When planning a yacht charter, you will come across a few terms that may be unfamiliar at first. One of the most important is the Advanced Provisioning Allowance (APA).
While the name might sound complicated, the concept is actually quite simple. The APA is a pre-paid amount used to cover the running expenses of your charter, from fuel and marina fees to food, drinks and special requests.
Understanding how APA in yacht charter works will help you plan your budget and, more importantly, enjoy your time on board without having to worry about individual expenses along the way.
WHAT IS APA?
The Advanced Provisioning Allowance (APA) is an amount paid in advance to cover the additional costs incurred during your yacht charter. Rather than paying separately for fuel, provisions, port fees and other expenses throughout your trip, these costs are managed from the APA by the captain and crew.
Before you set sail, your charter broker will provide an estimated APA based on your itinerary, the yacht you have chosen and your personal preferences. This gives the crew the opportunity to prepare everything in advance and have the yacht ready for you from the moment you step on board.
WHAT DOES THE APA COVER?
The APA generally covers the day-to-day expenses of operating the yacht, including:
- Fuel – for cruising, generators, the tender and water toys. The amount used will depend on your itinerary and how much you cruise during the charter.
- Food and beverages – based on your preferences, including specific products, brands and dietary requirements.
- Port and marina fees – costs associated with berthing and docking during your itinerary.
- Communications – internet and satellite communication costs where applicable.
- Special requests – additional equipment, activities or other arrangements requested during your charter.
- Delivery fees – when the yacht is delivered to or collected from a location outside her usual port.
Your broker will help estimate these costs before the charter, taking into account both your plans and the way you would like to spend your time on board.
HOW IS THE APA CALCULATED?
The APA is usually estimated as a percentage of the charter fee, although the actual amount will vary depending on the yacht, itinerary and your preferences.
As a general guide:
- Sailing yachts: approximately 25-30% of the charter fee
- Motor yachts: approximately 35-40% of the charter fee
Motor yachts generally have higher fuel consumption, which is one of the reasons their estimated APA tends to be higher.
These percentages are only guidelines. Your broker will provide a more accurate estimate once your itinerary and preferences are known.
One of our yachts, MAIA, stands out for her exceptional fuel efficiency, consuming just 35-40 litres per hour. Every detail, from her hull design to the engine and propeller, has been carefully engineered to maximise efficiency, helping to keep fuel consumption low significantly reducing the APA requirements to 25%.
APA IN YACHT CHARTER
YOUR PREFERENCES, YOUR CHARTER
One of the best things about a yacht charter is that the experience is shaped around you.
Before your trip, you will usually receive a preference sheet where you can share everything from your favourite foods and drinks to dietary requirements and preferred brands.
Perhaps you have a particular wine you love, a favourite coffee, or ingredients you would like to have waiting for you on board. The crew can arrange these provisions in advance, with the costs covered through the APA.
Your preferences can also influence the initial APA estimate. More specialised or premium requests may naturally increase the amount required, but the idea is simple: the crew has what they need to prepare the yacht according to your wishes before you arrive.
HOW IS THE APA HANDLED?
When do you pay the APA?
The APA is normally paid together with the final charter payment, approximately one month before the start of your charter. The funds are transferred to the yacht and managed by the captain throughout the trip.
Who manages the APA?
The captain is responsible for overseeing the expenses and purchases made before and during the charter.
The crew keeps records of the expenses, including receipts, so you can see how the APA is being used. If a significant additional expense is expected, the captain will normally discuss it with you before proceeding.
What if the APA is not enough?
The APA is an estimate, so the final amount may be higher or lower depending on how the charter unfolds. If your expenses exceed the initial APA, the captain will let you know and the APA can be topped up during the charter. Any outstanding amount must be settled before you disembark.
What happens if there is money left?
If the full APA is not used, the remaining balance is returned to you at the end of the charter.
The captain will prepare a final account showing the expenses incurred during the trip, and any remaining balance will be refunded according to the agreed arrangements.
APA Closure
At the end of your charter, the captain will provide a detailed APA report outlining the expenses from your trip.
The report includes the relevant receipts and records, giving you a clear overview of how the funds were spent. Once everything has been reviewed and any outstanding balance has been settled, the APA is closed.
If there is a remaining balance, it is refunded to the client. Should any questions arise regarding an expense, the captain and broker can assist in resolving them.
The goal is simple: complete transparency from the beginning of the charter to the moment you step ashore.
WHY IS THE APA IMPORTANT?
The APA is an essential part of the yacht charter experience because it gives the crew the flexibility to organise the details of your trip around you.
From stocking your favourite drinks and fresh ingredients to covering fuel and marina fees along the way, the APA allows these expenses to be handled smoothly throughout your charter.
A yacht charter is much more than simply renting a yacht. It is an experience built around your preferences, your itinerary and the way you want to spend your time on the water. The APA helps make that possible, while giving you a clear framework for managing the additional costs of your trip.
If you are planning your first yacht charter, your broker will guide you through the APA and help estimate an amount that makes sense for your itinerary and preferences.
READY TO START PLANNING YOUR YACHT CHARTER?
If you have any questions about the APA or your upcoming charter, contact us and our team will be happy to help.
