A Guide to Fleet Financing for Flight Schools

For a flight school, its fleet of training aircraft is its most critical asset. Securing fleet financing to acquire new trainers or upgrade existing ones is essential for growth and maintaining a competitive edge. This type of financing is a commercial loan that requires a deep dive into the school's operational and financial health.

What Lenders Require from Flight Schools

Lenders view flight school loans as commercial financing and have specific requirements:

• Business Plan: A comprehensive plan detailing student enrollment, revenue projections, maintenance plans, and instructor qualifications.
• Financial Statements: Several years of business tax returns and financial statements (P&L, Balance Sheet) are required to show profitability and cash flow.
• Maintenance Program: A detailed plan for maintaining the fleet to high standards, as training aircraft endure significant wear.
• Insurance: Proof of a robust commercial insurance policy covering training operations.