Cape Dory Asset Management & Yacht Charter Group (CDAMY) is engaged in the business of providing asset management, charter yacht services and vacation adventures on the water utilizing a fleet of yachts and owned by CDAMY. The company shall also offer the charter of yachts owned by individuals willing to offer their personal yacht for charter during periods when they are not being used by the primary owner. As a full charter company CDAMY shall provide a complete range of services for charter or yachts owned by CDAMY or yachts owned by individuals.
To execute the CDAMY plan the first yachts to be chartered shall be purchased from Cape Dory Cruisers & Catamarans. The first yacht shall be a 52 ft., 65 ft. or 75 ft. Catamaran yacht custom designed and manufactured to meet the standards and quality defined by CDAMY. Financial and cash flow projections shall be provided in an attached Addendum A detailing the cost of the yacht, expenses, depreciation, and expected profits to be generated.
Ownership: MBY shall be owned by a group of owners consisting of the shareholders and management of Madison Bay Holdings and Cape Dory Cruisers and include select customers, friends and colleagues of MBH and Cape Dory Cruisers. In essence CDAMY shall provide the owners of CDAMY with a Fractional Ownership Program that will also provide a profit opportunity along with certain income tax benefits through tax incentive programs such as the IRS 179 Program. Detailed information on the IRS 179 Tax Incentive Programs is provided below.
Each owner, shareholder or member of CDAMY shall contribute an established amount of capital and be awarded an equity ownership in CDAMY. This ownership shall allow the shareholder or member of CDAMY to take advantage of a portion of the IRS 179 Tax Incentives. Details regarding this Tax Incentive will be provided in added documents citing the IRS Rulings that allow for a yacht that is operating as a charter or leasing business to be treated as Capital Equipment. Under the IRS 179 Ruling the Capital Equipment qualifies for “Accelerated Depreciation”. The owner or owners of the yacht are then entitled to a personal income tax deduction of 50% of the cost of the yacht in the first year. The remainder is depreciated over the following 10 years.
As an example, if a yacht is purchased in the amount of $600,000 then the owners or single owner is entitled to a $300,000 tax deduction in the first year that the yacht is purchased. In addition to the tax incentives each owner, shareholder or member of CDAMY shall be awarded a pre-determined number of days to use the yacht(s) owned by CDAMY at virtually “no charge” for the charter fees.
CDAMY retains the services of professional and well respected lawyers, accountants and advisors in conjunction with the management of CDAMY. Included within the lawyers, accountants and advisors of CDAMY are:
Moore & Co. P.A.
255 Aragon Ave.
Coral Gables, FL 33134
Mr. Moore is a well-known and respected maritime and aviation attorney and has served as legal counsel to Paul Allen, Larry Ellison and many other owners of Super Yachts valued in excess of $50 Million.
5327 Skyline Road
Cape Coral, FL
Mr. Robinson is a former boat and yacht dealer, has managed several IRS 179 transactions and is well experienced within this field.
Any individuals interested in participating in any IRS 179 transaction may communicate and engage the services of the attorney’s or accountants noted above. Our attorney’s and accounts will also work with your individual accountants or legal counsel to discuss any questions or specifics of the IRS 179 Program.