Jet Buyer’s Guide– First time buyers
The decision to purchase a jet for the first time or to upgrade is like any other business decision. It requires careful analysis of your needs, market knowledge, process and strategy. Aviation can provide your company many positive financial benefits although they may be difficult to quantify. Buying the wrong solution can often be easily recognized and results in less than favorable results.
The purchase is only a portion of the overall process. You need to understand the operational costs and you need to have an exit strategy. All three of these will provide you the lowest total ownership costs and they need to be considered as part of the purchase strategy.
- Budget
- New versus Used
- Tax implications
- Ownership and use structure, managed or your own crew, some charter, or no charter
- Assemble a team of aviation accountants, legal advisors, consultants and pilot/management company personnel to develop a sound business strategy to set up the aircraft and purchase.
- The only person that has a fiduciary responsibility to you is the one you pay. A broker who gets paid from the seller is not your representative but the sellers. To have a broker or buyer’s agent work for you they need to be paid and under contract by you, simple but often overlooked.
- Hire a dedicated buyer’s agent that is knowledgeable to assist you in selecting best aircraft, pricing and life cycle cost analysis.
- Analyze your needs and requirements for performance and cabin comfort
- Understand your future missions and how future regulations could affect them
- Select Aircraft model that is best fit
- Hangar, insurance, other operational issues
- Market analysis of selected aircraft
- Narrow choices to best few
- Financing in place or pre approved prior to making offers
- Make offers and go to contract
- Should have crew defined, ready for training, operational requirements like RVSM in process
- Pre-purchase inspection if used, if new completion oversight
- Final acceptance and delivery
Hawkeye Aircraft Acquisitions is a boutique aircraft acquisition and consulting company. We challenge convention by viewing the world differently. Our clients experience great success and satisfaction with our different approach. See the difference Hawkeye can make for your aircraft purchase analysis.
