Investment Opportunity in First Jet Boat Business in Colombia

Opportunity Snapshot

  • Country: Colombia Colombia
  • Industry: Tourism, Recreation
  • Stage: Start-up
  • Investment size: $370,000 / min. $370,000
  • ROI: 82% in 1 years
  • Type of investment: Equity

Investment Opportunity

Searching for an investor to participate in a very profitable new adventure and transport ride not yet seen in South America.

Looking for a capital partner to bring to Colombia, South America and more specifically to the city of Cartagena the first of its kind Jet Boat Ride Business for a dual purpose: 1. To serve as a means of transport of passengers to nearby islands which is in very high demand and on a very rapid growth pattern and 2. To serve as means of entertainment and water ride for and all new and exciting tourist adventure like those operating in Europe, Australia, New Zeland, Mexico and the US.

Cartagena's tourism is exploiting and at least 3000 new high end hotel rooms are under construction today including Hyatt, Sheraton and Intercontinental Hotels to add to others already in existence like Hilton and countless other boutique hotels. The city is strategically situated and is not only a Mecca for much of the national tourists coming in search of the beach, warm weather and a variety of national conventions but also for international tourists looking for a foreign city full of great history, nice tropical weather, proximity to the US, beautiful beaches and islands, great food and adventures to experience and explore.
Unfortunately (or fortunately for us since it opens a whole new market to be service) Cartagena does not have an efficient, fun, save and fast means of marine transportation nor does it have an exciting and adventures ride which is only comparable to either the sensations experienced in a roller coaster or a racing car.
All this sets up a great market opportunity for a new business to serve these needs while making money in the process. Similar Jet boat operations exist in places like Sydney Harbor in Australia ( and Auckland Harbor in New Zealand ( where they are open for business less than a whole year due to cold weather but are nevertheless very profitable; Cartagena Colombia does not have this problem since we are blessed all year round with great climate conditions as well as a constant flow of tourists wanting to travel to daily to nearby islands and have some fun in the process.
The boat will generate revenue in 3 different ways with transport rides in the morning and with two different ride lengths the remaining of the day; this will generate enough income, even with very low rates and high vacancy factors to repay the investor the initial invested capital of $370,000 in about 15 months time. This money will not only buy the boat but will finance 50% of a 23 passenger bus needed to pick up our clients from nearby hotels and take them to the pier for departure, it will pay the taxes to cover the importing of the vessel into Colombia, will cover the graphics package for both the bus and the jet boat and will be used to open the office, create the web-site, design the clothing articles, create the music for the ride and other expenses necessary to commence operations. The boat will take between 4 to 5 months to be completed while all other items will be work on in Colombia to get ready for the commencement of operations in Cartagena.

The funding of the $370,000 will be in stages during the first 5 months of the project once the contract with the manufacturer is entered into and payments will be done directly to the building company.

What is being offered to the investor is 60% of the company once his entire investment plus interest has been repaid (about 15 months from the start of operations in Cartagena). During those 15 starting months or until the repayment of the capital plus interest has taken place the working partner will only receive a salary for managing the company and its daily operations.

All the preliminary work has been done with the agencies in Colombia as well as with the vessel’s builder in Europe.

Competitive Advantage

The project has no competitors therefore it creates its own environment to operate in capitalizing on a unique market opportunity within an already very strong and fast growing tourist market.

Rationale for the deal

There is a clear necessity for both of the categories which will be addressed by the Jet boat in Cartagena, the fast passenger transport boat and the new tourist water related attraction.

Use of financing

The money will be used for acquisition of the boat, the 23 passenger bus and all other expenses related to the import of the vessel, as well as starting up the new company, establishing its offices and making all merchandise.

Opportunity for the investor

The investor has a great opportunity to enter into an untapped market in Colombia with the first Jet Boat which will operate fulfilling two separate but related businesses – firstly, the transport of passengers which last year alone took somehow care of 450,000 passengers by bringing them to the islands mostly in small wooden vessels and other odd not really commercial rated means which are not designed to take people in a safe manner and secondly, the creation of a brand new and exciting water ride attraction never seen before in Colombia, a country that just this year has signed a free trade agreement with the US and where the hotel industry along with turism are booming.

Both of these businesses combined with an experienced business partner will assure the investor a very profitable venture with minimum risk for the years to come.

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