable as possible!