In a Panama charter management programme, you own the boat and a licensed local company runs it for paying guests. The company holds the operating permissions: ATP registration for tourist transport, or an AMP operating licence for yacht chartering. The boat needs its own AMP commercial registration and inspection, or a charter navigation permit. The contract then sets the revenue split, expenses, insurance, owner use, upkeep, exit and tax.
Who holds which licence
Panama licenses the business and the boat separately, and a management deal has to put each permission with the right party.
| Permission | Usually held by | Why it matters |
|---|---|---|
| S.A., aviso de operación, RUC | Operator | The company that sells the trips and issues invoices |
| ATP registration, marine tourist transport | Operator | Needed to sell trips to the public |
| AMP operating licence, yacht chartering (J.D. 089-2020) | Operator | Needed to charter a whole yacht to clients, crewed or bareboat |
| AMP registration and commercial inspection, or charter navigation permit | The boat, in the owner's name, with the operator's contract attached | Fixes passenger capacity or charter status |
| Captain and crew licences | The individuals, employed or engaged by the operator | Must match each boat |
Under J.D. 089-2020, the charter permit application needs a notarised charter contract between the yacht and the operating company, plus a copy of that company's licence. The management agreement and that contract should say the same thing. The licence chain is in charter licences and permits in Panama.
Revenue split structures
There is no standard split in Panama, and published market rates are not something we could verify. The common structures are:
- Percentage of gross. The manager keeps a share of each charter fee; the owner pays the boat's costs. Simple to audit, but the owner carries the risk of a thin season.
- Percentage of net. Direct trip costs (fuel, crew, cleaning, pickup fees) come off first, then the remainder is split. Fairer on cost, harder to audit.
- Fixed management fee. The owner pays a monthly fee and keeps the charter income. Suits an owner who wants control and can tolerate the risk.
- Lease or guaranteed income. The operator pays the owner a fixed amount and keeps the upside. Check how this sits with the AMP charter contract and your insurance.
Whatever you choose, define "gross" (with or without ITBMS, tips, platform commissions and add-ons) and get monthly statements tied to booking and manifest records. Ask for access to the booking calendar and the SENAN passenger manifests, so you can match trips to income yourself. Agree who sets prices and minimum rates, and whether the manager may discount your boat to fill a slow week or to move guests from another boat in its fleet.
Expenses and insurance
List every cost and who pays it: fuel, captain and marinero pay and their CSS contributions, cleaning and turnaround, ice and provisions, marina slip and pickup fees, haul-out and antifouling, engine service, safety gear, AMP and ATP fees, platform commissions, card fees and accounting. Set an amount above which the manager needs your written approval for repairs, with an emergency exception.
Insurance must cover charter use; a private pleasure policy usually will not. A yacht in the J.D. 089-2020 service needs a policy covering 13 listed risks, including hull, third-party liability, guests, wreck removal and pollution. Name both owner and operator, and confirm the operator carries its own liability cover. See charter insurance and liability.
Owner use and maintenance standards
Owner use. Agree how many days you get, how much notice you give, whether peak weekends are blocked, and who pays crew and fuel on owner days. Owner trips are private; do not let guests pay on them.
Maintenance. Write the standard down: engine hours between services, a pre-departure check, a monthly condition report with photos, and a haul-out schedule. The AMP inspection and the ATP's requirement for boats and engines in good mechanical condition are the floor. Panama's Pacific growth and heat are hard on hulls and engines; see maintenance in Panama. Keep the right to inspect the boat and its logs at any time.
Exit terms and tax
Exit. Set a notice period, what happens to bookings already taken, how deposits are refunded, the return of the boat's documents and keys, a joint condition survey on exit, and who cancels the charter permit or updates the AMP file. Without an exit clause the operator's permissions and your boat stay tangled.
Tax. Charter and tour services carry 7% ITBMS, collected by whoever invoices the guest, usually the operator. Panama taxes Panamanian-source income on a territorial basis; companies pay a 25% rate according to PwC's tax summary. Your share of charter income earned in Panama is Panamanian-source, whatever your residence. How it is taxed depends on whether you hold the boat personally, through a Panamanian company or through a foreign one, so get an accountant's view before you sign. Costs are in charter costs and pricing in Panama.
Your practical starting checklist
- Confirm the operator's ATP registration or AMP yacht-chartering licence in writing.
- Decide which route the boat will run under and what registration, inspection or permit it needs.
- Choose a revenue structure and define gross, net and every deductible cost.
- Set owner-use days, a repair approval limit and a written maintenance standard.
- Put charter-use insurance in place naming owner and operator.
- Write exit terms: notice, forward bookings, documents and a joint exit survey.
- Have a Panamanian lawyer and accountant review the agreement before you sign.
Frequently asked questions
Who needs the ATP or AMP licence in a management deal?
The operating company that sells the trips. The boat needs its own AMP commercial registration and inspection, or a charter navigation permit tied to a notarised charter contract with the licensed company.
What is a normal revenue split in Panama?
There is no published standard. Compare percentage of gross, percentage of net, fixed fee and lease structures, and focus on how costs are defined.
Can I still use my boat?
Yes, if the agreement says so. Set the number of days, notice period and who pays crew and fuel for owner trips.
Who charges ITBMS?
Whoever invoices the guest, normally the operator, at 7%.
¿Qué debe incluir un contrato de administración de yates en Panamá?
Quién tiene las licencias de ATP y AMP, el reparto de ingresos, los gastos, el seguro, el uso del propietario, el mantenimiento, la salida y el manejo del ITBMS y el impuesto sobre la renta.
En español: administración de yates para chárter
En un programa de administración, el propietario conserva el yate y una empresa local con licencia lo opera. La empresa tiene el registro de la ATP o la licencia de operación de la AMP; el yate necesita su registro e inspección o un permiso de navegación tipo chárter con contrato notariado. Defina por escrito ingresos, gastos, seguro, uso del propietario, mantenimiento y salida.
The next question to answer
Where management fits next to day charter, tours and bareboat. Read Charter operating models in Panama.
Putting a foreign yacht with a licensed operator. Read Foreign-flagged boat charter in Panama.
What happens between trips, and who pays for it. Read Turnaround operations.
Same topic in Florida: coming from the US? Compare Understanding Yacht Management Agreements.
Official resources
Use the relevant Panamanian authority for current requirements and fees. These resources are the next place to check; a practical recommendation is not an agency determination.
- AMP: Resolución J.D. 089-2020, yacht chartering auxiliary maritime service ↗
- PwC Worldwide Tax Summaries: Panama corporate income tax (secondary) ↗
- Kraemer & Kraemer: Panama yacht charter regulations, owner-operator contract (secondary) ↗
- Gaceta Oficial: Decreto Ejecutivo 4 of 11 February 2025 (nautical tourism) ↗