Cavendish Management Resources
Cavendish Management Resources
Home contact us Sitemap
CMR Executive Network
Expensive 'Fun Assets' fractional owned
The sensible and fun way to own
Turn-key convenience of use
An exclusive service for CMR Executive Members

Yachts Aeroplanes Vacation homes

Australia USA
Far East Europe

This unique programme is only available to CMR members (all categories), and allows the fractional ownership of relatively expensive 'fun assets'.  The programme covers all assets that are normally acquired for fun or recreational use; yachts, aeroplanes, vacation property, racehorses, etc.

The CMR Scheme allows members to have the partial ownership and shared use of 'fun assets', in a way that will give syndicate members probably all the time they would want, but for a fraction of the normal cost involved.  Each syndicate will be operated on a proper legal basis, with fair access for all syndicate members.  Past experience has shown that access to shared assets is not usually a problem, particularly after the first flush of enthusiasm has passed!  Apart from the significant cost savings, syndication in this way can also bring a new circle of friends.  It can also allow the part ownership of several ‘fun assets’ rather than just one – for the same cost! This is not time-share  - members are not buying specific time slots.  It is joint ownership, with open Internet booking facilities, and with rules to ensure the syndicate operates to everyone's benefit.

CMR provides a turn-key syndication service, which includes the following elements:
Facilitating the formation of the syndicate through the CMR Website
Providing standard legal agreements.
Facilitating the ownership vehicle (usually a Guernsey-based Trust), although costs involved are for the syndicate's account.
Arranging the asset’s purchase as finally agreed by the syndicate after its formation.
Arranging for routine maintenance and services as in each asset's specification.
Managing the syndicate’s financial affairs - although of course, financial responsibility rests with the syndicate's members.
Providing an Internet-based booking system specific for each asset.
Providing a selling facility for syndicate members wishing to sell their share.

CMR's fees in respect of the Syndication Service are:
A commission of 10% of the asset's purchase price.  It is anticipated that some or all of this will come from discounts negotiated by CMR with the asset's manufacturer or supplier.  It should be noted that very often with syndicates, the sum market value of the syndicate shares exceeds the capital value of the asset itself by a considerable margin.
A commission of 20% on the annual/ monthly costs of the asset's maintenance/ service facilities.
A commission of 10% on the sale value for a syndicate share sold.  This will include CMR's work in handling the transfer internally, but not any legal costs involved.

How the Scheme Works:
The CMR Website lists all current syndication opportunities.  Each listing will show a sample photo of the asset and the details; its planned location; how many shares it will be divided into; the capital cost of each share; the anticipated annual cost allocation to each share.  Also shown will be the syndicate agreement covering that asset (click here for sample agreement).
Those CMR members who are seriously interested in acquiring a share can register that interest on the members-only section of the website.  In doing so, they will 'sign' their agreement to the syndicate rules (click here to review now). When the required number of members have registered, there will be a quick 'virtual' meeting by email to check that all registered members are prepared to now proceed with the purchase.  If so, each member will pay a non-returnable deposit of $1500 or £1000 to indicate seriousness - if a member withdraws after that point, the deposit is forfeit - otherwise it will be credited to that member's account.
If desired by the syndicate members, there will be a physical meeting called allowing members to meet, and to discuss the impending purchase.  There will be an opportunity to modify the purchase specification, if all agree (if not, the originally stated specification holds).
For convenience, usually each asset will be owned by a properly constituted Trust (normally based in Guernsey, UK Channel Islands), but this can be changed if all parties wish.  Payment of the capital share will now be made to the Trust and the asset purchased.  Each syndicate member will have trust documentation proving ownership to them or persons they designate.  Each syndicate member shall also establish an automatic monthly payment for the agreed maintenance fees.
CMR provides a private Internet Booking Service for each asset, which allows each member to readily make bookings subject to the syndicate's rules.
CMR will normally contract with local maintenance/ service providers as appropriate with the intention of providing the syndicate owners with a 'turn-key' service, but the syndicate can modify this if all the members wish.

Venture capital | Business funding | Executive Recruitment | Management Provider | Senior Executive Network | Investor and Corporate Ventures
Interim Management and Consultancy | Business Propositions | Executive Appointments | Businesses Entrepreneur and Innovators
Management Support and Consultancy | Mergers and Acquisitions | Company Sales | Business Planning Service

Cavendish Management Resources
30 Percy Street,
London W1T 2DB
Tel: +44 (0)20 7636 1744 Fax: +44(0) 20 7636 5639