At a time when most aviation companies are finding financing harder to come by, Linear Air closed a $1.3 million financing deal which includes new capital and debt.
“This new financing was pivotal for us to maintain market leadership during the current economic environment,” says President and CEO William Herp. “While conditions for fundraising at this time are not ideal, we have a group of investors whose commitment to our success hasn’t waivered and remains strong.”
With the new financing, Linear Air is poised to launch its aircraft management program designed to assist those who have very light jet aircraft in the Northeast and Mid-Atlantic regions, with future potential for national service. The company’s new VLJ Aircraft Management Program will assist those with VLJ aircraft who need access to aircraft maintenance, pilot training and the potential for higher charter revenues. While the program is most beneficial for Eclipse 500 VLJ aircraft owners, the program applies to a broad base of VLJ owners and aircraft types.
“Linear Air is ideally positioned for an Aircraft Management Program within the VLJ space due to our relationships with aircraft manufacturers and our in-house training program,” says Herp. “Our ability to ease the pain for others who operate similar aircraft is increasing, especially as uncertainty continues to surround the Eclipse 500 manufacturer, Eclipse Aviation Corporation.”
The VLJ Aircraft Management Program is classic in structure. Owners receive 85 percent of charter revenue, cover all related costs and pay a $2,500 monthly management fee to cover overhead. Linear Air offers owners higher aircraft utilization and higher cost offset through the company’s large database of customers without the hassle of handling the transactions.