However, maintaining the smooth operation of a marina or harbour relies heavily on efficient fee collection.
Fee management is crucial for not only maintaining financial stability but also ensuring high-quality services and facilities. Unpaid fees can snowball from financial challenges to putting a complete stop to operations, making it essential for marinas to implement robust strategies for fee collection.
The operational impact
Unpaid fees can massively affect the day-to-day operations of a marina. When boat owners delay or fail to make payments for berthing or maintenance, marinas are often the ones who face reduced revenue. This financial strain often leads to cutbacks in essential services like dockside amenities, security and overall upkeep of the marina.
According to a report by the British Marine Federation (“UK Marine Industry Statistics 2022”), over 20% of the UK’s marinas experience payment delays, leading to service reductions and infrastructure deterioration. These disruptions not only affect current users but deter potential customers.
Financial stability
Steady cash flow is vital for the financial health of any business, including marinas and harbours. Efficient fee collection helps marinas to plan and budget effectively for upgrades, expansions and maintenance. Without a reliable income from fee payments, marinas can struggle to invest in improvements or replace outdated infrastructure. That’s why being prompt and consistent when collecting fees is vital in keeping facilities polished and able to invest in new projects, therefore remaining competitive in the industry.
Customer trust
The ability to manage fee collection also reflects the overall professionalism and reliability of the marina. Clear and concise billing practices, combined with transparent communication about fees, foster confidence and loyalty among marina users. Whereas, frequent disputes over payments or inconsistent billing can eliminate customer trust and deter potential new marina users.
What are my options as a marina or harbour dealing with unpaid mooring or docking fees?
Engaging a professional debt collection agency should always be the initial step in dealing with unpaid fees as they have the experience and expertise to tackle these issues. This means that the marina saves time and doesn’t have to deal with the complexities of debt collection.
If needed, legal action can move things along too. This involves initiating court proceedings and filing a claim to recover the outstanding fees. This can work well and if the money is owed by another business, legal costs may be recoverable too. This also means that the boat will not need to be removed from the premises and the issue can be dealt with accordingly. Another option is to pursue insolvency proceedings, such as filing for bankruptcy (for individuals) or winding up (for companies). This can sometimes prompt payment due to the associated stigma.
If legal proceedings and insolvency measures have somehow not resolved the issue, a claim for trespass can be considered. This involves a court order for possession of the boat where there could be the potential for selling the boat.
For marinas with historical legislation dating back to the Harbours, Docks & Piers Clauses Act 1847, detaining and selling the boat without court authorisation is possible. In which case, the marina must follow specific procedures including valuation and formal notices.
You could also look into the Torts (Interference with Goods) Act 1977. This Act allows marinas to dispose of a boat to recover outstanding fees, provided it’s included in the marina's T&Cs. This process also involves issuing notice, waiting periods and a valuation.
Overall, effective fee collection is vital for the operational and financial health of marinas and harbours. Starting with professional debt recovery is often the best approach due to its efficiency and cost-effectiveness.
If necessary, other measures such as court proceedings, insolvency or claims under historical legislation can be used, but these are normally more complex and costly. By following a structured approach and prioritising professional debt recovery, marinas can better manage their financial challenges and maintain operational stability.
