UK Business and General Aviation Industry: A view from the Banking - - PowerPoint PPT Presentation
UK Business and General Aviation Industry: A view from the Banking and Finance Industry Looking at the Business and General Aviation Industry from a banks perspective provides a unique insight into business finances, models and business
Looking at the Business and General Aviation Industry from a bank’s perspective provides a unique insight into business finances, models and business plans which entrepreneurs put in place. How does the Aviation Industry overcome the challenges from change and why is it prepared to break some basic rules of business to do so?
I N T R O D U C T I O N
General aviation (GA) activities. All civil aviation operations other than scheduled air services and non-scheduled air transport
statistical purposes the general aviation activities are classified into non-commercial business flights, aerial work, instructional and pleasure flying, and other flying.
GOLD
They must balance risk and reward
SILVER
They must give the customer what they want
BRONZE
They require a healthy and vibrant ecosytem
GOLD
RISK REWARD
Raising equity Unsecured loans Hangars Airport equipment Stock / parts Major overhauls Meaningful overdraft
Aircraft Machine tools Vehicles Sales invoices Small overdrafts
Increased regulation, cost and complexity INTERNAL FACTORS Disrupters have failed to disrupt Shrinking ecosystem Technology & Light sports aircraft Helicopters more fun EXTERNAL FACTORS Now much easier to travel around Europe by low cost airline or train Age of austerity Environmental issues noise Crowded airspace
RISK REWARD REWARD
SILVER
Find out what the customer wants and give it to them
Average … Fixed Wing Helicopter Yacht Customer age % Male % of net worth % of cost to run age of asset
55 55 55 100% 100% 100% 10% 10% 10% 10% 10% 10% 28 years 18 years 8 years
Flying it themselves Manchester United Piglets! Divorce Super Yacht Holiday home Skiing Golf Shooting Horse racing Rugby Spending the kids inheritance Plus a small one for business!!
BRONZE
They require a healthy and vibrant ecosytem
BRONZE
Have a sound business plan formulated and implemented by an effective and cohesive trade association Vs
24