Aircraft leases are rapidly becoming a very popular way to build business among original equipment manufacturers, especially in the private aircraft market. Business jet financing options make it much easier to bear the financial burden of private jet ownership, and all parties to the transaction stand to benefit.The cost of owning and operating private jet can be prohibitive and out of the reach of most corporate users, but when aircraft finance options like leasing are employed, even modern, highly capable jets are within reach. With a wider audience being reached, and aircraft made more accessible to more potential users, all parties to the transaction are satisfied.
Growth of the Aircraft Leasing Market
Leasing immediately opens your business to a new world of customers and the market seems to be far from slowing down anytime soon. According to Monitor Daily, the number of aircraft deliveries between 2010 and 2015 has doubled over the previous 5 year period. In the coming years, the trend is expected to continue to push the market forward and grow the global aircraft leasing market to over $245 billion by the year 2021. Some experts even predict that leasing will account for over 40% of the global fleet by the end of 2015.
Aircraft Leasing Advantages
So what is it that has aircraft leases soaring in the global aircraft market? One of the largest driving factors behind the rise in popularity of aircraft leasing options is the advantages for both the lessee and the lessor.
Lessees stand to take advantage of all the benefits of private aircraft ownership without having to worry about the large upfront cost, helping organizations keep within their budget while building their bottom line with the aid of private aircraft travel.
With a variety of leasing options at their disposal, business executives and decision makers can focus on choosing the financial product that works best for their unique budgetary needs.
Aside from the capital management benefits, businesses who fly via private aircraft stand to benefit in terms of productivity both on the ground and in the air. As opposed to commercial airlines, private jet ownership grants your team control over their schedule, flying when its best for them while staying connected to clients all across the globe. With less total travel time being wasted in TSA lines and long layovers, lessees will quickly see the advantages of their private aircraft operations.
Specialized aircraft leasing firms assist with the marketing and distribution of both new and existing equipment, helping the OEMs build a loyal user base and reduce the cost of marketing their products to potential clients.
Leasing firms generally have a long-term perspective on the life of an aircraft too, seeing its future beyond a given lease into the second or third lease afterward. This kind of broader view helps to ensure that equipment is constantly bringing in income and earning money, rather than sitting idle for prolonged periods of time.
The days where corporations are direct customers of OEMs are fading fast – these days, very few businesses actually see the advantage to owning the aircraft, and being exposed to the vagaries of asset values and the hassle of remarketing the aircraft. Far more appealing is the role of investor and user of the asset, which allows executives to concentrate on what matters most to them, making the sale and growing their organization’s bottom line.
OEMs, corporate flight departments and high net worth individuals will be well served to engage the private jet financing team at Global Jet Capital. With over 200 years of combined experience on their side, the team at Global Jet Capital can help your organization extend its opportunities and build your bottom line. Start offering your aircraft services through Global Jet Capital today, and discover for yourself how we can help your business get ahead.