Croatia is well known for its numerous natural beauties and tourists coming to have summer vacations at the Adriatic coast. Croatia, together with Greece is a leader in the charter domain, therefore it is important for both countries to stay competitive in the market. Due to high seasonality in Croatia, it is difficult for most service providers to find quality employees, therefore this research investigates the HR challenges in charter companies of nautical tourism. An online questionnaire was distributed to 20 managers/owners of small to medium sized charter companies in Croatia which measured amount of difficulty in hiring for a certain position in nautical tourism, reasons for difficulty in hiring for a certain position, company recruiting strategies, training strategies and budget. Results suggest that it is difficult to fill out positions such as base manager, maintenance and repairs and accounting due to lack of experience, talent poaching and the local market not producing enough work-ready candidates. However, these companies clearly lack both recruitment and training strategies.