Time to make an offer?

If the boat is in your local Marina, you may be able to wing it with a handshake and a beer, but if it is across an ocean like when we bought Baloo, you will need to be more thoughtful about it.

There are plenty of templates to make an offer out there, and I can gladly point you to a few if needed, but I think you should draft your own as a starting point to make it personal, and start the negotiation on a good foot.

Your offer should be presented as a signed Purchase Agreement that includes a least: the offer price, deposit amount, trial run and survey deadlines and contingencies that must be satisfied for the transaction to be completed. But just like when you buy a house, you should think about how you can make your offer compelling beyond just the price (what are the terms that have an asymmetric value to you and the seller? What is your story?)

Lastly, it is obviously very important to get everything in writing. Not that international contracts are really binding (good luck to sue someone abroad…), but it will set a clear mutual understanding of each party expectations and will smooth out the process.

Here are a few tips form the CYBA:
• Buyer and Seller identification.
• Legal description of the boat.
• Legal description of other auxiliary boats such as tenders.
• The amount offered, the deposit and how the deposit will be held in a trust account. The deposit should be
fully refundable if your contingencies are not met satisfactorily less any buyer authorized expenses.
• Specific dates that spell out the length of the contract and when the transaction will close.
• The purchase price, including any deposits you have paid and how you will pay the balance.
• Buyer’s final acceptance signature agreeing that all contingencies are satisfied.
• A statement confirming the boat will be free of liens and encumbrances
• Details about the closing date and location for delivery.
• Remedies for default by either party.
• Dispute resolution provision.

Let me know if you have great templates/examples and I will share them here.

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