After decades of experience as Buyer, Seller, and Agent, Sky Way Aircraft brings perspective and broad market knowledge to recommendations. Aircraft vary widely in configuration and in quality of maintenance. Yes, Sky Way will help you find the best deal on the aircraft that fits your mission, however helping you identify and avoid the many technical and procedural pitfalls often hidden from Buyers is our greatest satisfaction.
While each transaction is unique, and specific schedule milestones may vary among transactions, the process followed is consistent and predictable. When you are not purchasing an aircraft out of Sky Way's inventory, but requesting our professional assistance as your Agent, this summary will help introduce you to the process.
Occasionally, transactions are simple order-taking, where the Buyer knows exactly what is required. In most cases, however, the process is more collaborative. Sky Way will be available, as needed, to evaluate your mission profile and establish a purchase target or targets.
Once you have identified a target aircraft, there is a “Defined Transaction” and Sky Way will bill 50% of the agreed fee. At this point, Sky Way will commit time and resources to research, and to developing presentation materials for your review. There is a limited list of qualified expenses that will accrue to the transaction, and each will be approved by Buyer before being incurred.
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|AGENCY FEES and EXPENSES:
Agent will be reimbursed for the following expenses in connection with the search for and purchase of the Transaction Aircraft:
Total Fees per Transaction: The minimum consulting fee is $10,000. Agent charges 7% of the purchase price for aircraft from $145,000 to $249,000; 6% of the purchase price from $250,000 to $499,000; 5% of the purchase price for aircraft from $500,000 to $1,000,000. Agent's fee is negotiable for purchases of aircraft over $1,000,000.
A cost range will be agreed as part of the Defined Transaction, and the fee deposit and balance calculated accordingly. There may be some adjustment upon writing the Recommended Aircraft Profile or upon any redirection required by Buyer. In either case, the Fee Balance will be adjusted according to final transaction price at closing. Transportation and other approved expenses incurred by Agent are not refundable and/or dependent upon closure for a particular aircraft. Expenses will be payable monthly or at transaction closing, whichever is first.
MARKET RESEARCH and MATRIX:
Agent will prepare a survey of available aircraft, within the bounds of the Defined Transaction, which will include communication with sellers and assessment of market activity around the target aircraft.
RECOMMENDED AIRCRAFT PROFILE:
Once a Matrix has been established for the Defined Transaction, a search target will be narrowly defined. Desired aircraft history, status, equipment, and documentation are included in the Profile, and together represent the measure by which available aircraft will be evaluated.
OPPORTUNITY FOR REVIEW/REDIRECTION:
The purchase of an aircraft is an analytical process, but it also can be an emotional one. If Buyer reviews the Profile and available aircraft and judges the direction will not ultimately be a fit for Buyer's mission and preferences, then this is the point to redirect the process. After this point is past, the largest time and resource commitment on the part of Agent is required, and all parties will be focused on closing the transaction. Of course, Buyer may redirect the Aircraft Profile at any time prior to closing, but after this point in the process Buyer is committing to the full Agency fee with the agreed Aircraft Profile. Later redirection will include an additional deposit of 50% of the original deposit (25% total Agency fee) to move forward with a new Profile.
QUALIFICATION of CANDIDATE AIRCRAFT:
Following the Agency Process can save Buyer much more than the consulting fee, avoid technical and mechanical pitfalls of used aircraft, and provide Buyer with comforting peace-of-mind knowing they are buying a good airplane. Our satisfied customers sell our services far better than we can. In fact over 90% of our customers return when they are ready for their next aircraft, or they refer a friend to fill an individual or corporate need, or both! We actively trade aircraft in Europe and Latin America, and our ability to bring the international market to bear for both sales and purchases can be a powerful assistance to our clients in many cases.
To the extent possible, all documentation will be reviewed prior to travel so as to minimize travel expenses. This will include Agent's expert review of all aircraft logs, engine logs, prop logs, AD compliance, rigging and avionics, and any other information that bears upon airworthiness of the aircraft and suitability according to the approved Aircraft Profile.Once a final one or two aircraft are identified as the best and most suitable examples currently available, Agent will travel as required for the pre-buy inspection, and flight test.
NEGOTIATION of PURCHASE PRICE:
The aircraft will be purchased from the seller at the best possible "Dealer Net Price." Agent will accept only Buyer's consulting fee for its services; all other savings that Agent can obtain will go to benefit Buyer.
Agent will make an offer on each specific aircraft only with the permission of Buyer. Buyer will make funds available for transaction in a designated account. The active nature of today's aircraft market means that the most desirable transactions are completed only by those who have funds ready and available. Fully refundable deposits will be placed (after Buyer's approval) to facilitate inspection and evaluation of conditional items.
INSPECTION and CLOSURE of CONDITIONAL CONTRACT ITEMS:
For any particular aircraft, there may be individual elements identified during the pre-buy inspection or other evaluations. Agent will inspect and verify as required to ensure that each and every element that has been identified as a condition of sale has been closed. Buyer agrees that the desired transaction involves previously owned and operated aircraft with varying equipment and mechanical configurations. Identification of an element to be required as a condition of purchase does not, in itself, invalidate the aircraft as a candidate to fit the Aircraft Profile. To the extent required by the FAA and other authorities, every aircraft will convey with its document history as relied upon for establishment of airworthiness, compliance to all directives, bulletins or other government and manufacturer published guidelines.
SETTLEMENT and DELIVERY:
Aircraft purchase transactions are settled via Wire Transfer payments. Any aircraft transport will be arranged subsequent to receipt of final balance of payments by the Seller and required aircraft sale documentation provided by Seller to Agent. Agent will transmit copies of sale documentation to Buyer prior to transport.
BALANCE of AGENCY FEE:
Settlement of the aircraft is documentation of fulfillment of this Agency Agreement. Wire transfer of the Fee Balance and any unpaid expenses to be reimbursed is required prior to aircraft delivery to Buyer.