Making Ownership Affordable Through CSP
Thinking about buying an airplane or seaplane? Leaseback is an option worth considering that makes ownership very affordable. As part of such an arrangement the aircraft owner essentially rents the plane to Chesapeake Sport Pilot. The owner covers the expenses of the aircraft but in exchange keeps 75% of the income that the plane generates. David Sussman, owner of former leaseback N15HV, outlines the advantages of leaseback with CSP:
- The #1 advantage to leaseback is that you have the potential of flying your airplane for very little or no cost as you have the potential of covering all of costs of plane from revenue you earn.
- Depending on how your leaseback is structured and how you operate your “company” you may have some tax advantages as well.
- The flight school is willing to manage the plane for you, scheduling regular inspections and maintenance.
- Unlike many other flight schools, CSP’s lease agreements allow the owner to fly whenever he wants.
CSP offers a 75/25 lease agreement. The owner takes 75% of all revenue and pays all expenses, including insurance, maintenance, and storage. CSP handles all scheduling, monitoring, and management of the aircraft rentals, and arranges maintenance according to the required schedules. The owner is responsible for maintenance costs, but receives a special discount . The owner receives a statement at the end of each month setting forth the hours flown, the revenue generated, any expenses, and the net balance due to the owner. The owner flies the plane for free (but buys gas). The plane can be scheduled whenever the owner wants, and is allowed to bump current renters. (However, if the owner keeps bumping renters, the renter may not want to rent that plane for fear of being bumped.) The owner may also restrict the aircraft for certain uses, primary instruction, transition training, current pilot, current pilot with X amount of hours, etc. (However, the more restrictions an owner sets, the less the plane will fly.)
We are currently accepting leasebacks of SLSA RV-12s and Tecnam Eaglets as well as Cessna 172s. We are also willing to discuss leasebacks of unique aircraft for transition training including experimentals such as larger RVs.