A leaseback is basically a management agreement. Under this agreement, Aspen Flying Club serves in the role of asset manager. The aircraft is owned by the individual, while Aspen Flying Club is responsible for marketing the aircraft, introducing qualified, well trained pilots, managing all financial transactions, coordinating maintenance, and ensuring the aircraft meets all regulatory requirements.
Aspen Flying Club is a seasoned flight school with a well established customer base and reach across a wide demographic. Aspen Flying Club’s philosophy revolves around a basic commitment to excellence. This applies not only to flight instruction but also to all aspects of our business, including our aircraft fleet.
If you’ve done any research into aircraft leasebacks, then you’ve probably heard some horror stories about unscrupulous FBOs, airplanes sitting idle, or outrageous maintenance charges. Aspen Flying Club is quite different in all three of these areas. We have a well-established reputation for operating with the highest standard of integrity; we have our own in-house parts and maintenance department that not only ensures a high standard of aircraft maintenance, but also offers the lowest costs around.
While everyone’s personal situation is different, here are just some of the reasons to consider putting an airplane on leaseback.
Again, the leaseback is basically a management agreement involving an aircraft you own. You provide us with your airplane. We collect all the revenue. We pay all the expenses. At the end of each month we cut you a check if revenue exceeds expenses. If expenses exceed revenue, we send you a bill. We take care of everything for you; so don’t have to worry about all the tedious details of aircraft ownership. In exchange for our services, we charge a modest management fee. Of course, just like all other expenses, the management fee is deducted from the revenue.
While results vary, it is fairly typical for our aircraft owners to receive checks in the range of $1,500 each month. Some aircraft owners are regularly receiving twice or even three times that. Of course there are exceptions. Some airplanes just do not fly as much as others, and some are plagued with maintenance issues that lead to extended down times and unusually high maintenance bills. Additionally, aircraft owners should set aside part of their profits to cover unexpected maintenance “surprises”, as well as the more predictable maintenance expenses such as engine overhauls.
Leasebacks are highly variable investments and are not for everyone. The decision to put an aircraft into a leaseback should be considered carefully. We track the financial performance of all our aircraft, and have detailed historical data to help make informed decisions. If you think a leaseback is something you might consider, please contact us for more details. We’ll be happy to work with you to predict the revenue, expense, and overall performance of your aircraft in our fleet. We can also help you purchase the right aircraft and to set your aircraft’s rental rate to maximize your profits. After all… we cannot be successful as a flying club unless our aircraft owners are successful.