No-Equity Group Limited Company operating Permit Aircraft
Illegal under the ANO IIRC. You can't rent it out unless it is maintained to PT standards, which a Permit a/c cannot be.
Art 162 provides an exemption for group owned aircraft but includes:-
(2) An aircraft falls within this paragraph if it is owned:
(a) jointly by persons (each of whom is a natural person) who each hold not less than a 5% beneficial share and:
(i) the aircraft is registered in the names of all the joint owners; or
(ii) the aircraft is registered in the name or names of one or more of the joint
owners as trustee or trustees for all the joint owners and written notice has
been given to the CAA of the names of all the persons beneficially entitled
to a share in the aircraft; or
(b) by a company in the name of which the aircraft is registered and the registered shareholders of which (each of whom is a natural person) each hold not less than 5% of the shares in that company.
So no-equity is a no-no.
WRT to the wider question. The receipt of free or discounted flying in lieu of payment is EXACTLY what BIK is. If you are paid for your services, whether in cash or any other form of valuable consideration it's taxable.
On the other hand if the activity concerned is a necessary part of the legitimate business activity of the company it's not BIK.
Examples:-
You deliver the aircraft to the maintenance organisation - not BIK
You take your wife and kids to Le Touquet for lunch - BIK
This advice is worth what you paid for it.
Mike