Maximizing your jet investment starts with a comprehensive lifecycle plan
A private jet is a serious investment. It may require millions of dollars to purchase and maintain an airframe from acquisition to retirement. That’s why it’s important to develop a clear roadmap of goals for the craft and how to achieve them.
Lifecycle management for jet aircraft is the comprehensive planning, execution, and optimization of activities over its lifespan. This process can evolve with your changing financial goals, but always includes steps to ensure the safety, reliability and efficiency of the aircraft.
When you choose Global MX as your maintenance partner, you’ll gain access to aviation industry veterans who have experienced every stage of the private jet lifecycle and advised jet owners about their best options. Contact us today if you need help planning for a new craft.
These are the various stages of a jet’s lifecycle and where owners should pay close attention during each:
Acquisition: Know Your Goals
The first question a potential airframe owner should ask is simple — why are you buying a jet?
Do you need it for weekly business commuting? How many executives will it fly? Is this a vacation vehicle? Domestic or international? Will you charter your jet when you’re not using it?
The average airframe will be flown for 20–30 years before retirement. Having a set idea of its usage patterns will be helpful when negotiating lease agreements and financing options. It will also guide you toward the right airframe and lifecycle plan to accomplish those primary goals.
Regular Operation: Get On a Schedule
Once an aircraft enters operation, it must undergo routine maintenance and inspections. A maintenance partner like Global MX ensures the inspection schedule complies with regulations, stays current on repair recommendations from the manufacturer, and proactively addresses potential issues before they worsen.
Scheduling downtime in advance is especially important if your craft is meant to generate revenue through chartering. You don’t want unexpected maintenance to ground your craft and disrupt its earning schedule.
Upgrades and Modifications: The Sky’s the Limit
The problem with airframes is the same with kitchens and cars — they don’t stay on the cutting edge forever. Even if you purchase it brand new, in a few years you’ll be thinking about upgrades.
This is where lifecycle planning at the outset can make a real difference in the trajectory of your asset ownership. For example, if you plan to keep the jet on the charter market, perhaps you build in a budget for an interior refresh in 5 to 7 years.
Jet engines typically undergo two or three complete overhauls during their lifetime. The mandated Times Between Overhauls (TBOs) vary between manufacturers, but your lifecycle plan should anticipate these among other periodic structural repairs.
You can also count on continual improvements in avionics technology and flight systems. Our avionics experts can schedule the upgrades that are right for your craft.
Asset Management: Follow the Money
Lifecycle management planning will help you project which upgrades are important and when. Owning an aircraft is a constant cost/benefit challenge. It’s vital to understand how an upgrade will affect the craft’s value and performance and whether that aligns with your goals for the craft.
To manage the airframe as an asset, an aircraft management company will chart your airframe’s value and depreciation, along with external market trends, to continually update your expectations and make good decisions about the future of your investment.
Retirement: Have an Exit Strategy
At some point your craft will no longer be economically viable for your plans. How you plan to end your investment will affect how you manage it toward the end.
If you hope to sell the aircraft, you may want to take on some upgrades to make it more attractive to buyers. It might make sense to fly it longer providing you keep the aircraft updated with the latest technology. A lifecycle management plan will consider how maintenance costs, regulatory compliance and market demand all play a role in how you manage the final years of your aircraft.
Lifecycle Management for Jet Aircraft
Making a holistic plan for the lifetime of your jet investment will cut down on unexpected costs and make your ownership experience much easier to manage. The team of experts at GMX keeps our fingers on the pulse of corporate aviation. Join us as we lead the way into the future ensuring our customers get the best experience and ROI possible. Contact us for more information about how to begin.