GM2 Article 6.4a(a);(b) of the Operations Regulation states that:
‘Direct cost’ means the cost directly incurred in relation to a flight, e.g. fuel, airfield
charges, rental fee for an aircraft. There is no element of profit.’
Note: While there is no element of profit for the flight, nothing to say the rental person cannot make a profit.
This is a nonsense and a contradiction! It goes on to say rental fees? What rental will you get that does not include fixed costs as well as direct costs and an element of profit?
What private operation will include fixed costs as well as direct costs but with no element of profit?
So if you rent an aircraft but don't use your own you can accept direct costs as well as fixed costs and profit. But if you use your own you cannot accept fixed costs which are real costs even without profit?
so as one poster said run your own aircraft under a company but when using cost sharers charge the aircraft out with fixed costs direct costs and a good healthy dollop of profit and your legal ?
what nonsense