Compare the long-term cost of purchasing a vessel,
taking it on time charter or using a bareboat / finance
lease. Analyze total cash cost, present value, annual
equivalent cost, cost per vessel day, residual value,
financing and break-even charter rates.
Buy
Purchase price, financing, vessel OPEX and expected
residual value
Charter
Time-charter hire where vessel OPEX is generally
borne by the shipowner
Lease
Bareboat / finance lease where lessee vessel OPEX
can be entered separately
Comparison Period
Use the same required vessel days across all
three alternatives for a more meaningful
comparison.
years
%
/ year
Buy
Vessel Purchase
Model the equity contribution, vessel loan,
annual owner OPEX and expected sale value at
the end of the comparison period.
$
%
%
years
% price
$
/ year
Charter
Time Charter
Time-charter hire normally includes the
shipowner's vessel operating costs but excludes
voyage expenses such as bunkers and port costs.
$
/ day
$
/ year
Lease
Bareboat / Finance Lease
Lease rate plus vessel operating costs paid
by the lessee.
$
/ day
$
/ year
$
$
Financial Comparison
Advanced mode includes cost escalation,
acquisition costs, financing fees, selling
costs and detailed ownership OPEX.
years
%
/ year
Buy
Purchase & Financing
$
%
%
years
% price
% loan
% price
% sale
$
Ownership OPEX
Annual year-one vessel operating cost used in
the purchase scenario.
$
/ year
$
/ year
$
/ year
$
/ year
$
/ year
$
/ year
$
/ year
% / year
Charter
Time Charter Scenario
$
/ day
% / year
$
$
/ year
Lease
Bareboat / Finance Lease Scenario
$
/ day
% / year
$
/ year
% / year
$
$
Ownership Strategy Results
Simple financial comparison
Enter comparison data
Enter the purchase price, charter rate and lease rate
to compare the long-term financial cost of each vessel
access strategy.
Lowest Present-Value Cost
—
—
Buy
$0
Present-value cost
Charter
$0
Present-value cost
Lease
$0
Present-value cost
Savings vs Next Cheapest
—
Buy Cash at Closing
—
Annual Loan Payment
—
Debt Remaining at Exit
—
Estimated Net Sale Equity
—
Buy Break-Even Charter Rate
—
Buy Break-Even Lease Rate
—
Analysis Horizon
—
Present-Value Cost Comparison
Buy
—
Time Charter
—
Bareboat / Lease
—
Financial Comparison Summary
Buy vs Charter Sensitivity
Residual value vs charter rate
Residual \ Charter
-15%
Base
+15%
Keep the structures comparable:
a time-charter rate normally includes shipowner-paid
vessel OPEX, while a bareboat or finance lease
normally leaves vessel operating costs with the
charterer / lessee. Voyage expenses such as bunkers,
port charges and canal tolls are excluded unless they
differ between alternatives and you intentionally
include them.
Present-value comparison:
future annual cash costs are discounted to today.
The purchase scenario includes initial equity,
financing payments, vessel OPEX, remaining debt at
exit and expected net vessel sale proceeds. Annual
equivalent cost converts each option's NPV into a
comparable annual cost over the selected horizon.
Planning estimate only.
Actual vessel acquisition, charter and lease economics can
differ materially because of financing structure, balloon
payments, covenants, commissions, taxes, depreciation,
purchase options, redelivery terms, drydock obligations,
off-hire, maintenance allocation, residual value, market
volatility, vessel condition and charterparty wording.
This calculator does not provide legal, tax, accounting,
investment or financing advice. Verify commercial terms
before making a vessel acquisition or chartering decision.
