Rate Increase - Fuel Prices

[Captain Jay Kavanagh]

Unfourtunately, I must adjust the charter rate up.

I figured our price for 2008 based on a maximum fuel price. We are already above that and we really have not started fishing.

I usually do a pretty good job of estimating fuel costs for the year, but this has really thrown me for a loop.

Our new rate will be $1400 / day.

For everyone that has booked a trip already, I will sail those trips for $1350 but would appreciate a voluntary $50 extra, I feel that we have a contracted price, and will stick to it, but would really appreciate the voluntary rate increase on those already booked trips.

Over 10 years in this business I have developed a really good business model, that helps me determine my costs. This is what I do full time for a living and as a owner operator I must know exactly what I am making in order to provide myself and my recently expanding family with a living wage.

I do look at what other boats are charging and discuss with other captains on my dock, but the bottom line is what my bottom line tells me.

There always will be cheaper and more expensive boats available for charter but I feel what I have to offer is well worth what I charge.

Often, you get what you pay for.

I am a full time professional fisherman, earning my living owning and operating the Bite Me.

The Bite Me is a modern well maintained, clean, big, fast comfortable fishing boat with XM Stereo, heat and AC.

We always have the best tackle money can buy, do not scrimp and save on lures, or bait.

We go where we need to go to catch fish, and fish hard all day every day.

We always encourage our customers to do as much or as little of the fishing stuff as they want to.

Anyway, I hope everyone understands the rate increase and will continue to fish with us.

Thanks.

[Capt. Fred]

Completely understand Jay. I have gone up on my rates for inspections too. Fuel is killing those of us that use a lot. I got an e-mail from Ernie explaining the same thing. Here's to hoping the speculators are all wrong and they loose their shirts and the prices start dropping.

[The Hun]

You have my support also. Everyone will understand, especially those that value their time offshore with friends. I, also, hope the ones that are responsible for driving up the price on us get their balls fried. The Hun

[fishfighter]

Capt.Jay,that is the name of my boat too!Great name isn't it?Atleast every time the USCG checks me out,they don't forget the name,so they don't check me often.

[gary240]

Man I know you hated to sit down and write that. Anyway I'm sure everyone understands. I have friends in the charter bizz and I worry about them. Most tell me they have been able to keep existing customers and they understand the reasons for higher rates.

All this fuel crap pisses me off!

[blueh20pc]

That's a steal, I hear OI fishing fleet is going to 1600 and there have been talks of 1700 per day..

I know it costs my little boat 175 per day, and that's gasoline at the 7-eleven.

Unfortunately, with the recession being here, your good clients will go anyways, but I'm not so sure about the vacation guys just wanting to get away from the girls for a day.

Good luck and tighten down the belt down there.

[Blue Magic]

Chris........you are absolutley correct when you say that's not enough. Capt. Jay for the service, boat and fishing trips that you are offering you should be charging al least 15 to $1800.00.
In Venice Louisiana they charge $1,200.00 for a 6 pack charter and that's on a 26 to 30 ft CC. On top of that they also charge for whatever fuel they use on the trip.

[fishoinc]

I Could see this one going to happen I saw Diesel price the other day $3.89 in Va. I Know Marine fuel is higher No fault of the captains they need to pass the cost on down the line every body needs to get paid .

[fishbard]

$1400 is not so bad for one of the best charters out of Hatteras. Jay, you are doing the right thing, you can't lose money and stay in business. Another way to look at it from the charter's point of view is that if you have six people, that is an extra $8.33 a person, it shouldn't be a deal breaker for anyone.

[Saltwaterhokie]

Yeah i mate on the wildfire out of OI in the summer and i think right now trips are at 1650, im worried about us losing a lot of trips due to the price increase just cause it seems like tourist are spending less money on stuff because its costing them more to get down there. Oh well cant complain at least im getting paid to fish, it can always be worse.