Speaker 1: 0:00

So you're telling me that I can buy an aircraft. I can take it as a tax write-off, maybe use it to learn how to fly in or for personal use. It's very similar to Airbnb arbitrage and you can show me how to do this in two minutes.

Speaker 2: 0:14

Yes, sir, 100% sure can.

Speaker 1: 0:16

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Speaker 1: 1:08

Thank you so much for your effort for sponsoring this video. Hello everybody and welcome. My name is Tom Lelio. I'm your ultimate jet guide and today we're pulling back the curtain on private aviation when it comes to aircraft leasing. How this can be a benefit for you and for other people as well. We have brought in the man, the myth, the legend, Zach Purvis of Aviation. Abe Zach, thank you so much for being here today.

Speaker 2: 1:36

Hey, tom, thanks for having me on. So yes, you can absolutely.

Speaker 1: 1:40

I did not mean to cut you off on that, on that intro man.

Speaker 2: 1:45

Go ahead. Yeah, so you can absolutely learn passive income. And aviation is exactly like you said, just like real arbitrage, more like a commercial real estate. So you buy an airplane, you find an operator to match that airplane to and lease it back to them at an hourly rate. You set up your lease exact way where you'll have monthly minimums. You have a guaranteed monthly income that you're getting off that and you can structure that its way to make sure that you're profitable on that. There's a big demand for it. I'm getting calls almost every single day from operators trying to find planes to match for their leases or for their flight schools. The training out there is in the form of the planes is really obsolete. Most planes are these like I started in 1965, cessna 150, avionics are out of date, not going, and you know they need these planes to have the quality of training for the aircraft. You know to charge for what they're charging to fly these things.

Speaker 2: 2:46

So, whenever you buy an airplane you can find an operator. Match it to lease it back at an hourly rate. You're getting passive income out that get huge tax incentives off of it. There's an appreciation schedule you can have. You can also write off the the main is the fuel, the oil, the insurance, so on, and most of that you can get the operator to actually cover. It is truly by the airplane. Match it to an operator, sit back and start collecting income and write off the asset base.

Speaker 1: 3:16

Gotcha. Okay, very cool, very cool. So let's talk about, like, what was this journey like for you? What got you into this? Was this because you were just looking for another investment vehicle, another business, or did you have a personal stake in buying an airplane that you know you're like? Okay, well, if I'm going to have to buy an airplane anyway, I might as well look into and see if there's a business opportunity here as well.

Speaker 2: 3:40

Well, it was actually all situational so I was just getting my own private policy license. I just had an interest in it. I always wanted to learn how to fly an airplane. So I went to my local flight school. Actually a new guy that owned the school so I had a connection there got in with them, started flying and ran into exactly the plane situation In an old 1965, cessna 150, radios weren't up to date so I couldn't do my cross country time in it. There was an all records all over the place, you know, and then they only had that one plane and a ton of students. So every time that plane was grounded for maintenance I was getting pushed back on the backlog, other students were getting pushed back on the schedule and you're just more time than between flying. You're spending more money. You know they do say you fly as much as you possibly can because it's not like riding a bike. You know it's a very skill that you lose.

Speaker 2: 4:38

Right. So you know, solid demand was there. I just went straight to the guy that owned it. I was like, listen man. I was like, if I just buy you an airplane, can you get rid of this one and use this one for your school? I'll get you a brand new one. You know, make sure it's it's up to date, it's good, it won't be down for maintenance every other week and and we can, you know, get this, this license, done for me and everybody else.

Speaker 2: 4:58

And they were like ecstatic they were. You said, yes, want to do that. We've been looking for somebody to do that. We need more planes. We have more students than we know what to do with and our planes always down, so we're losing money. So, yes, so I started researching it, looked into it myself, found out that you know Aircraft leasing it actually is a thing. It's a more prevalent in the commercial space with, like airlines mostly Don't even own their own planes. There's air lease capital. There's a general electric aviation that leases a lot of planes to American Airlines. There's a B O C Aviation a lot of the big players out there but there wasn't a Model or a business like that really for general aviation, and so I saw there.

Speaker 1: 5:45

So just to be clear then so when, when a flight school needs a plane, they've got a few, only a few options. They can buy it themselves, which is going to be a large capital investment, and most flight schools just don't have that lying around, or they can get it from somebody else. And so in this case, you, you were coming to them like a, like an angel, being like, hey, I need to buy a plane anyway, but you know, I want to offset my cost, so I would be willing to. You know, lease the aircraft back to your, so my company will lease the aircraft back to your company. Y'all use it, y'all take care of it, and then you pay me a Lease amount that will offset my, my overall cost.

Speaker 1: 6:29

And those are the two main ways that most flight schools Get their aircraft. But there's not a lot of people banging on their door right now. That's like, yeah, I've got a hundred, two hundred, three hundred grand to just give you, to give you a mobile asset that you know who knows what you're gonna do with that. I mean, you're gonna put a lot of wear and tear on it Because you're constantly flying it. You've got inexperienced pilots piloting this thing. I mean, there's a lot of risk that goes into. We can talk about that later. But those are the two ways that that, that that flight schools get their aircraft right, and you're just kind of stepping into one of those exactly.

Speaker 1: 7:06

Gotcha and so now okay. So yeah, tell us kind of a little bit more about how that works. Obviously, you said it's kind of already set up on the commercial side and now you kind of want to. You know, part of your business model is sharing with people how to do this on the general aviation side. Obviously, it has been done in the past. I mean, if you're in the aviation circle you probably know somebody who does it, but it's very hard to find information on this stuff. So I know we're going a lot of different directions. So once you just tell us how does it, how does it work, what does it look like, what are the, what are some of the risks that people need to be aware of if they choose this route to go, you know for that, for the aircraft right.

Speaker 2: 7:41

So there are people out there that will lease their own Aircraft to kind of like offset their costs. Like if you're getting your own pilot's license or even you're all the way to instrument commercial, you should could buy an airplane, lease it back to a flight school and Just you pay for what you use, basically, and whatever they make money off of will offset your cost. And a lot of people would do that break even or or just lower their cost on that. Now, that's a good option to do, is not bad at all. But a lot of people that do that they own a plane, they bought that plane for themselves, and Lot of a lot of pilots out there look at the plane as as they're bait. You know I mean like they're. You're mostly involved and attached to that aircraft.

Speaker 2: 8:24

So being a trainer plane yes, a student, you know has a hard landing. You know side loads the plane, you know Anything you could think of. You know what I mean. You know those things can't arrive. You know even getting into the plane you're messing up the interior, anything like that. You know those problems can arise and if you look at that plane like it is your baby it's, you're gonna have a whole lot of heartache for the entire thing, but at the end of the day, if you look at it like it is a money-making asset and you're doing this as a business, that is how this was really gonna benefit Anybody that wants to get into it. Because the way you set up your lease, the the flights will. You lease your plane to. They have interest in that aircraft and to keeping it nice and keeping it up and you can put that into your lease well to to ensure that it's it's held to a good quality. Because if they, if Somebody, messes up the plane say they side loaded, say you know the tire goes flat, they wear the brakes out or what have you right the flight school has to take responsibility and get that plane back up and running again and Able 100% to make sure that they're able to keep flying and keep producing income. It's not on the owner, it's on the operator. So I set that up in my leases that way strategically.

Speaker 2: 9:41

Same like in commercial real estate. If you had a strip mall with with three different offices in it and like a barber shop, a dollar general and a grocery store, and I wanted to open up a barber shop in there and the plumbing started leaking in the back, I don't call the landlord and say, hey, the plumbing messed up. I need to come over here, fix it's in my best this is the business to make sure that it is still up and going. So you hire your own contractors come out there, fix, fix your asset that you're making money with to keep it going. So it's kind of the same model with that but with aviation. So you do this as far as you know, if the Unfortunate knock on wood, if there's an accident with the plane or any other incident like that Something we don't ever want to think about, but it is real life it could happen. But we have process procedures in place for that to make sure that if it was to happen, you're 100% covered, your assets covered in your liability.

Speaker 1: 10:35

Do you have any? Do you have any trouble getting insurance for an aircraft that's gonna be, you know, used in this capacity, or do you just go on the the schools insurance?

Speaker 2: 10:47

Correct. Yeah, so I don't get the insurance on the planes that I have, strictly because of cost. Because if you get insurance on Multiple, if you have one and you're just starting out, it's probably not a bad idea, especially if you're already a pilot and you have hours and you can get a decent insurance rate on there. But what the way I do it? Because I don't want to have any lot liability as far as insurance on the planes, I have it in my leases that the operators all the flight schools or clubs or other vacation programs I'll listen to have their own insurances on there and I make sure they have certain mandates. You know, per plane Whole values in different liability coverage. Just make sure if anything was to happen with both protected.

Speaker 1: 11:27

Got you Okay. Well, what I want to do is I want to hear a little bit more about the, the figures. You know, what is an airplane cost? What are the operating costs, what's the hangar cost, the fixed cost and we'll go into that in a second and and, and you know, is it possible for someone to actually generate? Well, what, what the income looks like, and maybe is there a profit, not a profit, or is the profit just in? You know the taxes. So let's talk about figures, but before we do that, I want a quick cut to a quick commercial break. So one.

Speaker 2: 11:59

Thank you so much for watching.

Speaker 1: 12:00

If you haven't already, go to circle a dot a jet life arrow, calm and check out our online community for aspiring brokers and current brokers. Here You'll find discussions, all thing Aviations based things that you're going to want to know as an aircraft broker. You can also check out our free training as well as more resources that are available to help you to become a better A jet broker. That's circle dot, jet life arrow, comm to begin your journey within the broker community, absolutely free, you All right. So that's pretty cool. I'm really liking the streaming software stuff going on here Pretty fancy, but yeah so. So, zach, tell us a little bit about, like the, the, the fact, the numbers, the numbers behind this game that we're playing, so we kind of get more of a concrete idea of what we're, what we're walking into.

Speaker 2: 12:54

Absolutely so. I'll just use my. The very first plane I got, for example, it was a 2022 Pipistro Alpha trainer. So I had that plane, bought brand new. It was built and finished in Italy, then shipped over here and then finally got it over here to me. That plane cost a total of $150,000. That was the total purchase price, everything all included. Out the door. I had to pay for the importation and then the the taxes getting it here, but other than that, that was really all of my upfront costs. That's all I came out of pocket was a total of $50,000 for the very first one, and I will say getting that first plane was the hardest financial thing I ever had to do. I called probably a hundred different banks. I went to every funding source you could possibly think of and that's what made me learn there are a lot of other ways to get funding for these planes and sizes banks there's a ton, and I found almost every single one of them.

Speaker 1: 13:49

So can you elaborate on that? Are you talking about private loans, or are you talking about specific banks that you need to go to, or can you elaborate a little bit on that? Yes, unless it's in the course and they have to they have to pay for that information. That's fine too.

Speaker 2: 14:02

Yes, yeah, it's all in the course as well, but, yes, there is a bunch of different ways. So you have private investors, there's government loans, there's SBAs, if you're a veteran like Sure Okay, yeah.

Speaker 2: 14:14

Fun of veteran resources out there as well. And then there, if you find anybody that just wants to get in on it with you, you can find private investors that you can get. Hard money loans are out there. That's what I did for my very first one. It was a hard money loan to get the plane here because no bank wanted to touch it until it was actually on American soil because I was having an impact Gotcha.

Speaker 2: 14:37

So finding financing for it was a huge, huge challenge. So I found one private person, wealthy individual, had an interest in aviation. He believed in what I was doing and he upfront gave me the money super high interest rate. But as soon as that plane got there plane got there 30 days after. I took that note with him paid Pipistrel off cash plane, received it in my hangar in a shipping container and as soon as it was there my loan came through that day, paid him off and then I just had my regular loan with the bank that I was financing.

Speaker 1: 15:10

Nice yeah, and what kind of aircraft was that again?

Speaker 2: 15:14

That was the Pipistrel Alpha trainer. It was the 2022 Alpha trainer.

Speaker 1: 15:17

Are they not in production anymore?

Speaker 2: 15:19

No, they're still in production. They have like a. They're actually just signed on with a Mesa Airlines right now. So Mesa Airlines is the airline out of Mesa, Arizona, and they're training all of their cadets out of Inverness, Florida, at Wright Rudder. They bought about 30 of those planes that they're having all of their commercial pilots build their 1500 hours on.

Speaker 1: 15:38

Okay, so this is what we're talking about, right.

Speaker 2: 15:40

Yep, that's it right there. Just the same picture that's on the profile of the course with that car on there as well.

Speaker 1: 15:47

Gosh, it's like a, it's like a 152, but like from 2022.

Speaker 2: 15:52

Basically, it's my favorite plane that I fly. That's the one I fly myself regularly every week. Where do they run? That's a $150,000 plane.

Speaker 1: 16:03

Okay.

Speaker 2: 16:05

Well, in 2022,. I think they've raised the prices a little bit since then. How fast do they? Go, so that plane will cruise at about 120.

Speaker 1: 16:14

That's faster than a 172. That's awesome.

Speaker 2: 16:17

At four gallons an hour.

Speaker 1: 16:19

At four gallons an hour, that's a great training aircraft. Okay, and is this the kind of aircraft that you recommend people are targeting?

Speaker 2: 16:26

Yeah. So I specialize in light sport aircraft just because you can get newer planes, Yep Way better avionics at a way less fuel burden. The maintenance on them is far less as well, because all the light sports that I use they're all Rotax 912s. So whenever you get into like that, TBO times because you have to look into your costs as well so 2000 hours for TBO on the Rotax 912, you can get a brand new Rotax 912. Cost is right around the low 20,000 mark and then you sell your poor for 10. So you're basically getting a brand new motor for right around the 10 to 12, $13,000 mark and then you have in your leases. Well, every flight school also has a maintenance bay. They're taking care of their maintenance. So you have their maintenance. Guys take care of the TBO whenever it comes time to that. So you're getting maintenance, basically the cost when you're paying for course.

Speaker 1: 17:20

Okay. So I mean, are these light sport aircraft useful for flight schools that may have trainers that or, I'm sorry, students that want to go all the way up into flying you know commercial in the 737s? Can they use these trainers or do they require, like a certified? You know light sport, but I forget what you would call it, like a 172 or a 150.

Speaker 2: 17:44

Right. So the way light sports work, you can actually go with zero never being able to fly a plane to being a commercial pilot in any in one in that plane or the other two light sports that I had, as long as they're TAA. So all three of my planes are TA aircraft, so technically advanced. So you can do your private instrument commercial. The only caveat to that is you can't go into actual IMC and a light sport aircraft but you can do your IFR training in a light sport aircraft. There's no regulation in your actual instrument training saying that you have to actually do IMC, so you can do all of your training under the hood. It is equipped, it has the VOR, it has all the equipment to do your instrument commercial.

Speaker 1: 18:30

Right. So from the investor standpoint, these light sport aircraft that you're dealing with, you know, around 150, maybe up to what 200,000, if that.

Speaker 2: 18:42

Right around. Well, that would be if you went to the 200,000 mark that you're getting. You're getting a lot of playing for that money, especially in the the light sport of rain. Okay you can get a very, very, very well equipped aircraft that will make you money and take you anywhere you needed to go in, and I would say between under the $200,000.

Speaker 1: 19:01

Sure, okay, so, okay. So for the investors, they don't have to worry that they're buying a light sport and that's going to somehow hamstring them in who they can, you know, offset or lease this aircraft to. So let's talk about more numbers. So acquisition costs roughly $150,000, $200,000. It's four gallons an hour. What are the rough estimate direct operating costs for these light sport aircraft? And the direct operating costs, just for everybody knows, are the costs of, you know, operation, like whatever comes out the tailpipe, so your fuel and that sort of thing. So what are we looking at? Direct operating cost wise.

Speaker 2: 19:35

Right. So you're looking at about, you know, four gallons an hour that it burns on there, the rest of the oil, hanger, maintenance and the insurance, everything I have nothing to do with. I put all of that onto my operators so take care of all the operational expenses. So out of that hourly rate that I get, that is a flat hourly rate. There's a couple of different ways that you can do leasebacks that I've looked up. The most common one is an 80-20 split where the owner gets 80%, the operator gets the other 20%, but out of your 80% comes out the insurance, the maintenance, the hanger, the fuel, the oil and so on and so forth, all your operational costs.

Speaker 2: 20:13

So some months you could have higher income, some months you could have lower income, depending on what the maintenance was for that month, and so on and so forth. So I wanted to negate that, just to make it as easy as possible. That's my number one thing. You just want to make super, super simple, so I just did a flat hourly rate lease. So I have in my contracts that they owe me a minimum of 40 hours a month at a X dollar amount per hour on the plane. So no matter what, I'm guaranteed that dollar amount times the 40 hours that the end of the month.

Speaker 2: 20:45

If they go over that, that's great. It's extra income.

Speaker 1: 20:48

If they don't fly the plane that month, or they're down for maintenance or the weather was just bad, so on and so forth, you're still guaranteed your 40 hour minimum and the benefit to the last see on that and the operator in that situation is let's just say it's $100 an hour, is what you put on there, just for easy math. They can charge whatever they want above that, so they're in charge of their own income stream. That's why that might be a benefit to somebody over the 80, 20, because no matter how much they charge like yeah, they're making more, but there's that split, so they're still incentivized, even though you're getting your guaranteed 40 hours, because they can just pack on as much as they want.

Speaker 2: 21:32

Right.

Speaker 1: 21:33

Gotcha Okay. So we're looking at the acquisition costs and now we're looking at the direct operating costs. You're getting your hourly, so what does the revenue look like?

Speaker 2: 21:48

Yeah, so the first plane I got actually bought me that corn that was in the picture. That plane pays for that car month after month, every single month. The payment on that plane just the one, for example, the first one is $750 a month. That one plane brings me in every month passively between $2,000 to $3,000 a month, depending on how much it flies.

Speaker 2: 22:09

Nevertheless that's the absolute minimum that it always brings in and it's done very, very well. So it's paid for my car. It's paid for itself the plane payment, and then it's helped me increase my revenue to be able to get more planes. So after I got that one, I got another two planes within a year and a half after that. So that was three planes in less than three years.

Speaker 1: 22:34

Gotcha, and you're in a frothy market too, so I mean it's not like there were too many deals to be had, but I mean you found them, you sourced them and that's a testament to your work ethic and things that you're learning from sources online like Aircraft Broker Academy and hopefully some Jet Life Arrow stuff, so that's awesome. So now you've done it, so why not show others how to do it? Because I think it's mutually beneficial for the guy who owns the aircraft, the asset and flight schools. Because, let's be honest, when I was learning from my private pilot license, you're operating on stuff from the 1900s, you know, a century ago. So you know there's a benefit to everybody where, if we have investors like yourself, you provide the students with better equipment to learn on safer equipment, more cost efficient equipment. Because I'm just out of curiosity, like you know what is what's like an annual? Well, you don't have to worry about the maintenance bill because the operator has to worry about it. So the overhaul and everything is going to be on the operator.

Speaker 2: 23:38

Right. Well, the only thing that is on me is, exactly as I said, the TBO overhaul. So I have that on a 60-40 split with my operators. So the way I do it, I'll just go ahead and tell you. So on the one plane I have, I do 65 bucks an hour for every hour it gets leased. So I take the 65 bucks an hour. The TBO time is 2000 hours, so over the one engine lifetime is going to be $130,000. So if I had to cover the entire engine overhaul and didn't sell the core at all, it cost me between 20 and $25,000. After it's still the core, between 10 and $15,000. That out of the $130,000 profit is nothing.

Speaker 1: 24:15

Yeah, so you have to be disciplined that you're putting that engine reserves aside from your profits.

Speaker 2: 24:22

Right.

Speaker 1: 24:23

Yeah, so you just kind of and that's in any kind of lease kind of a situation, real estate, whatever so, yeah, so, okay, great, so you're doing this, so let's kind of go through this. Tell us a little about this course that you got going on here, man.

Speaker 2: 24:36

Yeah. So when I started doing it, I just it's an untapped market. And what really led me to start the course is all of the demand that I've been getting. I get calls and DMs on Instagram, facebook, you know, TikTok, all over the place, social media, everything about these flight schools that find me and saw what I'm doing and they want to do the exact same thing. They want to get more planes for their flight schools because they can get better quality of training, get more pilots, make more money and just keep that thing flying more there and get more variety of aircraft. If you're going to get a start, a flight school, with one airplane, you can only do so much, and then, once in a while, I mean just.

Speaker 1: 25:19

I mean just very, very like yeah, you're very limited.

Speaker 2: 25:24

Right. And if you're limited that into that aspect, what else are you going to do? And if you're going to be in any kind of business, a business is develop the scale. You want to scale, you want to grow. And if you can work with somebody else that can get the money-making asset for you and you're only paying for what you're using, then it's a win-win for everybody.

Speaker 2: 25:42

And I'm all about win-wins. That's the number one thing I've always learned in sales If you can help somebody else get to their goal, they'll ultimately help you get to yours too. So the way I'm seeing all this, I get these operators that are calling me saying they want the planes, they want to do it, and I single-handedly I can't cater to every single one of them and get every single plane for every flight to go out there, but I 100% can teach people how to do exactly what I did, because there was nobody out there to teach me. I can teach them exactly what to do how to set up the business, how to set up the tax strategies, how to set up the leases and the business plan and do exactly what I'm doing and connect them to the operators so we can help get these planes to them because it's really what the industry needs.

Speaker 2: 26:24

The pilots deserve it, the flight school is needed and you can develop a really healthy passive stream of passive income in this situation and it's unsaturated. You go to Facebook, instagram, all the social media, and you'll see ad after ad after ad after ad for dropshipping and Airbnb's and Renoir Petrage and all this other kind of stuff, and there's nobody I mean, I don't know any other person out there besides myself and you know Air Lease Capital. That's leasing airplanes for passive income individually, for themselves, and especially not somebody that started a business doing it. Some people that have their own individual plane to do it to offset their own cost, but not doing this as a business. Just make straight passive income and help provide for the future of aviation.

Speaker 1: 27:14

Yeah, man, I appreciate that and I feel like in a lot of ways, this is aviation. Right, people are doing this. They've been doing it since the 1970s and 1980s. But what I find awesome about what you're doing is you're bringing it to the light. Like I say here, you're pulling back the curtain on private aviation, on general aviation and how the business works. So my hat's off to you. You know a kindred spirits in that regard.

Speaker 1: 27:40

I mean, just as we kind of wrap up, I would just say two quick things, obviously. Number one this is not financial advice. This is not like a get rich quick thing. You know, we're not, you know, advisors. We just teach what we've done right. So even with JetLife Arrow, when I'm training someone how to be a broker, like I can train you how to make half a million dollars a year, because I've done that. If you want to make a million dollars a year as a broker, well, maybe we'll figure that out together. But I think most people would even be happy just to start out 100, 200, 300, $500,000. Like I can help you, like I'm there for you, right? And so you're kind of doing the same thing. You're pulling back the curtain and I think that's you know, and add to this if you like, zach.

Speaker 1: 28:22

But I think the biggest thing you have to worry about, you know, is just this idea that you know you own an asset. That asset can be damaged, it can be manipulated, it can be whatever. It's a mobile asset, it's flying up in the air and like you could lose all your money. But we're talking, you know, at this point, you know under 200 grand, which in the grand scheme of things is not a ton, and you're insuring it and the flight school that you're given it to is insuring it. So you know, I think that's kind of your biggest risk. You kind of have this risk of you're putting people in your asset, you know, and so you're trusting that the operator is going to keep those individuals safe.

Speaker 1: 29:01

So you know, that's something you might want to be aware of because, god forbid, something happens and there's someone injured. I mean that might weigh on your conscience. That's the thing with dropshipping. You know, if someone doesn't get their package, it's not like they died, you know. So that's something to consider I'm just trying to think of. You know horror stories that we can kind of say like this is why you wouldn't want to do it. Maybe you don't have the time, maybe you don't have. You know, it's because you got to go searching for stuff, right, zach? I mean, that's part of the part of the course is like, how do you find these assets? It's not like they can just, you know, be delivered to you and you got to have the income or the money to do it, because you're buying an asset or get access to, like you said, private equity and be kind of a broker situation. Are there any other horror stories or disclaimers you want to just kind of toss out there?

Speaker 2: 29:47

Yeah, absolutely so. There's definitely some risk involved, just like any other business that somebody would want to start. Just like what you're saying, you have damage to the aircraft. Unfortunately, if somebody is to get injured or hurt and yet that definitely would weigh on my conscious 100%. I mean, the number one thing that we want to do is provide for the future of aviation and make more pilots, not take any away from this world. So, yes, that's a major, major thing and I appreciate you bringing that up. So the insurance is make sure you're 100% covered. On that, you protect yourself and then you're also protecting everybody else. So if anything is to happen, that everybody gets, you know what they're entitled to and nobody's out there left to hang, because that's not what anybody wants to be about and that's not anybody wants their day one. As far as that you know. You go into other risks. You have defaults like, say, you're leasing your plane to somebody and starting out yeah, they were a great guy just like renting an apartment to somebody or renting a house to somebody.

Speaker 1: 30:49

True, yeah, and you know.

Speaker 2: 30:52

Then they stop paying you or say there's a weather, say a hurricane comes through and nobody's flying at all and there's nothing anybody could do to help that. But you still have in your minimums. You know you have this plane. You have to be able to be able to deal with these things. So one way I've been able to negate that and think God, I have not been in that situation, either an accident or a default. But it's just keeping clear, concise communication and setting expectations for people and making sure everybody's on the same page. So whenever I'm doing my leases, the default would probably be the number one thing I would say would be a major risk, and that's just knowing who you're dealing with, having the right expectations right from the front and having it set up in your lease that everybody knows what's on the same page, who's responsible for what when the payments actually do.

Speaker 2: 31:48

Hmm not paid and not waiting on your money. So when you're doing it, I would say that would be probably the a major, major risk there. Other than that, I have not came across any. This thing has been a blessing for me. I've been very, very fortunate. I've been doing it now for three, going on four years, and I have not come into Anything. Really that has drawn me back. Thank, thankfully, knock on wood with that, but we always prepare, you know. Prepare for the worst and hope for the best, you know. So, yeah, that's kind of what I've been doing with it all, and just keeping good communication with my leases as well, not just forgetting about them, making sure everybody's happy and that you're in the loop on everything, and that way you can stay ahead of all and really negate any risk that can come rise for sure, for sure.

Speaker 1: 32:35

Well, that's awesome and well, yeah, no, I Really appreciate you coming on Today. So how can people get to the course? What's like? What's the place that they should go? Just Search for it on teachable or what?

Speaker 2: 32:47

Yeah, so it's on. Teachable is a profitable plain leasing passive income and aviation. You can find me at aviation 8 on Instagram. Also. Zach Purvis on Facebook and I have links in my bio is on there as well. Anybody that's interested feel free to reach out. Send me a DM, instagram, facebook. Either way, I'm more than happy to talk to anybody letting me I know more information about it. I'm happy to jump on a call with anybody to talk to about it to dance me pushes they may have. The ultimate goal is to Allow the lowest barrier of entry into this course right now, before my cost goes up as I'm actively building it. I want to get as much people in there as possible. Have everybody learned this? So we can really provide for the future of aviation and get better planes for these pilots and Make money in the process doing it?

Speaker 1: 33:31

That's awesome. Okay, cool. Well, zach, thank you so much for joining us today. I really appreciate all your insight and we look forward to your future success, following it and Connecting with us in a couple of a couple of months in the future.

Speaker 2: 33:42

Yes sir. Thank you so much, Tom you.