Leasing

Leasing For Europeans

Leasing or Rental with Purchase Option
Rental with Purchase Option (LOA) is a form of leasing applied to yachting. It is a great way to acquire a TAX-FREE boat and resell it in the Pacific without having to pay European tax. This purchase option is sometimes overlooked or more generally misunderstood. However, most new boats are bought today in France on this model. This is the case for the majority of recent ships arriving in the Pacific.

How does it work ?
The boat is bought inclusive of VAT (All Taxes Included) in Europe and is rented to a tenant excluding tax (Excluding Tax) by a bank which is actually the owner and which recovers the overall VAT on the boat. If the boat is sailing outside European territorial waters, which is the case for all boats under sublease and arriving in Polynesia, you will therefore have the choice of:

1. Buy back the HT boat from the bank for the amount of the credit owed, and pay part of the rents already paid to the tenant.
2. Take over the current leasing if you are eligible with the bank that actually owns it. You will then have to pay the residual value back to the tenant to buy back their lease, and continue to pay tax-free rents.

In this operation, you can therefore keep part of your capital and dedicate it to your cruise.

Our agent can guide you in the sale of your boat under LOA, or the recovery of a boat under LOA.