X3 Skier
En-Route
I went to my first meeting of my new club. The FBO co-owner has a proposition I am considering.
The Club needs to build up the fleet and the FBO has offered to "partner" with membes(s) of the club to acquire more aircraft. The deal is, the member(s) buy the airplane and the FBO/Club buys it back over a period of time with a monthly payment @ 5-6% implied interest rate while using it as part of the Club Fleet.
The devil is in the details about access, rates when the owner uses the aircraft (most likely the standard use rate), insurance, term of the "loan" etc. The FBO/Club would be responsible for all maintenance etc.
Basically, the member(s) are loaning the Club/FBO the money for the purchase of the airplane at 5-6%. I don't really want to be a bank but the interest sure beats leaving money in the bank at <1%.
Comments?
Cheers
The Club needs to build up the fleet and the FBO has offered to "partner" with membes(s) of the club to acquire more aircraft. The deal is, the member(s) buy the airplane and the FBO/Club buys it back over a period of time with a monthly payment @ 5-6% implied interest rate while using it as part of the Club Fleet.
The devil is in the details about access, rates when the owner uses the aircraft (most likely the standard use rate), insurance, term of the "loan" etc. The FBO/Club would be responsible for all maintenance etc.
Basically, the member(s) are loaning the Club/FBO the money for the purchase of the airplane at 5-6%. I don't really want to be a bank but the interest sure beats leaving money in the bank at <1%.
Comments?
Cheers