Management
November 2, 2011 | Posted by Joe Barber
I recently attended the Southern California Aviation Association’s (SCAA) event at the Lyon Air Museum. It is gorgeous new aviation museum with large glass hangar doors overlooking the runway at the John Wayne Airport. A speaker was trying to engage the crowd, but the audience was transfixed beyond the glass hangar doors at a developing situation on the runway. It was a large flock of birds, that gave the appearance of a dark cloud, flying perpendicularly over the runway at about 100ft. This wasn’t ten’s of birds or even hundreds; we’re talking about thousands of birds. At the midpoint of the runway, a Southwest 737 rolled underneath the flock, but when a Cessna 182 lifted off the runway, the whole audience saw the plane take an evasive banking maneuver to avoid the birds.
The FAA reports over 10,000 bird strikes a year across the country with the highest on record being a vulture at 37,000ft. Birds and other wildlife account for a small portion of the possible emergency situations that require pilots to make immediate judgments taking into consideration a large number of factors. However emergencies such as bird strikes, engine failures, or loss of cabin pressure are not things you practice in the aircraft. The proper decisions and reactions are a result of frequent practice in a flight simulator. As an aircraft owner, the FAA only requires your pilots attend simulator training once every twelve months, however internationally accepted best safety practices suggest recurrent training every six months. Why? There are two primary reasons. First is to practice emergency procedures and crew resource management, two key elements to ensuring the highest levels of safety. Second is to learn from others. Flight training centers compile large amounts of information from pilots flying similar aircraft and from the aircraft manufacturer who are constantly incorporating new elements into their recurrent training courses. These greatly enhance the safety of your aircraft’s operation in addition to reducing the cost of maintenance.
Q: OK, but that cost of training doubles and my flight schedule is too busy.
A: A key benefit of engaging a management company is access to knowledge and resources. A management companies will provide a qualified and capable crew for any of your flying while your primary pilots are attending training. In addition, the Chief Pilot and Director of Maintenance should have an open dialogue to coordinate maintenance and training dates to reduce the downtime of of your aircraft. Finally, your management company should be passing along savings to you through their fleet purchasing power and agreements with the major flight training centers around the world.
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October 17, 2011 | Posted by John W. Tucker
TWC Aviation, Inc., a worldwide leader in the private business jet industry, today announced that it has hired industry veteran Richard Thompson as Director of Aircraft Management Sales, and established a new office to better serve the company’s growing client base throughout New England. Mr. Thompson engages with individuals and corporations to identify, analyze, and achieve their ownership and travel objectives through a custom tailored program.
Mr. Thompson has more than 17 years of aviation experience, spanning Part 91, 121, 135 and 145 operations. Before joining TWC, he was Vice President of the Technical Services Group for Aviation Management Systems. Previously he was President of MV Air Group and Director of Maintenance for various operators.
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September 30, 2011 | Posted by Joe Barber
Wifi technology in private aircraft is relatively new so there are few competitors in the market, making it relatively easy to compare options. Here are 3 questions to ask yourself before getting started:
1. Where will you use the Wifi?
Coverage areas vary from product to product. For example, Aircell primarily utilizes land based towers which is ideal above 10,000ft and over the continental US. If flying outside the lower 48 States you would need a satellite system like the one offered by Swift Broadband. Satellite systems are significantly more expensive per minute than the land based systems but offer worldwide coverage. Many of the large business jets today are installing both systems to take advantage of monthly unlimited use domestic plans, and just using the satellite system when traveling outside the U.S.
2. What’s a “ball park” price on installation?
Depending on the system and platform, options range from $100,000 to $500,000. The speed and accessibility of the Wifi will ultimately determine the price. There are a number of qualified repair centers capable of installing the equipment and 10 to 14 days is a typical down-time for installation. Since most of the interior is removed for installation, this is a great time to consider installing new carpet, leather, or other soft goods upgrades.
3. Who do I contact to find options?
Depending on your flight organization, the manufacturer, director of maintenance, avionics specialist or local dealer can quote the installation and program for you. Most repair stations will have the resources and technicians to oversee and complete the installation. Some good resources would be to visit www.aircell.com or contact the completion center of the aircraft manufacturer.
Like with any other new technology Wifi will soon become the norm on most business jets as the components and support systems become more abundant. No matter how high and fast you’re flying, without connectivity to the world below, you’re in an information vacuum.
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September 16, 2011 | Posted by Joe Barber
Recently, I’ve heard that some aircraft owners aim to reduce operational costs by eliminating a crew member. With that decision, you can surely anticipate an effect on availability of the aircraft for themselves and for charter (if part 135). But how much of an effect? Here’s a quick calculation and visual on the relationship between the number of crew and availability of an aircraft.
*NBAA provides a manual online which includes statistics that aided this calculation on the availability of crew with training, sick time, vacation and holidays.
Having two crew members will provide utilization of about 80% of one calendar year; however, with four pilots (as seen above), the availability increases to about 94% and adds nearly one month to the availability. Time is money. For instance, within one month a Falcon 2000LX can average fifty hours of charter. In the current market, revenue provided to the owner during that time would be approximately $202,500.00. With proactive management of maintenance schedules being aligned with crew and training events, an aircraft owner will see utilization that pays for itself.
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September 12, 2011 | Posted by Joe Barber
Anyone purchasing an aircraft can legally avoid the sales & use tax. Exemptions are routine and successful if the rules are followed properly.
- Consult an aviation attorney who’s expertise is ownership and tax planning in the state you intend to base the aircraft.
- Engage an aircraft management company who is familiar with the exemptions and will guide you through the process. There are a number of other factors when considering the best management for your aircraft, ask you aviation attorney for some recommendations.
- Thorough documentation. State Boards of Equalization are looking for ways challenge exemptions to which clear and purposeful documentation will ensure success for you. Your attorney and aviation management company should work in sync with each other to ensure accurate and complete records.
The rules and regulations vary widely from state to state. So it’s important to engage an attorney and management company at least a month or two prior to assuming title to the aircraft. The location where you take title, first flight, and overall use of the aircraft play important roles in the sales & use tax exemptions.
Feel free to contact me with more questions.
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