Please decribe Mint Air's business plan
Mint Air will establish initially as a business aircraft leasing company, catering to the charter market. There are plenty of Leasing companies that will lease business aircraft but they will not lease to charter company as they require low utilization. By partnering with the charter operator Mint Air will have a revenue stream in excess of a standard lease. In general terms a standard lease is 1% of the hull value per month. 4MM aircraft $40,000 per month. In our model the same hull value will return about $50,000 per month.
What challenges in the market will Mint Air address?
With most charter companies the company relies on managed aircraft for their “lift” that means that the aircraft is owned by a company or high net worth individual and made available for charter around the owners schedule. When a trip is requested, the charter company must contact the owner and get permission to use the aircraft. Additionally, the charter company must manage the aircraft operations for the owner which takes a dramatic amount of time, in some cases a single charter company employee will be assigned to a single aircraft. That is the challenge Our model allows the charter operator full access to the aircraft. As we will have no need (in the public model) for the aircraft they can concentrate on generating revenue.
How large is your addressable market?
As we will be the only entity in this space we will have the market to ourself. Currently the charter market is at its highest level with no indication of letting up in the coming years. Currently there are more than 10,000 aircraft on charter. At this point I would say our market is much larger than the capital we are working to raise.