After 10 years of work, PIA continues to match jet buyers together for co-ownership opportunities nationwide.
Since launching in September 2016, Partners In Aviation has continued to match prospective jet buyers with co-ownership opportunities.
A mix between full private jet and fractional ownership, co-ownership lets two owners split the cost, responsibilities, and use of an aircraft.
Former Beechcraft executive and aircraft salesman Mark Molloy founded PIA.
“So it started out really with I was matching two people that were non-owners,” said Molloy, Partners In Aviation president, in an interview with Private Jet Card Comparisons.
He described how, as an aircraft salesman, he dreaded when any buyer expressed interest in aircraft co-ownership.
Compared with full prospects pursuing whole private jet ownership, OEM salespeople saw trying to figure out co-ownership as not worth the trouble.
Molloy says there was no easy facility to help buyers figure out how to split aircraft costs, crew salaries, and flight schedules.
While aircraft co-ownership has always existed, it was mostly a DIY setup between owners, rather than having standardized contracts like in singular ownership.
Regarding his time at Beechcraft, Molloy continued:
‘So for years, I tried to talk people out of it, thinking you know, gosh, that’s not going to work. And there’s a lot of problems with that that you’re not aware of. At some point, I started thinking, gosh, so many people want that. Why am I saying no to them? You know, maybe there’s a way to do this and do it well.’
When it comes to pairing potential owners, Molloy likened the process to dating, with Partners In Aviation as the matchmaker.
For buying a private jet, non-owners in the same region are matched together. They get to know each other and the legal intricacies of aircraft ownership.
The matchmaking takes about 90 days, with ‘Zoom dates’ playing out for co-tenants to meet and chat.
PIA prefers that co-owners live in the same region, within 30 to 40 minutes’ flying time, to keep empty-leg repositioning costs low.
When both potential co-owners are ready, they pick out and split the cost of buying the aircraft.
Sometimes, PIA clients are current jet owners who want to split the costs of their aircraft.
In exchange for the matchmaking, PIA charges a fee similar to a normal aircraft sales broker.
So, when prospective owners are ready to finish dating and take their vows, they sign a three-year contract.
If an owner decides to leave early, they pay full market value for their share of the jet.
By default at the contract’s end, the airplane is sold and the proceeds split.
Usually, though, owners renew their contract for yearly periods, or one owner leaves while the other takes full ownership.
To start with, good co-owner candidates usually fly just 100-150 hours yearly.
In case of scheduling conflicts, each owner alternates who gets priority on the jet, switching weekly.
The system lets owners schedule weeks or months in advance with confidence.
“But on the off week,” explained Molly, “When you’re not priority, you have total access to the airplane on the days the other owner’s not using it.”
He continued:
‘That’s the beauty of having two light users. It’s available so much. These guys are flying one or two trips a month, three or four, maybe five days that they’re actually flying their airplane. That’s a heavy month.’
Co-owners may also have the aircraft manager coordinate scheduling conflicts, or ask for occasional priority on their off-week.
Often, owners grant extra priority days leniently, expecting similar charity later on.
About 70% of co-owners also charter out their jets, Molloy says.
Letting the aircraft work for others helps offset the maintenance and crew costs.
Having the aircraft on a charter certificate can reduce empty-leg repositioning flights, particularly for those co-owners who fly one-way to second homes for extended periods.
Co-ownership best suits clients who fly 50-150 hours yearly for light or mid-size jets, or up to 200 for heavy jets.
The model doesn’t suit everyone, especially with the multi-year commitment.
However, it can provide a useful fourth solution for private jet flyers, beyond the standard jet card, fractional, or full ownership.
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