I currently have an application pending for an Air Operator`s Certificate and due to be granted about October. The AOC relates to a regional turbo-prop aircraft, but i don`t intend using it for regional flights.
In the environment where I wish to fly it will be up against three other airlines using Boeing 737-300 and infrequently 737-800 jet aircraft. These jets burn 2500kg of fuel per hour. My aircraft burn 300kg of fuel per hour. When compared as fuel burn per passenger my aircraft burn 75% less fuel therefore can operate with 25% lower overheads. We will also cause less carbon emissions and plan to exploit this in our marketing.
Why it will work is that the routes being flown are less than 300 nautical miles and in most cases even less than 200nm. At these short distances jets can`t reach economical cruise altitudes. A third of their trips are at climb power burning huge amounts of fuel and the speed differential between a jet and turboprop on such routes is negligible.
My plan is to raise funding by inviting financiers to purchase the aircraft and lease them to my airline under contract at a rate which doubles their investment over three years.
Can anybody here suggest financiers who might be interested in such a novel funding proposal ?
Please feel free to nominate any contacts you know of.
The company Netjets in USA exploited a novel funding method to create a successful private jet charter business, whereby interested clients could buy shares in an aircraft rather than the whole aircraft outright. Netjets then hires out the aircraft to others when not required by the owner(s). Netjets also exploits having multiple owners per aircraft and the flexibility of owning a fleet of aircraft so each owner has an aircraft on call.
I believe the airline project which I propose is both novel and strong enough in it`s marketing strategy that it will succeed. I just need some investors with big enough Kahunas to climb aboard for the ride.
I`m also open to suggestions here of other funding methods. Over to you guys. Impress me.