Adventure Syndicate

The Arksen Explorers Syndicate works so that Members combine to buy the vessel, which is then managed by a professional crew and made available to Members in proportion to their share of ownership.

Each Syndicate is set up by Arksen as a limited company, incorporated in England, whose business purpose is to own
and operate an Arksen vessel.

Each Syndicate Member is a member in two senses of the word: a shareholder in the company and part of a community of like-minded souls.

The Syndicate is operated for the benefit of the Members and is managed by a professional company director who is accountable
to the Members.

The Director will manage the day to day operations and finances of the Syndicate, convene Member meetings, agree usage allocations and the cruising itinerary for the following 24 months and appoint
and oversee the Captain of the vessel.

Yes. The Arksen range has been developed to provide the ultimate mix of sea-going capability and comfort with systems engineered for long periods of time cruising off the grid. These vessels are designed and rated for continual use and are designed for global cruising.

The Syndicate offer is available for two of our most capable vessels:

Arksen 75 Syndicate Edition accommodates up to 7 guests in 3 cabins with 2 crew.
Arksen 85 Syndicate Edition accommodates up to 10 guests in 4 cabins with up to 4 crew.

Each Arksen Explorers Syndicate vessel is specified to a very high level and to our “Explorer’s Specification” which includes almost all of the adventure equipment that you should ever need;

Diving, snorkelling pack including wet suits
Climbing harnesses, carabiners and ropes
Drones and underwater drones
Sailing kayaks
Paddle boards
Sea Bobs
Arksen Expedition rib
Kite surfers
Water skis
Wakeboards

The Arksen Explorers Club will create adventurous itineraries for Arksen owners, including Syndicates, and can provide logistical, administrative and operational support.

Yes. Different Syndicates will own boats that will operate in
certain regions. However, as a Member of a Syndicate, your adventure opportunities are not limited to the location of the
boat that you co-own.

Instead, subject to availability, the Arksen Explorer Club will enable Members of a European Syndicate, for example, to undertake the adventures that can be enjoyed from a boat in the Americas.

To accommodate the widest community of Members we offer

4 Syndicate types;

European / Arctic cruising programme
The itinerary includes the Mediterranean, UK and Ireland, Baltic, Norway, Iceland, Faeroes, Greenland.

Americas / Arctic cruising programme
The itinerary includes the Caribbean, Central America, South America, North America, New Foundland, Greenland.

Asia / South Pacific
The itinerary includes Australia, New Zealand,
South Pacific, Indonesia, East Asia, Japan, Kamchatka.

Global
Roving itinerary with 5-year cruising programme.

(Note that there may be differences in operating cost and Member contributions between the Syndicate types. These differences will reflect, for example, the increased fuel consumption of a Global itinerary vs. a European itinerary. Certain assumptions have been made in our high level calculations.)

The cruising itinerary will be decided based on the geographic operation area of the Syndicate vessel. Each vessel will be deployed throughout the operational area during the Syndicate period, providing opportunities for Members to explore a variety of cruising grounds. The preferences of all Members will be considered, and the itinerary structured to cater to as many preferences as practicable. The director will be responsible for
the final decision on itinerary.

Twenty-five weeks per year will be allocated to Members. This means that, if you want five weeks per year as a priority, you will subscribe for a 20% ownership interest.

In addition to the 25 weeks allocated to Members, ten percent of the vessel’s sea time is dedicated to scientific research through the 10% for the Ocean Pledge. Thirteen weeks are allocated to commercial charter with the balance allocated to maintenance and relocation.

Yes. The weeks of commercial charter are included to try and maximise usage of the vessel, something we are very passionate about, and to offset operating costs for the Members. The Syndicate Members can decide if they would rather offset costs through charter or collectively cover more of the operating costs
in return for more usage. Read below for more detail.

If you are fortunate enough to have access to one of our vessels, we think you have a responsibility to use it to help better protect and understand our oceans.

All Arksen owners are encouraged to sign up to the Sea Time Pledge, whereby they donate a portion of their vessels’ annual sea time to scientific or educational projects.

Through our scientific network and with the help of the Yachts For Science platform, owners have access to a wealth of opportunities to turn their deliveries, transits or downtime into vital exploration and sea time for researchers, explorers, thought leaders and filmmakers to run their projects.

The projects can be run when the vessel is not in use by the owners or can be conducted as a unique and educational experience for family and friends. Providing the chance to be actively involved in furthering our knowledge of the complexity and fragility of the ocean ecosystem.

No. However, we may offer events that multiple Members wish to attend together, and some Members may want to share weeks. It’s up to you.

Members can swap time between annual allocations with other Members.

Members can also offer allocated but unused weeks for commercial charter and use the charter profit to offset their costs for the year. How many unused weeks are sold for commercial charter will depend on market demand.

Members can swap time between annual allocations with other Members.

Members can also purchase additional time from the pool of time available for commercial charter.

The year is divided into Peak, Mid and Low season. The dates for each are dependent upon the agreed cruising itinerary. Each Member is allocated a number of weeks in each period based on their percentage share. Members then request their preferred weeks within each period. Where Members have requested the same week, priority will be given to each Member’s request on rotation. In addition to allocated weeks, Members may be able to request additional time on-board during relocation/delivery periods.

Members may also choose to share time on-board, by agreement, thereby increasing the total amount of time on-board each year.

Yes, it is.

For several weeks each year, the vessel is made available for charter to third parties. The revenue from this activity is used to offset the operating costs for Members. Members have priority over the allocation of time. Charter availability is confirmed only after Syndicate member usage has been agreed. The actual charter revenue achieved will depend on the amount of time the Members allocate to charter and on market demand.

In the first year of the Syndicate operation, Arksen will guarantee at least 5 weeks of commercial charter revenue.

Each Arksen 75 has two professional crew; a Captain/Engineer and a Mate/Steward. Each Arksen 85 has three crew; a Captain, Mate/Engineer and Chef/Steward.

The vessel is continuously maintained by the full-time crew, with support from specialist contractors and the Arksen support team when required. A comprehensive planned maintenance schedule minimises the chances of unexpected failures, reduces operating costs and maximises safety on-board.

The costs of normal provisioning when in use by Members is included within the operating contribution. However, if a Member wishes to provision with food or drinks that are unusually expensive, then the additional costs will be payable by that Member.

Yes. Provisioning can be arranged so that the vessel is fully stocked with foods of your choice or requirement for your arrival. Subject to availability.

The costs of fuel and of regular berthing costs when in use by Members or not on charter is included within the operating contribution.

Normal berthing costs are included in the operating contribution. If a Member wishes to stay in a port or marina with unusually high fees, then the additional costs will be payable by that Member.

The Arksen 85 has four cabins that can accommodate up to 10 people.

The Arksen 75 has three cabins that can accommodate up to 7 people.

This will depend on the itinerary, and will be decided for maximum convenience to Members, taking into account flight schedules, local logistics, expected passage times between changeover ports, etc.

The permanent crew will operate the vessel and keep the interior and exterior clean. On the Arksen 85, the chef will prepare meals on board. On the Arksen 75, the Member using the vessel is responsible for cooking, but a welcome meal and final breakfast will be prepared.

Yes, additional service staff can be provided at the member’s cost. If the total number of crew exceeds the number of crew berths available, this will reduce by one the number of available guest cabins.

No, the crew’s salary is structured such that tips are not expected.

Yes. We encourage all Members to become captains and believe that learning to operate the vessel at sea can be a hugely Yes. We encourage all Members to become captains and believe that learning to operate the vessel at sea can be a hugely rewarding experience. If you have the required commercial qualifications, medical certification and recent operating experience, then you may captain the vessel yourself, and if not why not let us train you and your friends. We offer access to a range of courses. To ensure that all ongoing maintenance is completed correctly, as this requires specific training and familiarity with the systems, at least one staff crew member needs to be on-board when the vessel is in use.

The vessel has an insurance policy in place. For damage sustained while the vessel is under the command of the appointed Captain, the insurance excess will be added to the general operating costs. For damage sustained while under the command of a Member, the insurance excess will be paid for by that Member.

Every effort is made to undertake maintenance during allocated periods and minimise time out of service during allocated Member Syndicate time. If the vessel is unexpectedly out of service, every effort will be made to provide an alternative allocation as close to the original dates as possible.

Yes. You will be expected to make annual contributions to cover the shortfall where charter revenue is not enough to cover costs.

Each Syndicate is an English Limited Company, with shares in the company owned by the Syndicate Members.

The company will be run according to bespoke articles of association.

The company will have a sole Director, appointed by Arksen. This person will be responsible for overseeing all corporate and financial matters of the company and will be the primary point of contact for the Members. The Director will appoint a Captain, who will be responsible for the day-to-day operational running of the vessel – the company’s primary asset – with the support of the shoreside Arksen team.

Regular management accounts will be provided to all Members.

Each Syndicate will operate for 10 years’ duration from delivery of the vessel to the Syndicate. Members can transfer out of their membership before the end of this period.

Shares in each Syndicate company can be sold by the Member at any time, including during the vessel construction period. The value realised will be subject to market demand, and could exceed the original investment if sold to a buyer wishing to ‘jump the queue’. If a Member wishes to sell their shares, the other Syndicate Members have the right of first refusal.

If no other Member wishes to buy out the leaving Member, Arksen
will market the share to potential buyers who have registered interest. To fund the marketing of the shares and simulate market demand Arksen charges a 6% commission on the value of the sale to the new buyer and the retiring Member.

The Member is also free to market their share directly.

The amount will depend on which vessel is bought by the Syndicate, but the minimum investment level represents an 8% share.

25 weeks per year of usage are allocated to Members, to be split between them according to the membership size.

This means that 8% membership will get you 2 weeks per year Member Usage.

Above 8%, further investment will be accepted in increments of 4%, with each 4% representing one week of Member Usage.

As long as the Member is a single legal person, managed by a single individual who can underwrite the group, yes, it is possible for a group to form a Syndicate Member.

This will depend on your proportion of the Syndicate. One week of priority usage is equal to 4% ownership interest in the Syndicate.

For example, if you own 20% of a Syndicate, you will be entitled to 5 weeks of usage of the vessel owned by the Syndicate.

Potential investors should seek their own advice but the company into which Members will invest should be considered a qualifying company for the purposes of the Enterprise Investment Scheme.

For the avoidance of doubt, no representations or warranties are made to this effect by Arksen and no reliance should be placed on Arksen in respect of the availability to an investor of income tax relief under the Enterprise Investment Scheme.

The vessels are purpose-built for each syndicate and so the initial payments are structured to coincide with the major milestones of the build period as outlined below. The following is meant as a guide and will be subject to variation:

The Members pay contributions quarterly (in advance) to cover for the running costs of the vessel, including maintenance, insurance, staff costs, fuel, berthing, provisions, agency fees, administrative and legal costs. If the Syndicate has taken on asset finance, Members’ contributions will also include debt service. These costs are offset by any income generated from commercial charter.

Yes. Subject to availability, loan support may be available. Loans can take two forms:
1) Asset finance loan made to the company and secured on the vessel owned by the company; and2) Personal lending to Syndicate Members.
1) Asset Finance
Arksen can offer an asset finance programme, designed to smooth the cash obligations on Syndicate Members.
These loans would be non-recourse to the Members but would include stringent requirements for Members to ensure the company is funded to make debt service obligations.
More detailed information is provided in the section below called ‘Debt Finance’.

2) Personal Lending
Members are of course free to secure personal loans from lenders of their choice in order to fund costs of entry and ongoing commitments in the Syndicate.

Arksen would be happy to make introductions to potential lenders but these arrangements are for your own personal accounts and independent of Arksen.

If you choose to become a Member of a Syndicate that has Asset Finance, you will not be personally liable beyond the amount of your contributions into the company to date (the Syndicate membership investment and annual contributions).

After a default of more than 60 days, the defaulting Member will forfeit their shares in the company (and therefore all investment to date).

The remaining Members will have the right to purchase these shares and step into the defaulting Member’s shoes. If no other Member steps into the defaulting Member’s shoes, Arksen will seek to introduce a new Member.

The Members will be required to make contributions to the company budget to reflect the fact that third-party charter revenue will not be sufficient to cover all the running costs of the vessel.

The Members’ contribution pays for the running costs of the vessel, including maintenance, insurance, staff costs, fuel, berthing, provisions, agency fees, administrative and legal costs.

If the Syndicate has taken on asset finance, Members’ contributions will also include debt service.

The company will issue new shares in exchange for the Members’ contributions.

Members’ contributions are estimated based on the expected regular running costs and finance costs of the vessel, plus a contingency to account for periodic larger expenditures, such as dry docking. A deduction is made to account for income from commercial charter revenue.

If there is a shortfall, the Members will be required to fund the difference, in proportion to their shareholding in the Syndicate operating company.

The Syndicate aims to maintain a surplus to account for periodic larger expenditures. If the surplus is unexpectedly large, contributions from Members would be reduced accordingly. Any surplus when the Syndicate is wound up will be distributed to the Members in proportion to the shareholding.

The default position is that the vessel will be sold by the Syndicate operating company and the proceeds distributed to the Members. Arksen will broker the sale of the vessel on an arms-length basis to the Syndicate or may offer to acquire the vessel from the Syndicate. In the event that Arksen sells the vessel its then brokerage fees will apply.

Alternative arrangements, such as continuing the Syndicate, can be accommodated upon agreement between the Members.

The vessel will be sold by the company on an arms-length basis to realise maximum returns to all Members. Any individual Member may offer to purchase the vessel.