Stage payments
The payment schedule on a yacht new build, structured against build milestones. Industry-typical loading is 50 to 70 percent of contract value before delivery.
Stage payment loading reflects the yard's working capital requirement against build progress. Industry-typical loading is 50 to 70 percent of contract value paid before delivery, with the balance at delivery and final acceptance. Heavier front-loading is yard-favourable and may signal yard cash-flow pressure. Each stage payment should be backed by a refund guarantee from a tier-one bank with pay-on-demand wording; surety wrappers are weaker. Payment should be tied to verified milestone completion, not calendar dates.