Boat Club Memberships?

[gauss]

Yes, that is the whole crux of the situation... how often are you going to go out... like I said before it is like a gym... when you pay the initiation fee you have good intentions to go often, but soon you go less and less... and then you just keep paying the fee and do not go but do not cancel because you never want to pay that fee again...

This was the exact scenario I was concerned about when I inquired, above, if you could suspend your membership without outright loosing your initiation fees.

I was happy to see that they could indeed suspend for a 12 month interval for ~ 1.5 times the monthly fee.

I guess if you view the up front initiation fee the same as the capital investment of a boat of your own, and then view the monthly membership fee as a premium to avoid towing, maintenance, slip rental etc. then this might work.

You would just have to view the upfront fee as a lost sunk cost and then continue to pay monthly memberships as long as your are getting good use of the membership and if not suspend for a year or two before resuming active usage or, on the other hand, letting membership lapse and move on to other things.

I would probably want to verify that if you go inactive that there is no time limit after which they would force you to resume active membership or surrender membership.

Seems like a reasonable life-cycle.

-gauss

 

[younginvestor2013]

Thought I'd update the group on this.

As of now, I'm 99% certain I'm going to pull the trigger on this.

I spoke to a friend that is a member in the specific club I am thinking of joining, and he had nothing but good things to say about it. He said that he does not have issues in getting reservations, and that gas can be anywhere from $20-$60 depending on the boat and how long/far you drive.

He said that his initiation fee was $4,500 but that they initially quoted him $8,000 They are currently offering me $5,100 with the initial offer at $6,500. He joined 3 years ago, so, adjusting for inflation, the $5,100 is on-par with his offer.

Anyway, my big concern with joining this late in the season, was that I would be paying $300/month from 11/1 - 3/31 without access to the boats (since they are closed in Chicago for the winter).

I asked them if the same pricing was available if I were to hold off til the spring (because of the above-noted reason), and they came back and said that they'd be willing to provide my training *now* (or before the season ends) if I paid the $5,100 initiation fee *now* and that they would hold off on the $300/month billings until April, when the spring/summer 2019 season begins.

This seems like a pretty good deal to me - since I will have the trainings completed, I can hit the ground running once the spring comes.

The three risks I see with this is:

1) what if I end up moving away? I don't foresee it happening, but maybe I could have them put a clause in the contract where I would get my money back if that happens before spring.

2) Am I crazy giving them a $5,100 loan to hold onto until spring?

3) what if I play the wait game and come back in the spring, do you think it's possible they'd be able to offer something lower than $5,100?

I'd imagine that the fees are less negotiable early on in the season, given the excitement with the weather, etc, but I could be wrong. It's possible that they would be lower in the spring.

 

[Texas Proud]

/snip/


The three risks I see with this is:

1) what if I end up moving away? I don't foresee it happening, but maybe I could have them put a clause in the contract where I would get my money back if that happens before spring.

2) Am I crazy giving them a $5,100 loan to hold onto until spring?

3) what if I play the wait game and come back in the spring, do you think it's possible they'd be able to offer something lower than $5,100?

I'd imagine that the fees are less negotiable early on in the season, given the excitement with the weather, etc, but I could be wrong. It's possible that they would be lower in the spring.

1 is an issue no matter when you join... I would think that you would know if you are moving in the next 8 or so months... sure, something strange can happen, but this would be low on my list unless there is something you are not saying...


Your chance of them giving back the money is zero IMO... the whole point of the fee is to get you in... no refunds.... they want a commitment... you seem to not want to commit...



2 It is NOT a loan


3 I doubt you will get a lower amount in the spring... if you want something lower negotiate it now... say you will agree to do training now for $3500 but start your $300 next year... but be ready to sign the documents if they say yes...