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Typically a share is run by a group, which may be registered as a company, who own a single aircraft. You then also pay for any hours you fly, but this is significantly cheaper than the costs of hiring a plane from a flying club and is where owning a share becomes a useful money-saver. …
Should I put my plane in an LLC?
Personal liability protection is the primary reason for placing a plane into an LLC or corporation; tax benefits are secondary. Provided that you act within the scope of your duties as a member of the company, you are not personally responsible for the company’s debts.
What is an airplane partnership?
A partnership, or shared aircraft ownership, is one of the oldest and sometimes most practical forms of owning an airplane. If you can’t or don’t want to own an entire airplane by yourself, this fast-growing segment of aviation can be the ticket to flying on your own terms.
How much does a share of a private jet cost?
A share in a light jet would start at about $350,000 for 1/16th. Monthly maintenance fee, an amount that includes the pilot’s salary, insurance, maintenance and the cost of keeping the plane in a hangar. Occupied hourly fee, which covers fuel, maintenance and in-flight catering whilst you’re onboard the jet.
Who is responsible for the liability of an aircraft?
Considering the involvement of several parties in the aircraft such as the operator, owner/lessor or financier, the liability of each of them differs with their position and the control over the aircraft. The liability of each party is outlined as follows:
In the context of aircraft co-ownership, this would mean that if you die, your share of the aircraft would go directly to your co-owner and not to your heirs. In most states, a co-ownership arrangement is presumed to be a tenancy in common and will only be considered a joint tenancy if that provision is explicitly created.
What is the concept of co-ownership in aviation?
The concept of co-ownership is very simple. It is nothing more than two or more individuals sharing the responsibilities of owning an aircraft. Obviously, when you spread the costs of aircraft ownership among multiple owners, your costs decrease.
Why do so many people want to own an aircraft?
It is nothing more than two or more individuals sharing the responsibilities of owning an aircraft. Obviously, when you spread the costs of aircraft ownership among multiple owners, your costs decrease. The apparent simplicity of this arrangement is what attracts a number of aircraft owners to a co-ownership arrangement.