jondickson

Not sure if this is the correct place to post this, but I'll try anyway. Anyone have any thoughts or advice about starting up a Part 135 Charter service? I'm looking into starting a business and have been approved for a loan in the amount of 500,000 to 1 million. I would like to start with a used jet such as a Citation, but feel like that a million might not be enough to get the business "Off the ground". Anyone have any advice or recommendations on the type of aircraft to start with? Maybe a twin, or even a jet? Any ideas would be great. Thanks

Flyhayes

How much of that $1mil is going to be used for acquiring the aircraft vs the funds you need to set aside for initial maintenance (just because an aircraft is considered airworthy for private ops, doesn't mean it meets airworthy standards for a charter service), insurance, pilot training program, or the reserve cash fund you're required to have on hand before the FAA will even look at your certification proposal?

PurpleToolBox

I can't stress this enough, starting a business from debt is a huge no no. Trust me.

AboveAndBeyond

If you don't already have customers, don't do it. Customers come first, then the airplane. The airplane will depend on the needs of the customer. If you are thinking of buying the airplane first, no offense, but you obviously do not know much about the business.

Also, you NEED to have your own maintenance people to be successful with running an airline.

Flyhayes

Not necessarily, If it's a single aircraft operation it could be cost prohibitive to hire your own maintenance personnel and acquire the required tooling for a mx department vs using a contract mx facility.

yawdamp

PC12 is a great aircraft

doublerjay

I agree with this, if you don't already know your aircraft requirements,
this means you don't have customers,
which means you don't have a business,
much less a business plan?.....
sounds like your trying to make a half a million by borrowing a whole million.....?.....

Toonces

I think the first thing you need to understand is the market and demand. The company I came from was a one-plane operation 20 years ago. Now it is a moderately successful business serving a niche market with regular direct and broker bookings. It will probably NEVER get bigger unless it completely changes it's operations and scope. If you're looking to acquire an aircraft for the sole purpose of starting a business, make sure you purchase an aircraft that is adequate for the market you're serving. For example, a light single for air taxi to Block Island is a good choice, whereas a Phenom is probably a poor choice. Same thing if you're prospective customers are jet setters who likely fly to far away populated leisure destinations, you would not do well choosing a twin Cessna or Aztec.

If you don't have experience in the charter sales or aircraft management industry, or you don't already have customers interested in you're service, you may be looking to sell this plane 2 years from now, or sooner.

Panzon

Why not buy an existing 135 outfit? That way you have an established clientele, cash flow,etc.

Aksleddriver

First off it isn't that easy, I use to own a 135 op, my first question would be where are you at in the certificate issuance process, have you submitted ops manuals, training manuals, ect. been assigned a poi and pmi ? Have you even been approved for the certificate, is it a single pilot 135 your looking at ? If you are there are aircraft size limitations, as mentioned before it might be a whole lot cheaper to buy an existing certificate and try and get it modified to you needs, starting from scratch could take you well over a year from summittle to final issuance, and guess what you need an aircraft the meets the 135 specs insured and ready to go prior to the aircraft inspection phase, then once passed its not like they shake your hand and hand you your certificate, do you have cash flow to have all of that in place, and wait ? Not saying don't do it, but your first, second, third and fourth stops better be at the local fsdo office in the area you plan on opperating