Entrepreneurs are often on the lookout for new business opportunities. One area that’s often overlooked is the commercial aviation industry. Starting an air fleet company can be a very lucrative business venture. Still, it’s essential to do your research and understand the process before getting started.
There are a few things to consider when starting an air fleet business; keep reading to be prepared. Here, we’ll go through the aircraft financing process, regulations you’ll need to comply with, and more.
Get On Track
First things first: you need a business model. What services will your air fleet company provide? Will you focus on private charters or renting your aircraft? Once you have a clear idea of what your business will offer, it’s time to start developing a plan.
One of the most important aspects of any business is how to acquire what you need. For an air fleet company, that means aircraft. There are many ways to get them, but the most common is through aircraft financing.
Financing Estimates On Popular Aircraft
- Jet: For private and commercial jets, you’ll typically receive a minimum loan of $100,000. However, with private jets, you’ll have to put a down payment of 20%, and for commercial ones, 30%. Depending on the model, terms can go up to 15-20 years.
- Helicopter: When it comes to helicopters, private ones are the most popular. For one of these, you can receive a minimum loan amount of $100,000 and give a down payment of 25%. The terms range from 10-15 years.
- Piston: You can get private and commercial Piston aircraft. For private ones, you can receive a minimum loan of $65,000, starting from 15% to 30%, depending on the model. For commercial pistons, you can get a minimum loan of $75,000 by giving a 25-30% down payment.
- Turboprop: Private turboprops require a 15-20% down payment to receive a minimum loan of $100,000. For commercial ones, you can get a minimum loan amount of $100,000 by giving a 30% down payment. The terms go up to 15-20 years.
Regulations You Must Consider
All commercial vehicle operators in the U.S. are bound by federal safety regulations set by the DOT. Make sure to research everything you need to know about the regulations depending on your business field.
Other Aspects You Have To Keep In Mind
Hangar: Another important aspect is finding a place to keep your aircraft. Many companies offer hangar rental services if you don’t have a property where you can build one. Make sure to research and choose the best option for your needs.
Crew: You’ll also need to hire a qualified crew. They must have the necessary licenses and certifications to operate your aircraft.
Pilots: If you’re planning on providing charter services, you’ll need a team of pilots. They must have a commercial pilot license and meet the requirements set by the FAA.
Get The Most Comprehensive Aircraft Loans At AirFleet Capital
Are you interested in aircraft finance solutions? AirFleet Capital is the leading company in the aviation industry, offering a wide variety of aircraft loans for businesses. We’ve helped thousands of entrepreneurs get on their feet and achieve their dreams.
We understand that each business is different, so we offer custom-tailored financing solutions. No matter what your needs are, we’ll work with you to find the best option. Contact us today and learn more about our aircraft loans!