Glossary of Terms

Aircraft purchase and lease transactions are built on terminology that affects the money: how wet leasing differs from dry leasing, what is covered by the engine maintenance program, and why the choice of aircraft registry affects the cost of ownership. A dictionary helps you read aircraft specifications and contracts without a translator.

With wet leasing (ACMI), the aircraft is delivered complete with crew, maintenance, and insurance—the lessee pays fuel and fees. With dry leasing, you receive only the aircraft and arrange for the crew, maintenance, and insurance yourself. The latter option is cheaper but requires its own operating structure.

Classification is based on range and capacity: very light jets (VLJ) with 4-6 seats, light jets with a range of up to 4,000 km, medium and super-medium jets with 8-9 seats, and large and long-haul jets with up to 19 seats and a range of over 11,000 km. The class is selected based on the typical route length and the number of passengers.

The dictionary is constantly growing—if you don't see the term you need, please contact us, and we'll add it with practical examples. Submit a request—we'll prepare a proposal, calculate the cost of maintenance, and analyze options tailored to your needs.

The standard path takes 6–10 weeks. Step 1: a letter of intent (LOI) with price and terms — 3–5 days. Step 2: a 5–10% deposit into escrow and signing of the purchase agreement. Step 3: a pre-purchase inspection — 1–3 weeks. Step 4: rectification of findings and price adjustment. Step 5: closing — simultaneous transfer of funds, title and risk, technical acceptance and ferry of the aircraft.

A pre-purchase inspection (PPI) is an independent check at a certified centre: airframe, engines, corrosion, records and compliance with airworthiness directives. It takes from 3 days on a turboprop to 2–3 weeks on a heavy jet and costs $15–100K — paid by the buyer. By market practice the seller pays to rectify airworthiness-affecting defects. A seller refusing a PPI is grounds to walk away.

The import budget depends on jurisdiction. In the EU the main items are any customs duty (most business-jet codes carry reduced or zero rates) and import VAT, which varies by country of entry (for example 19–22% in much of Europe). Registration in Aruba, San Marino or the Isle of Man under operation outside the EU allows a temporary-admission regime. We produce an exact calculation before the LOI is signed — an error here costs millions.

After purchase the aircraft must be entered into service: choose a registry (Aruba, San Marino, Isle of Man or a national one), sign a management and maintenance contract with an operator, enrol the engines on a programme (ESP/JSSI), arrange insurance, hangar and crew, and plan the first maintenance. We support all of these steps. Send us a request — we'll prepare options, calculate running costs and analyse the best fit for your task.

Before a deal we check: title and absence of liens or leases (a registry title search), the full maintenance history and airworthiness-directive records, the status of heavy maintenance checks and engine time remaining, any incident involvement, and compliance with export rules. We organise this review and an independent pre-purchase inspection before any funds move. Send us a request — we'll prepare options, calculate running costs and analyse the best fit for your task.

Running costs depend on utilisation and aircraft class. Budget for fixed and variable items:

- Crew and support staff;
- Fuel and navigation charges;
- Maintenance and insurance;
- Hangar storage and airport fees;
- Management company fee.

A light jet flying 200 hours a year typically costs from USD 700,000 annually; a long-range aircraft on the same utilisation runs into several million. We prepare a cost-of-ownership calculation for the specific aircraft before you commit, so the budget holds no surprises.