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filtering those down to reach your core needs and selecting the most efficient model. For example, it might make sense to purchase the Phenom 300 then charter the G280 twice a year if you need more cabin room. Sure, nine seats are great, but how often will you really fill them? A quick breakdown of the operating costs of a G280 vs. a Phenom 300 may be all the explanation you need. Choosing the Correct Model With proper research, a broker can help you with any number of crucial decisions – identifying the most effi- cient aircraft model types for the core mission; outlining differences in cost, cabin types, operating costs and future mandate compatibility; and comparing that data against market trends, future liquidity index and values. That sounds like a lot, which is a good thing. With all this data in front of you, the deci- sions regarding aircraft models are much easier to make. Too much information can never hurt. Focusing and Maximizing Value Proposition After identifying the most suitable aircraft model, or at least narrowing it down to a few options, the fun part can begin: shopping for airplanes. But buyers can get distracted during this critical stage and lose track of the most important factors on which to base the offer or buying decision. A broker greatly assists with reeling in on what is most important (pedigree, maintenance, his- tory, features), not the vanity aspects that everyone wants (paint and interior aesthetics). A broker can also substantially expand the range of available aircraft for you to consider. Sometimes the best oppor- tunities are off-market, meaning you would never see them without a bro- ker. Using market summaries, a broker can identify top opportunities – both on and off the market. Additionally, long- standing relationships and tight industry connections allow reputable brokerage firms to identify available aircraft and secure a deal before the aircraft is ever posted online. Some management firms regularly sell aircraft from one client to another without the aircraft ever hitting the market. And once you find the right airplane and enter into negotiations, it’s always a good idea to take emotions out of a large asset purchase. Brokers can draft and submit offers on your behalf, handling all communications between you and the seller’s team and assuring all your interests are protected and proper terms are being pursued. “Buying an airplane can be risky and complicated. It is critical to enter that journey with someone who asks you lots of questions to understand your mission and goals.” - A. Baker, owner of Gulfstream 200, Premier 1, Citation CJ1+, Cheyenne 400 and Piper Meridian Pre-Buy Inspection and Testing The pre-purchase inspection is usu- ally the most challenging piece of the transaction and a broker can help you ina number of ways: • Identify the best facility to use; • Select those who will look out for your interests as the buyer; • Recommend a qualified engineer for oversight on the inspections; • Handle negotiations with the seller or seller’s representative; • Help you understand issues that come up in the inspection such as repairs, corrosion, missing log- book entries, damage history, etc. Additionally, a broker will offer rec- ommendations on additional inspections to perform based on future upcoming maintenance or known f leet issues for that model aircraft. Considering Legal and Tax Implications This is where a broker really earns his or her fee. When the non-functional onboard entertainment system is not deemed “airworthy” by the inspection facility and fixing it comes with a $50,000 or higher price tag; when corrosion in the aircraft belly is repairable yet the future effects on aircraft value are uncertain; or when the seller simply stops performing after you accept the airplane due to cost of airworthy repairs. In many cases, a broker can avoid the legal chase simply be leveraging their relationship with the seller’s representative or by suggesting alternative ideas for a solution that works for both sides. Sales and income tax mitigation is another area not often at the forefront of buyers’ minds. When buyers represent themselves, once the aircraft is returned to service from pre-buy, decisions are often rushed and these considerations are left out. A broker will ensure all the boxes are checked and proper counsel is sought for all sales and income tax miti- gation prior to delivery. Depending on where you live and where you purchase an aircraft, your purchase may have significant tax consequences. The Best Option is the Broker Option Read any personal development book and you’ll find a common theme – a mentor is a must whether you’re buying a house or negotiating your salary. The same is true for your aircraft purchase. Bring experience, knowledge and under- standing to a large transaction and you’ll be in a much better position. Buying an airplane may seem easy from the out- side, but like everything, it is a process that you want to respect and proceed through with care. Having a reputable advocate at your side that lives and breathes aircraft sales and acquisitions and can watch out for your interests, will eliminate a lot of stress and potentially save you a substantial amount of money and headaches. And without the stress and pressure weighing on you, you get to focus on the fun part – buying and f lying your new aircraft. Matt Stringfellow is co-founder and partner of SOLJETS – a business- aircraft brokerage firm with offices across the United States in Atlanta, Boulder, Chicago and Park City. To learn more about SOLJETS, you can visit www.soljets.com or email contact@soljets.com. 26 • TWIN & TURBINE / August 2019 Jet Journal