In an environment of daily market swings, increasing shareholder pressures and transparency, but with a continuing need to run a more efficient and productive business, business aircraft are increasingly the focus of attention. Corporate aircraft have become a lightning rod public relations nightmares, oftentimes leading to positive company results being overshadowed. With that as the backdrop, however, your organization may have taken a brave step in either acquiring or maintaining a wholly owned aircraft in order to meet the needs of the business.
No longer are the days where the CEO’s jet flies under the radar, as boards of directors and shareholders alike are increasingly asking questions regarding the company jet. Simply said, they want to know and understand how the company aircraft is being used and managed to ensure this very expensive asset is being utilized to its fullest potential, with the lowest possible expense structure.
With that in mind, Polaris Aviation Solutions has established 10 key arguments supporting the case for partnering with a 3rd party provider to manage your company aircraft:
- Most aircraft management companies carry fuel, training, maintenance, and insurance discounts which leverage the volume of multiple clients such that each individual client benefits.
- If your aircraft is available for charter, it’s more expensive to maintain a Part 135 certificate on your own than a management provider with multiple client aircraft on a single certificate.
- Aircraft management providers are typically well-versed in the basics of aircraft tax, legal matters, and employment law, thus mitigating the need for your company to heavily develop those areas of expertise in-house.
- Maintenance slots are often prioritized to 3rd party management companies who provide the highest volume of business to the maintenance facility. Thisincreases the availability of your aircraft.
- Management companies typically invest heavily in ongoing training and audits, which ensures that an owner’s aircraft is compliant with local, federal, and international regulations and standards. This training will also help mitigate the financial impact of future legislation and policy changes.
- Higher dispatch reliability and aircraft availability due to experienced and well-trained operations personnel. Plus, these teams usually contain a 24-Hour flight following team, which monitors your aircraft anytime it’s in operation.
- Liability! Any reputable aircraft management provider will provide a flight crew dedicated to your aircraft, and employ them as well. This in turn provides you with indemnification you and your organization need from legal liability arising from your dedicated crew.
- A well established aircraft manager will offer reporting standards that meet various requirements of the SEC, IRS, FAA, and other government agencies, thus mitigating the need to develop these processes in-house.
- Aircraft managers ensure your aircraft operates efficiently and legally. They’re also well-versed in maintaining healthy maintenance records. This in turn will protect the value of your aircraft when it comes time to sell.
- The Return on Investment from a fixed management fee usually starts at 2:1.
Contact Polaris Aviation Solutions at (706) 654-2685 for additional information on Aircraft Management & Charter.