After planning to own or run an aircraft business, there are a lot of questions that you must ask yourself which will impact the business positively or negatively. The answer to the question of subletting or buying is not easy because it is not about the issue of affording the chopper or not. An airline with enough amounts of money to buy a helicopter will choose to loan over buying because of many reasons. Below are the advantages of helicopter leasing.
One advantage of leasing when you are considering getting into the aircraft business is that it is a new field, and you do not know the levels of risk involved or the success at first. Because loaning does not require a lot of initial capital or deposit on the chopper. You pay money in installments, so you can free money that can be put into expanding the business or use it to cater for advertisement cost.
Buying an aircraft is not always a wise move as it increases the taxes to be paid on the value of the plane. The payment is not spread, which leaves the amount payable in installment costly or in full high, meaning taxes will be more. But with the one with few installments, the amount is significantly small thus the reduction of tax.
Also, the other advantage is that the lessor is saved from the hassle of advertising and price negation when they are selling the helicopter. Most people in the aircraft business experience a lot of headaches when it comes a time when the plane needs to be disposed to get a modern one or bigger size. In case you had bought the plane, you will have a lot of problems selling. However, if it was a lease, then all you to do is to talk to the lessor so that they can repossess.
Again, a maintenance package and guarantee provided by the manufacturer during leasing reduces a lot of hassle and headaches. With the agreement, if you meet all the indicated conditions provided in the terms and conditions, you get free maintenance services. It is a great benefit since the business will not have to incur any maintenance costs, and this improves profits.
GAP insurance and the lessor get to share the values. The lessor often takes up the value of the plane they are going to put into use while the insurer takes up the remaining part. By sharing the cost, the amount to be paid is reduced compared to the one that could have paid for purchasing where you pay for the whole value.
Also, you get to enjoy a great choice of helicopters. When buying, it is your choices are often limited because of the budget you are operating with and the prices are different. But with leasing, one is not purchasing completely, so, you can look for models that you are interested in.
In conclusion, through loaning, one can communicate the right message and attract potential clients because they use brand new machines that boost the image of a business. Also, they are fuel efficient when traveling over long distances, hence increasing profits or enabling you to charge lower prices than the competitors.
One advantage of leasing when you are considering getting into the aircraft business is that it is a new field, and you do not know the levels of risk involved or the success at first. Because loaning does not require a lot of initial capital or deposit on the chopper. You pay money in installments, so you can free money that can be put into expanding the business or use it to cater for advertisement cost.
Buying an aircraft is not always a wise move as it increases the taxes to be paid on the value of the plane. The payment is not spread, which leaves the amount payable in installment costly or in full high, meaning taxes will be more. But with the one with few installments, the amount is significantly small thus the reduction of tax.
Also, the other advantage is that the lessor is saved from the hassle of advertising and price negation when they are selling the helicopter. Most people in the aircraft business experience a lot of headaches when it comes a time when the plane needs to be disposed to get a modern one or bigger size. In case you had bought the plane, you will have a lot of problems selling. However, if it was a lease, then all you to do is to talk to the lessor so that they can repossess.
Again, a maintenance package and guarantee provided by the manufacturer during leasing reduces a lot of hassle and headaches. With the agreement, if you meet all the indicated conditions provided in the terms and conditions, you get free maintenance services. It is a great benefit since the business will not have to incur any maintenance costs, and this improves profits.
GAP insurance and the lessor get to share the values. The lessor often takes up the value of the plane they are going to put into use while the insurer takes up the remaining part. By sharing the cost, the amount to be paid is reduced compared to the one that could have paid for purchasing where you pay for the whole value.
Also, you get to enjoy a great choice of helicopters. When buying, it is your choices are often limited because of the budget you are operating with and the prices are different. But with leasing, one is not purchasing completely, so, you can look for models that you are interested in.
In conclusion, through loaning, one can communicate the right message and attract potential clients because they use brand new machines that boost the image of a business. Also, they are fuel efficient when traveling over long distances, hence increasing profits or enabling you to charge lower prices than the competitors.
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