When you’re a business owner or entrepreneur, you may think that getting an aircraft it’s surreal. But there’s always an option, and in this case, more than one! Want to know more about them and how to get aircraft loans? Keep reading. Below you’ll find how to access the private aviation industry and how it’ll benefit your business.
5 Ways To Be Part Of The Have A Private Aircraft For Your Business
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Charter Service
Chartering a plane is often the most affordable way to fly privately. This is a good option for people who want to try out private aviation. Chartering a plane doesn’t require any money upfront, and it’s suitable for people who don’t know how often they will need to fly privately.
Chartering a flight can be done either through a broker or directly. This is an excellent option to avoid any ongoing monetary obligations. The flight will only last for a short time, making it the ideal choice for short-term travel.
Charter services can have some disadvantages. You might need to give more notice than usual to schedule a flight so that the plane is available at the time and place you want.
You are also at the mercy of the charter company or broker when it comes to the available type of aircraft. There are also other costs, such as fuel surcharges and deadhead flight hours, that you may not have anticipated when you booked your trip.
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Flight Cards
Private flight cards work like prepaid debit cards. You purchase a set number of flying hours or put money on the card to use for private charter flights. This gives you flexibility in the size and type of aircraft you use, and the pricing is very competitive. There are no upfront or ongoing capital obligations.
Flight cards are a way to charter an aircraft. The user does not own the aircraft, so they do not benefit from the depreciation that comes with the ownership.
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Fractional Ownership
Fractional ownership is good for people who want to use a specific airplane for a certain number of flights every year. Fractional ownership means that you own a part of an airplane. A company that provides fractional shares will ensure you always have an aircraft available when you need it, either your plane or another one.
Just like chartering or flight cards, fractional ownership provides flexibility in terms of aircraft size needed for each trip. The difference is that there is an upfront cost with fractional ownership, but this comes with the benefit of depreciation that can offset trade or business income.
You will also face some limitations on flexibility and flight times during holiday and peak periods. Typically, fractional ownership results in a reduced aircraft buyback value at the end of the term due to more flight hours logged on the shared aircraft in a fractional program. This is because there are inherent disadvantages to not owning the aircraft individually.
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Joint Ownership Arrangements
A buyer with a trustworthy partner(s) may acquire a Federal Aviation Administration (FAA) authorized joint ownership aircraft. It’s an agreement between two or more people who are responsible for everything needed to legally and safely fly an airplane.
The ownership option allows you to only use the aircraft you have purchased. This means that you cannot change the size or type of the aircraft, but it’ll generally have fewer hours logged, helping to increase its value when you sell it.
The owners can use a management company to take care of the maintenance and management of the aircraft.
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Full Ownership
For the most benefits, full aircraft ownership is the best option. This includes more privacy, flexibility to choose specifications, and tax savings. However, it’s important to note that full ownership typically requires a management company to handle all regulatory compliance and general flight operations.
As with joint ownership, the legal liability falls on the aircraft owner. Although owning an aircraft brings more responsibilities to the table, the benefits are greater. It’ll add value to your company and brand, placing you one step ahead of your competitors.
Get Your Private Jet With The Best Loans At AirFleet Capital
AirFleet Capital is a private aircraft financing company; we’ve been helping our clients reach the sky since 1994. With us, you can get aircraft loans to own a private jet for your company. We have great rates and outstanding aircraft for you. Reach out to us to find a solution that meets your needs and budget.
Our company has financed over 8,600 aircraft so far, and we’re eager to work with you. We’re proud and active members of the AOPA, EAA, NBAA, NAFA, and IADA. AirFleet Capital is a leading private aircraft financing company, don’t let this chance slip away!
