206B III lease

[hersheyhelicopters]

Looking for advice (and direction) for leasing a 206B III for a startup operation.

Can anyone offer tips/pitfalls with lease experience?

[Helinut]

hh,

which end of the transaction are you?

Lessor or Lessee?

Helinut

[hersheyhelicopters]

I am actually looking for a JetRanger to lease. I have 5,000+ hrs in both the 206B and 206L and AS350 but must admit no admin experience leasing aircraft.

I'm hoping to lease from a 135 operator and be checked out to fly it using their 135 ticket. I already have potential business lined up and waiting on me to begin service.

I was simply hoping for advice from someone who has leasing experience...from either end.

[Gordy]

I am hoping you already have one aircraft based upon your website....otherwise you are a little behind the curve.

FYI----you do realize you need an FAA drug plan etc to do the tours and rides? Or do you have a 135 certificate?

Most leases are typically for $X per month plus an hourly usage fee. You will be responsible for insurance and maintenance. The biggest pitfall you will encounter is the generating enough income to support the monthly fee----especially in PA...do you have a captive audience or tourist base in Hershey?

The other major thing to be careful of is that one mishap can put you out of business unless you have lots of money.

[hersheyhelicopters]

The website is simply 'holding page' until I have a helicopter in place. I originally had an AS350BA from the 135 operation I worked for but a sweet deal from a yacht owner in VA came across their desk at the last minute, leaving me with no aircraft.

Yes, the numbers are there to support a helicopter service. A lot of the legwork has been done, contacts have been made and relationships and interest are continuing to develop and grow.

I've flown for major tour operators in both Hawaii & NYC and understand the commitment it takes and the potential risks involved. I don;t believe that the 1st yr will be a resounding success but there is a long-range plan in cultivating the relationship with the Hershey Trust and Hershey Entertainment & Resorts (in addition to other businesses)

I am trained in sales & marketing, have 5,000+ turbine hrs, know & have all of the necessary forms to submit (although most 135 operators are well versed in what is necessary already, and my hope is to find a 135 operator needing business for a helicopter whose rotors aren't spinning and willing to work with me with the idea that it may lead to something bigger. I am not out to make a ton of money right away but to cultivate the business relationships, so I don't mind making it more profitable for the lessor. I am in it for the long haul.

My weakness is the business side of it and simply want to know what operators normally expect from a lease. I want it to be a win-win for us both and don't want to be 'taken' to the cleaners by someone being too greedy. I also do not have the experience in actual operating costs vs what the books say the DOC is.