Explore Financing Solutions for Private Aircraft

Private airplane financing refers to various financial solutions available for individuals or businesses looking to purchase or lease a jet. The Aircraft Lenders offer a range of options tailored to your aviation needs. These include:

1. Loan Options: Term loans for private aircraft acquisitions normally involve 20% down and a 5-year term with a 15-20 year amortization. With some lenders, up to a 20-year fixed term many be possible.
2. Leasing: There are many kinds of aviation lease products. Operating leases allow you to enter into a long-term contract to lease the aircraft for a fixed period of time, making monthly payments, without taking ownership. Lease-to-purchase leases usually offer 100% financing, and involve monthly payments with a residual payment at the end, allowing you to take ownership of the aircraft at the end of the lease. One other lease product is sale-leaseback, in which the lender buys the aircraft and then leases it back to you. Since there in generally no down payment, a lease can help conserve cash. An alternative to outright ownership, leasing a jet can provide flexibility and potential tax benefits.
3. Aircraft Financing: This broad term encompasses loans, leases, and other financial instruments to facilitate aircraft purchases.
4. Ownership: Flying private is a luxury, but financing solutions can make that luxury lifestyle attainable for you. Travelling in your own aircraft provides the gift of time, the most important asset. Private aircraft ownership provides faster and easier access to regions without a major airport hub, and lets you fly on your own schedule.
5. Depreciation: Many buyers choose to enter into private aircraft ownership to take advantage of depreciation opportunities, mitigating their tax liability. Section 179 depreciation and bonus depreciation can be useful benefits of aircraft ownership, but it’s very important that the ownership structure, any dry leases and management agreements be set up properly for full compliance with FAA regulations and to ensure the greatest tax benefit. Our expert industry partners can help.
6. Acquisition and Management: A great acquisition agent will cover the cost of their fee several times over due to their industry knowledge and connections within the aviation industry. It’s also important to partner with a great management company, especially if you are chartering your aircraft. Financing doesn’t cover acquisition and management costs, but they do look closely at the aircraft and it’s value and condition, as well as who will be managing it.
7. Fractional Ownership: Sharing the cost of a jet with other owners, reducing the financial burden and still providing access to luxury travel. Financing for fractional use is not something most lenders offer because they can’t re-possess a portion of an aircraft if the loan is in default.
8. Asset-Based Lending: Asset-based loans are based primarily on the value of the aircraft itself. These loans are low-docs loans, but they are usually only available for certain makes and models of aircraft that are still in production and are less than 15 years old.

The Aircraft Lenders can assist businesses and individuals in navigating these all of these options and parameters, finding suitable private and commercial aviation financing solutions to ultimately get your private aircraft funded. We aim to align the financing solution with the client’s financial strategy, ensuring the path to owning or leasing a jet is seamless.

Most private jet loans require a down payment of 15 to 20 percent of the aircraft purchase price. The exact amount depends on the aircraft type, mission use, borrower creditworthiness, and lender guidelines. The Aircraft Lenders works with a network of more than 50 banks and specialty aviation lenders to find the most competitive terms for your financing profile. Borrowers with strong credit and a straightforward mission use often qualify for the lower end of the down payment range.

Yes. The Aircraft Lenders has experience structuring financing for Part 135 charter operations. Charter operators typically face more detailed underwriting because revenue generating aircraft carry additional regulatory and operational considerations. Our team works with lenders who understand the aviation industry and can evaluate Part 135 missions on an individual basis to find loan or lease terms that fit your operation and fleet plans.

Approval timelines vary depending on the lender and the complexity of your transaction. Most clients receive a preliminary credit decision within 48 to 72 hours of submitting a complete application. Full closing typically takes 2 to 4 weeks from approval. The Aircraft Lenders streamlines the process by packaging your application for our network of more than 20 lender relationships, reducing back and forth and moving your transaction forward efficiently.

• Term Loan: This is the norm, and usually offers the lowest payments due to low interest rates and 15–20-year amortizations. The collateral is the jet itself, but in most cases a personal and business (if applicable) guarantee is required. These loans usually offer the lowest interest rates.

• Operating Lease: Offers flexibility to lease a jet for a fixed period. There is no ownership but lower upfront costs and maintenance responsibilities.

• Finance Lease: 100% financing, and usually only available to commercial borrowers. Similar to an operating lease, but with an option to purchase at the lease’s end. Term is usually 5 years, and amortization is not much longer, so payments are higher. Ideal for those seeking 100% financing and eventual ownership, who don’t mind accelerated payments.

• Personal Loans: For jets under $5mm that are not being heavily chartered, a personal loan may offer the best rates and terms, with terms up to 15 or 20 years available. This loan product is usually more suitable for smaller, less expensive jets. The financing process can be more straightforward, but there may be more restrictions with aircraft mission