Cost Per Hour for PA-31-350

Old saw about horses and aviation, To make a small
fortune---start with a big fortune.




"Mortimer Schnerd, RN"
wrote in message
...
| Jim Macklin wrote:
| You have crew training, insurance, flight tests,
| maintenance, overhaul reserves, fuel, oil, tires,
charts,
| hanger and tie-down fees, taxes, and advertising. Then
you
| may get your first revenue flight and get paid
eventually.
|
|
|
| There's no need to sugar coat it... tell him the truth
about the business!
|
|
|
|
| --
| Mortimer Schnerd, RN
|
| VE
|
|

"AML" wrote in message Anyone know what the cost per hour is for a
Chieftain?

Retail for 135 is around $780/hr.

D.

"AML" wrote in message Anyone know what the cost per hour is for a
Chieftain?

Part 135 retail for $780/hr.
I run 2 Chieftains (plus other types) under Part 135. The naysayers here
have good points, but their points are not insurmountable. If you are the
pilot, mechanic, and answering machine, with a niche market, you can make
decent money.

Here's a few tips-

You do NOT have to extend credit to anyone. Accept major credit cards before
the flight leaves. Have a signed contract from the customer with detailed
wording about non-refundable monies in the event of a cancelation on the
customer's part, and a detailed itinerary. Inevitably someone will back out
because they found a better deal after signing the contract. When they back
out, they dispute the non-refundable charges with the credit card company.
You simply fax in a copy of the contract that they signed and you win.

Stay away from the freight feeder contracts. These contracts are put out to
bid and awarded to the cheapest bidder. Most of these contracts will provide
you with cash flow from the steady business, but without any profit because
you had to bid so low to get it. One serious unscheduled maintenance event
and you're out of business.

As a single plane operation, you will need to seek out an alliance with
another operator to cover your downtime. Pick one who you hope won't steal
your clientele. Don't steal his clientele. Commercial aviation is a small
world and burnt bridges don't get rebuilt.

Keep your plane clean inside and out. Even the Greyhound crowd expects to
travel in style when they shell out that kind of money, no matter that they
show up in T-shirts and flip-flops. Cover avionics holes in the panel.
Vaccuum up pet hair immediately after a flight with animals. Have their
favorite liquor and snacks onboard. Fly smooth.

D.

In article ,
"Jim Burns" wrote:

"Jim Macklin" wrote in message
news:aOQfg.25274$ZW3.17979@dukeread04...
Yes, insurance will cost more. real world stuff snipped Then you
may get your first revenue flight and get paid eventually.
--
James H. Macklin
ATP,CFI,A&P

And on top off all that you have to pay your employees, the payroll taxes,
unemployment taxes, workers comp insurance, what no benefits??? oops, here
comes health insurance, dental, eye glasses, AFLAC, 401k, vacation pay, sick
pay....

Non airplane company owned vehicles? License, registration, insurance, gas,
maintenance...

Corporation or LLC?
Accountants, lawyers, state and federal filing fees, corporate
registration...

Oh, this isn't a cash operation? Bankers, interest, fees, lines of credit
and operating loans on top of initial purchase loans...

Dispatcher, receptionist, chief pilot, co pilot, backup on call pilot,
A&P/AI, go-fer/floor sweeper...

who buys the charts? Top pilots will insist that you do... GPS
subscriptions? XM weather subscription? AD/SB/Maintenance manuals and
subscription services?

Phone lines, heat, electricity, internet service, cleaning service...

Uniforms?
Overnight hotels for the crew?
Non flying hour pay for the crew?
Per deim allowance for crew expenses?
What about maintenance? More full time employees?
What equipment and tools will you have to own that your mechanics won't
have?
Spare parts inventory?

Oh, did I mention depreciation? Yep, every thing you bought just got worth
less when you want to sell it.

Worth it? Absolutely... IF your true love and passion is aviation. Because
it will only be that love and passion that sees you through the hardtimes,
hardship, and the heartache that comes with any business.
One of the most common attributes of truly successful businessmen is that
they excel and prosper by doing things that they love and have a passion
for.

Approach it with your eyes and mind wide open, and only then open your
wallet.

Sincerely wishing you good luck... it can be done.

Jim





Thank you guys for all your input so far. So far I figure it will cost
between $2.86/sm to $2.98/sm. Does this seem a little high?

Seems low, we charged that much 15 years ago, when fuel was
under $2. You're talking less than $600 and hour, your fuel
will cost at least $160 an hour. Do you have an accountant
who is aviation knowledgeable?


"AML" wrote in message
...
| In article ,
| "Jim Burns" wrote:
| snip|
|
| Thank you guys for all your input so far. So far I figure
it will cost
| between $2.86/sm to $2.98/sm. Does this seem a little
high?