Aircraft Valuation Part 1

One of the challenges of representing buyers, whether it is a Super Cub, King Air or Phenom is knowing where to start the opening shot: The offer.

How do you proffer a number to an aircraft seller that shows the seller multiple  things?  For example, your contact and methods demonstrate:

  • Your math accounts for outliers such as super low or high airframe total time, damage history, missing logs or a run out engine.  (And when these are great.)
  • An offer that is serious (i.e. committed / real buyer) and likely to close.
  • A number that is fair and close to what other transactions are valued at for the same make, model and age aircraft.  (And how to find hidden gems here.)
  • Adequate respect and mindfulness on how you handle the seller’s conditions or needs. (A smooth sale has as much to do with emotional self awareness, as it does the spreadsheet of how you structured the offer.)

Continue reading →

Astronaut vs. Bus Driver (Part 2)

Image credit to therogueaviator.com

For those of us that extract money from airplanes and aerospace related things, the evolution of the pilot archetype fascinates me.

Jeff Friedrich outlines the current trend of the marginalization of skilled labor in one of the best articles on the subject.  Labor, regulation, technology and business models conspire to forsake a key ingredient – people.

While many debate that automation will do us in anyway, why not have some competent people around just in case?

If Elon Musk has anything to say about it (prediction), it might not be a bad idea to keep them even better trained and fed too.  The car you can park.  For critical aircraft failures, why not have a pilot with a compass and watch? And throw in some half decent training and compensation for good measure.