Commercial airlines and cargo carriers have long struggled with maintaining profitability in the face of a myriad of economic and financial challenges, including the direct and fluctuating costs of maintenance and fuel, excess capacity, keeping pace with new technologies, and government regulation. In their effort to develop a business model that best meets these challenges, airlines and freight carriers must consider whether commercial aircraft leasing or outright purchasing of aircraft is the best choice. Making the right decision depends on your specific operational needs and financial situation, but for many commercial carriers, aircraft leasing will yield the greatest advantages, for a variety of reasons. A new industry brief from AerSale® details the benefits of leasing and why it may be the best business move for you.
The Rise of Commercial Aircraft Leasing
Commercial aircraft leasing was uncommon until the early 1990s. Before that time, the vast majority of carriers purchased their aircraft, with only a small percentage leasing. Then, in part because of tightening credit, which made it difficult or impossible for smaller operators to obtain financing to purchase aircraft, leasing became an increasingly attractive option. With GDP growth driven by the emerging markets in Asia, the Middle East, and Latin America, the advent of the of the low-cost carrier business model, and increased investor liquidity in the industry, the popularity of commercial aircraft leasing has continued to grow over the last two decades. Today, leased aircraft account for well over 40% of the global fleet.
Our new industry brief discusses the five main benefits you can realize through leasing your aircraft rather than buying, explaining how you can maximize your operational flexibility, lower costs and free up capital, reduce risk, and maximize profitability in today’s competitive business climate.
The Advantages of Commercial Aircraft Leasing from AerSale
AerSale specializes in mid-life to end-of-life commercial aircraft leasing. Our experienced aircraft trading team understands that no two lease situations are the same and there’s no ‘typical’ lease transaction. Each aircraft leasing transaction requires flexibility and responsive service to develop a solution unique to our client’s operational needs. Our diversified fleet includes Boeing and Airbus narrow- and wide-body aircraft in both passenger and freighter configurations. We excel in deployment responsiveness by leveraging our in-house MRO capabilities to provide high-quality and timely equipment deployments. We can provide short, medium, or long-term lease agreements to meet your specific needs. Our experience, expertise, and capabilities have made us a global industry leader, and you can trust AerSale to help you find the best solutions for your business.
Click here to receive your copy of this complimentary industry brief from AerSale.
About AerSale
A global aviation leader, AerSale specializes in the sale, lease, and exchange of used aircraft, engines and components, in addition to providing a broad range of maintenance, repair, and overhaul (MRO) services for commercial aircraft and components. AerSale also offers asset management services to owners of end-of-life aircraft and engine portfolios. Headquartered in Coral Gables, Florida, AerSale maintains offices and operations in the United States, Europe, and Asia, including FAA-approved aircraft maintenance and repair facilities in Goodyear, Arizona, and Roswell, New Mexico, with a large inventory of airplanes, airframes, engines, parts, and technical support. In addition, AerSale Component Solutions (formerly Aero Mechanical Industries) operates a 100,000-square-foot repair facility in Rio Rancho, New Mexico, that handles both metallic and composite airframe components.
Providing global reach from strategically located facilities, the AerSale team includes over 200 employees focused on flight equipment leasing, sales, maintenance, storage, and distribution, who maintain an aircraft and engine portfolio valued in excess of $1 billion. AerSale is also committed to the highest standards of quality assurance practices and procedures, and has earned recognition and certifications from the industry’s governing bodies including FAA, EASA, ISO 9001:2008, AS9100, ASA 100, and AFRA.
Download our industry brief to find out more about how commercial aircraft leasing can work for you, and contact us to discuss the possibilities.