Charter Business prospects in Middle East

[gravity9]

I am part of a group interested in setting up a charter company. We the the money coming in but don't want it setup in our home country.

Middle East seemed like a good place for the business but unfortunately we dont have much experience there except what we have heart from some people.

Can someone tell me if there is any hope for charter (small jet, turbo prop or heck even smaller planes) there. Also Ras-Al-Khaima seemed to be a good airport.

[r0v3r]

If you don't know much about the UAE, I suggest you don't start your business here. Everything is being ran differently. It's really better if you do it in your own country, rather than a country you know pretty much nothing about.

And I'm not sure there will be good demand for charter flights on small A/C's in RAK.

[Waste Management]

For research in how it's done here, you can read the following PPRuNe threads, for starters:

http://www.pprune.org/middle-east/450974-prestige-jet-all-merged-threads.html

http://www.pprune.org/middle-east/458678-clue-me.html

http://www.pprune.org/biz-jets-ag-flying-ga-etc/352948-al-jaber-aviation.html

http://www.pprune.org/biz-jets-ag-flying-ga-etc/386732-elite-jets-dubai.html

http://www.pprune.org/biz-jets-ag-flying-ga-etc/310923-execujet-middle-east.html

[NZ X man]

Yes, good luck on that idea. Many a broken sword doing just what your talking about.

Cheers

[FrankR]

Well, most of the companies that tried and failed can be faulted for two things. First, they were criminally stupid! They all hired lazy arrogant managers, and allowed same to lead them to ruination. Second, kickbacks and other "cash drains" on revenue took their life blood. Finally, pilots were treated quite poorly, so it quickly becomes a "us vs them" downward spiral.

The Middle East is a gold mine, they just need a few operators with local knowledge, business savvy, and good management. Surprisingly, this has been hard to find, like water in the ---.

FR

[Airmann]

gravity9, if you are in India like it says in your profile, then I think deciding to move to the UAE is fairly stupid.

[Fat Clemenza]

Do not forget that poor law inforcement makes it difficult for a company to operate legally and generate revenue in an environment where you can face operators with no AOC or blacklisted because of unpaid bills, or not paying their crews (bexair, prestige and the likes have the platinum medal)...

[ChiefT]

If you are not experienced in that business, but having the funds, then you can hire a consultant to assist you. They do market studies, identify the potential and can also set up the operation for you.

If you need a recommendation, just drop me a PM

Knowing the region a bit, I would say that there are possibilities; not necessarily in the biz jet charter market, but there too.

[mutt]

In order to save yourself two years of nightmares, hassle, heart problems and other various health issues before you finally realize that you have lost all your investment funds.... I would suggest that you save time and send all the funds to me :):):) I will put all the money behind the bar in the Dubai Irish Village for Ppruners to enjoy themselves......

As for consultants, I would suggest that their payment in based on your success or lack of it, otherwise they give you great "Industry Best Practices", and walk away.

Mutt

[gravity9]

Thanks for all the replies. Have been talking to some people and the posts here tell me UAE isnt good.

This situation in India is horrible. Tons of pilots, no jobs, infact dont even come for a interview without a A320 rating is industry norm. Starting a business is even worse with the corruption in DGCA. Already spoke to a number of people here about that.

Looking at other places now. Maybe New Zealand

[Airmann]

You want to know something my friend, i know that setting up a business in India is hard but it is the BEST place on earth to set up something like a charter or business operation. It one of the fastest growing business/charter aviation markets in the world with tons and tons of industries that need that kind of service.

You have tons of industrialists that need to go into more rural areas. Many many sports teams now that would love a private service and save themselves the hassle of flying with the public. And tons and tons of people in the film industry that would also like to go places in private without a hundred other people on board knowing where they're going.

I have a friend who joined with a new business charter out of Mumbai, and although it took a while to jump through the inevitable breaurocratic hurdles, once they got their certification from the DGCA the business just came flying through the door.

I would think twice before I went anywhere else with this idea. India is in the money right now, and there's never been a better time to do business in that country, there is probably more business to be done in one district of Mumbai than in most cities in the Middle East. The upper class are reaping it in right now and that means that high end services like charter ops are in big demand. Most of the bigwigs don't even use cars in the city anymore its all chopper service from Juhu down to South Bombay.

[KangarooFlyer]

Yet, there seems to be no dearth of people willing to lose their money on private jet charter services here in UAE. Latest is Rotana Jet - no relationship with the fine hotel chain other than usurping their name; one wonders how long it will be before the Rotana Hotel chain objects to use of its name in an obvious attempt to imply a relationship. This one, in Abu Dhabi, is promoted by and staffed by a collection of people with, shall we say, colorful repute in Dubai?

Definitely one to watch for future PPRuNe threads.

[Waste Management]

Surprising that we have not heard much about them on PPRuNe yet, considering the cast of characters involved there. Must be early in the game, still.

[FrankR]

I'm with Mutt.

With the Irish bar option, you know what you are getting, and whilst you will have a hangover the next day, it will go away after a good bath more sleep, and some tea. Losing all your funding in a tarmac of dreams is going to haunt you. Haunt you.

FR