I would like to start a small niche commuter airline (turboprops less than 19 pax, not jets) - how to start?

Question

I've done a lot of research into it, and I have what seems to be more than one working model (121,135, Membership?), and a plan, but I know that there are things I don't even know I don't know. (like the pre-application statement of intent - FAA form 8400-6) Short of consulting avbiz consultancies I'd like to get things more in order before I start burning money. How do I get a reality check? What's the next first step? I am a pilot, and no, I don't want to be an airline pilot.

I appreciate the answers so far - and especially agree about savvy business partners, and working with the FAA - I'm wondering if there's anyone out there that's actually gone to their FSDO and said "I intend to start an airline" - I'm just a little out of sorts on the order of things - I've got the market (and the marketing - it's what I do) down - it's the next step that I'm interested in. Who do you tell first? I don't intend to make a small fortune out of a large one, and I don't want to use my own capital - that's what investors are for - How does one make the leap from idea / plan to reality? I can be covered for some of the start-up, and I know about leasing vs. owning. (think Ken Borek - Maldives) If you get that, you'll get where I'm going.

Answer 1

If your not independenly wealthy,we're talking millions here,you will need to find some wealthy investors who believe in you and your buisiness plan.Pray a lot,and keep believing in your self and God's grace and promises.you can do this. Hope my belief and encouragement help.

Answer 2

Good luck with setting up your own airline! Whether a business-led airline would be profitable is contentious at the moment. Two firms, Maxxjet and Silverjet have recently run into trouble with this business model (both offered business flights only) with Maxxjet going out of business. Many other airlines are also facing difficulty - in the business sector many companies are asking their staff to accept cheaper flights with budget airlines, especially for short-haul flights. You mention 'distant future' and this is where prediction might become a bit more tricky... there are so many issues around governments legislating against airlines (for environmental reasons), the price of oil over the next 10-20 years, and technology (possibly) reducing the number of flights. Despite all this turmoil in the industry, there seems to be no shortage of orders for private jets from those who can afford them! I have put a couple of book references on that I hope you will enjoy. The first 'How to get Rich' by Felix Dennis has nothing to do with the airline business at all, but it is a great business book, and very entertaining. It has more to do with motivation that most business books, whilst not being a 'motivational text' per se. Second, one of Mr. Branson's books - learn from the master! Good luck!!

Answer 3

I think the first place to start is the NBAA - the National Business Aviation Association, Inc. at http://www.nbaa.org/

You should become a member I think that membership in NBAA is an essential part of being a successful business aircraft operator. The links below highlight just a few of their unique Member benefits. NBAA was founded to help companies like yours be more successful in their business aircraft operations and to help support our ability to fly. With your support, joining that of more than 7,000 NBAA Member Companies, you too, can help to make a difference.

An invitation to join from NBAA President and CEO Ed Bolen (116 KB)
The Political Challenges We Face (56 KB)

America's Business Aviation Association
Government Representation
Industry Best Practices
Operational Resources & Technical Assistance
Promotion of Business Aviation's Value
Learning Opportunities
Conventions & Regional Forums

Also there are lots of articles that would help for example:

NBAA Releases Certification of Commercial Aircraft Operations Resource
June 12, 2006
NBAA has released a new Members-only article titled "Certification of Commercial Aircraft Operations – Which Rules Apply?" This publication provides insight into the requirements for certification as a commercial operator under Part 119 as well as the differences between operations conducted under Parts 135, 125 and 121. It also highlights some of the key issues affecting operators under each of those parts. Download the resource.

Hope this helps ... happy flying to all!!

Answer 4

If I were you I would consider a business partner. It seems you know a lot about the planes and how to run that end but if you are not business savvy, your company will suffer, and likely not "make it off the ground". Find someone to be be more of a general manager and form an LLC at the minimum. Give this person stake in the business and make sure they have the same objectives as you but want to fulfill the business end not the operations end.
Good luck

Answer 5

I agree with the previous posts. Starting off an airilne (even a small one) costs millions thats **MILLIONS**. Most airline are almost bankrupt these days and sadly many newer ones are going under every day. You need to sit dow with a financial planner to see what the best opton is for you. Investors are what you need. Maybe try looking for another person like you (preferabl y a rich person) that wants to start an airline aswell. A partnership would make things alot easier!

Answer 6

The best way to make a small fortune in aviation, is to start with a large fortune.

Starting an aviation company requires a lot of money... and a lot of knowledge. However the FAA is there to assist... unfortunatly.. they are currently under funded... and this may cause some issues. Contact your local FAA.

Answer 7

Oh wow... you have my sympathy.!

I thought about starting up a small airline once, until a good friend pointed out that the only way to have an airline and a million dollars in the bank... was to start out with THREE million dollars.

Good luck.!

Answer 8

Start with the ATR's. They are good for regional flights. Then you can use the Embraer 195 and the Boeing 737 or the A320. You can start also with a Cessna Grand Caravan.

Answer 9

Unfortunately it looks like you know more about this topic then anyone else on here. All I know is that I would love to start my own airline company someday. Also, I am a commercial pilot and would like to start at a job like the one you are explaining. [e-mail]
Good luck

Answer 10

At one of my homebases, there is a certificate on the wall saying they are an authorized charter service - they have a Cessna 210 that they use to make hops from ONZ to 3W2 (Put-in Bay Island on Lake Erie) in Michigan. I'm sorry, I don't know the exact name of the certificate, but it already sounds like you are on the right track. The FBO that offers this - their site is www.brooklynair.net - ask for Rick.