If you are considering selling your helicopter you have to decide among three alternatives.
Most owners opt for the second or third option shown.
Some get there only after unsuccessfully trying the first.
1. SELL IT YOURSELF -
* Benefits: May produce the highest yield if successful.
* Disadvantages:
Many owners are not equipped to handle sales calls because: they are not
available, they are occupied with more important things, and they are not
skilled in aircraft marketing. This activity is sometimes delegated to
someone who may not be knowledgeable or even may not want to see the helicopter
go (i.e. a pilot). There is usually a slow start-up due to advertising lag
times. This sales market opportunities due to limited industry contacts. You will have to handle and respond to many "tire kickers" who will consume
a great deal of time. In addition, you will have to cover on-going ownership
expenses and risk during the sales process as well as FAA requirements
and title transfer.
2. SELL TO A DEALER -
* Benefits: Immediate Cash. You avoid on-going and upcoming expenses. The aircraft is usually sold "as is, where is" and all ownership risks for the seller are stopped.
* Disadvantages: You will have to sell the aircraft for a lower (wholesale) price since the dealer will assume from you the following costs: interest, insurance, repairs, refurbishment, advertising, ferry cost, and the risk of ownership. The dealer will also plan to make a profit on the ultimate resale.
3. BROKERAGE/COMMISSION BASIS -
* Benefits: May be a good "middle ground" yield. Choosing a competent helicopter dealer is essential. You may get to keep the helicopter and use it until sold. This approach takes advantage of the dealer's on-going advertising, market presence, industry contacts, and existing sales situations. Also, the dealer may be active in foreign markets, thereby broadening your prospects.
* Disadvantages: On-going
cost and risks remain with the owner until the aircraft is sold. Needed
maintenance may have to be done and out-of-pocket cost will continue.
At Austin Jet Aircraft Sales, we can buy your helicopter or provide a professional brokerage service for you.
We have had numerous situations where the seller would try to sell the
helicopter himself for several months, then out of frustration call us
to buy it or sell it for him. This is the "worse of both worlds" approach
since the on-going cost are substantial for interest, insurance, hanger,
maintenance, pilot, taxes, etc. Recently a large company who had been trying
for several months to sell their helicopter, asked us to broker the ship
for them. We had a firm contract and deposit in ten days and a smooth closing
followed. This was due to our industry contacts, negotiation solutions
for upcoming maintenance, and on-going advertising program.
If you are considering the sale of your helicopter,
please feel free to contact us
for a no obligation discussion of how Austin Jet Aircraft Sales can help.
Austin, Texas
PHONE: (512)
292-7088 FAX: (512) 233-2726
E-MAIL:
helisales@austinjet.com
© Copyright 2003
Austin Jet Aircraft Sales, Inc.,
Austin, Texas
All rights reserved.
Revised: February 16, 2006