Aviation Investment

Intro to Aviation Investment

Investments into the arena of aviation assets can take place in several venues, some with standard commercial operators and others with flight training schools / aero clubs.

With regard to flight training schools / aero clubs investments can be made in the purchase of personal aircraft to be leased to the flight school / aero club as rental aircraft for the purpose of subsidizing owners fixed expenditures such as tiedown fees, maintenance, and insurance. Depending on placement of aircraft, leaseback arrangements can benefit the owner / investor in several ways. The 1st is that it can pay for all these fixed expenditures, allowing the investor to own the aircraft and fly it for the price of fuel. This is what I would call a break even point. The added benefit and the key to making your leaseback a profitable investment is to properly place the right aircraft in the right flight school / aeroclub that will fly it above and beyond the breakeven point. This would represent the net profit to the investor and often times can be as great as 20-30% return.