12/7/2023 0 Comments General thoughts![]() Similarly, MikeOH's comment about the seats/radios/etc not being the way you left them is a good indicator as well. ![]() If your attitude is, "I've been doing it such-and-such way for the last X years and see no reason to change", you're not well-suited. How do you think you'll feel if the new partner suggests oil changes every 35 hours instead of every 25? What if they'd like the airplane put away with 3/4 tanks instead of full, or vice versa? What if they ask you to leave the prop horizontal (or vertical) when securing the airplane? If your attitude about these things is, "No big deal, let's try it that way and see how things go", you're well-suited for partnership. But having been asked this question by a couple of friends, my usual response is to ask how they'd feel about things that, objectively, are just preferences. That doesn't mean you can't look for a partner with similar principles and attitude, of course. You have to think of it as if you'd sold your airplane outright, then you and your new partner bought a completely different airplane and started from scratch, together. A partnership cannot be successful when one partner feels in their heart that it's really still "their" airplane, where they set the standard for how it's flown and maintained, and the new partner is expected to hew to the original owners' preferences. If you expect a potential partner to care for the airplane exactly the way you do, you probably shouldn't take on a partner. Having said all that, this statement gives me pause:Įspecially trusting that someone else would take care of it they way I do We employ a professional bookkeeper in our partnership, but that's arguably overkill. Most people do this informally and it works out fine. You'll need some bookkeeping to track the fixed and operating expenses and payments on a monthly/quarterly/whatever basis, which is a new burden - it's just one of the "costs" of having partners. Since you've owned the airplane a while, you almost certainly already have a decent idea of how these costs break down. Then bill each pilot an hourly fee that covers direct (fuel/oil/etc) and indirect (engine overhaul) operating expenses. Determine your fixed costs and split them by equity percentage - typically evenly, e.g. The financials are straightforward: agree on a value for the airplane and other assets (tow bar, cabin cover, tools, whatever) and have the incoming partner give you cash (if they need a loan to come up with the cash, that's their problem, not yours). Sole ownerships often seem to go through periods of inactivity over the years due to life circumstances, and that can wind up creating headaches and devaluing the airplane, due to lack of use. In addition to reducing costs for the individual pilots, there is much to be said for the fact that partnerships tend to keep the airplane operating a healthy number of hours per year. I'm a fan of partnerships and have been fortunate to be in a successful one for a couple of decades.
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