Aircraft Rental Consortiums
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Join Date: May 2009
Location: Malta
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Aircraft Rental Consortiums
Hi All,
I was wondering if anyone has experience with using their aircraft for a private club..
I have a single engine piston and several pilots I know want to use it here and there.
My question is what are the legalities of it? Insurance obviously needs to be covered for such an arrangement but as the income will only be covering the fixed costs, are there requirements with the authorities? The aircraft is fully serviced and kept airworthy.
How do you handle fuel and oil costs in the equation and what about flight hours? Do you sell them in packages or just the hours actually flow?
Any information would be highly appreciated.
UW.
I was wondering if anyone has experience with using their aircraft for a private club..
I have a single engine piston and several pilots I know want to use it here and there.
My question is what are the legalities of it? Insurance obviously needs to be covered for such an arrangement but as the income will only be covering the fixed costs, are there requirements with the authorities? The aircraft is fully serviced and kept airworthy.
How do you handle fuel and oil costs in the equation and what about flight hours? Do you sell them in packages or just the hours actually flow?
Any information would be highly appreciated.
UW.
Join Date: Jan 2008
Location: lancs.UK
Age: 77
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There have been many discussions about "Fractional Ownership" "Share o planes" "non-equity share ownership" "Group ownership" "Flying syndicates"
and various permutations of the theme....try the search function. local club?
Do you not have fractional ownership in Malta?
AIUI, Regulations in the UK, mean that several people who fly the same aeroplane, have to be part-owners....they can then be allowed , legally, to pay a share of the standing costs each month and additionally, a predetermined amount per hour they fly it.....some price "wet"...usually leaving a full tank after their Sortie. Some, "dry"...put in enough for your use and ensure there is a set amount in the tanks when you leave it.....then there is the maintenance....who does it? who pays? the hourly rate should leave a realistic spare sum for repairs , renovations and improvements.....this is a better option than a "Cash-call" each time there is a big bill....I see a situation wher a group member cannot find the cash, which exceeds the share-value, so walks away, leaving the other members to pick up his tab.
there are a lot of considerations. I am not qualified to give advice, almost all the above has come from reading this forum. but, hopefully it will make you focus on the realities.
there are many here who are in group ownership and can expand....meanwhile...."search"
and various permutations of the theme....try the search function. local club?
Do you not have fractional ownership in Malta?
AIUI, Regulations in the UK, mean that several people who fly the same aeroplane, have to be part-owners....they can then be allowed , legally, to pay a share of the standing costs each month and additionally, a predetermined amount per hour they fly it.....some price "wet"...usually leaving a full tank after their Sortie. Some, "dry"...put in enough for your use and ensure there is a set amount in the tanks when you leave it.....then there is the maintenance....who does it? who pays? the hourly rate should leave a realistic spare sum for repairs , renovations and improvements.....this is a better option than a "Cash-call" each time there is a big bill....I see a situation wher a group member cannot find the cash, which exceeds the share-value, so walks away, leaving the other members to pick up his tab.
there are a lot of considerations. I am not qualified to give advice, almost all the above has come from reading this forum. but, hopefully it will make you focus on the realities.
there are many here who are in group ownership and can expand....meanwhile...."search"
I suspect that people with expertise in Maltese Air Law are pretty scarce.
I have an aeroplane with an EASA CofA that I rent to a flying school in the UK. I insure and maintain it, the school puts fuel and oil into it and provides parking and cleaning. They pay me an agreed amount per hour, we have a written agreement covering a lot of smaller detail like who ferries it to maintenance, responsibility for the insurance excess, what to do if it gets stranded away from home base, how we adjust the payments if I use the aeroplane myself, the minimum amount of fuel we leave in if passing it to each other, notice period of cancellation...
I have a friend who has a similar aeroplane which he rents out to hour builders. He insures, maintains and manages parking of it. His renters pay per hour dry plus fuel and landing fees.
G
I have an aeroplane with an EASA CofA that I rent to a flying school in the UK. I insure and maintain it, the school puts fuel and oil into it and provides parking and cleaning. They pay me an agreed amount per hour, we have a written agreement covering a lot of smaller detail like who ferries it to maintenance, responsibility for the insurance excess, what to do if it gets stranded away from home base, how we adjust the payments if I use the aeroplane myself, the minimum amount of fuel we leave in if passing it to each other, notice period of cancellation...
I have a friend who has a similar aeroplane which he rents out to hour builders. He insures, maintains and manages parking of it. His renters pay per hour dry plus fuel and landing fees.
G
