Fractional ownership is a business concept that has been around for decades. It is a method of ownership where several people can own a share in an expensive asset. Monocle Fractional Yachts is the smart alternative to joining a vacation club which can only offer you limited views and marginal services. Investors choose a fractional approach to investment when they do not want to spend the amount of money required to own the entire asset and they do not want all of the risk or hassle that accompanies ownership of the entire asset. Monocle has pioneered the use of fractional ownership applied to a specific class of asset, the luxury yacht.
Fractional ownership splits the cost of purchasing the asset and managing the asset across a set of owners. Because an independent professional handles management, the fractional owners are free to enjoy themselves and be removed from the management responsibilities. Each owner is free to use his/her share of the asset according to the terms of the purchase. Monocle applied the fractional ownership concept to luxury yachts because most yacht owners only use their yacht several weeks a year and the costs to acquire and maintain a yacht are immense.
Under the Monocle Program, Fractional ownership is perfect for yacht owners who want the yachting experience with no hassles and no waste of their hard earned capital. We have owners in the Monocle Program who own 5% of a yacht through to 70%. Many purchase 10% of a yacht for their personal use and another 10% for business use including entertaining, corporate retreats, chartering, and hosting clients. Virtually all of our owners could afford to purchase the entire yacht outright, but do not want the waste that comes with letting a major asset sit idle in port and the hassle of management.
The most common misconception about fractional ownership is that it is a timeshare by another name. This is a mistake. With timeshare arrangements, you do not own a share in a property, merely the right to use that property for a set period of time. When your time runs out, you are left with nothing. With fractional ownership, you own the asset and receive a deeded title reflecting your ownership. If you desire, you can transfer or sell your asset whenever you want.