There is a really good article on AVweb about the pros and cons of leasebacks. I highly recommend you read it before entering into a leaseback with us. I considered the advice from that article when drafting our leaseback agreement. There is a minor problem with their advice, though. The author uses the terms "fixed costs" and "indirect expenses" interchangeably. They can overlap, but they are not the same thing. For example, insurance and storage fees are fixed costs, but they are "direct expenses", not "indirect". If you owned a hangar with multiple aircraft in it, then the utilities, hangar insurance, mortgage, etc. would be "indirect expenses" as far as a particular aircraft is concerned. It's all relative. In a leaseback situation, such as what we offer, your costs consist of variable and fixed costs. Variable costs only occur when the aircraft is used. Fixed costs occur whether the aircraft is used or not. We pay you a percentage over the variable costs. The actual percentage depends on the type of aircraft and is determined for the life of the leaseback.
We are especially looking for a helicopter, a multi-engine airplane, or an aerobatic single engine tailwheel. However, we will consider other types of aircraft—especially if it will benefit you and the type of training you seek. If you don't already own an aircraft, we can help match you with the right aircraft for your needs. If you have no experience in the aviation field, definitely contact us before buying!
With our leasebacks, you as the owner provide the aircraft and pay for its expenses. Fitch Aerospace maintains operational control over the aircraft and pays you a set amount for every hour we use it. There are no additional fees when you fly your own airplane. We are in the business of training, not aircraft rental, so you don't have to worry about how rental pilots will tear up your investment. Except for solo training requirements, one of our pilots will be ensuring your aircraft is properly cared for.
If you want to take advantage of our free flight training offer, you can get your initial pilot certificate, upgrade you current certificate (i.e. from private to commercial), or add an instrument or category/class rating. There are only a few rules that apply: The training must be done in your aircraft; we will not pay you the hourly rate when training you; our instructors will provide you with all flight and ground training necessary to earn the certificate or rating you are training for at no cost to you; you must pay any additional fees associated with your training, i.e. written test fee, medical exam fee, and pilot examiner's fee; this offer is only good once in a lifetime per aircraft leased back; and the best rule ever is if you don't want or need any more certificates or ratings, you can pass this offer on to a friend or family member; and last, but not least, we ask that you make a minimum of one-year leaseback commitment with your aircraft.
Q. Can I really get free pilot training?
Q. What is a leaseback?
A. A leaseback is more of a marketing agreement than a lease. As the owner, you provide the aircraft. As your agent, we rent your aircraft to our customers. You get paid for every hour it's used.
Q. How much do I get paid?
A. As the owner, you get paid 150% of the variable cost of operating the aircraft.
Q. What are my costs?
A. According to the terms of the agreement, the owner pays the expenses associated with the aircraft: fuel, insurance, maintenance, storage, overhaul reserves, and fees. When you fly your aircraft, there are no additional charges. Flight instruction is extra unless it is in conjunction with our offer.
Q. What are the pros and cons of leasebacks?
A. See the AVweb article about leasebacks. There is some good information there.
Q. What aircraft are eligible for leaseback?
A. Single and multi-engine airplanes, seaplanes, tailwheel airplanes, and helicopters. Some gyroplanes may also be eligible. Any light sport aircraft must be of the SLSA type. Experimental aircraft are not eligible. Fitch Aerospace, Inc. will determine, based on profitability, the eligibility of any aircraft offered for leaseback.
Q. What if I don't own an aircraft?
A. If you don't own an aircraft, but want to take advantage of our offer of free flight training, then we will assist you in finding and purchasing a suitable aircraft.
Q. What about insurance?
A. Insurance is required and must cover Fitch Aerospace, Inc., its employees, and its customers. The policy must be suitable to cover liability and the aircraft hull, and also cover flight instruction and general commercial use of the aircraft. This coverage is more expensive than simple private-use-by-owner coverage, but the rental income is meant to more than overcome this difference.
Q. Will my aircraft be available for me to fly?
A. Yes. Fitch Aerospace, Inc. will maintain a schedule for using the aircraft. Just call us to schedule. Scheduling is done on a first-come, first-served basis.