How to Start Your Own Helicopter Charter Business
A guide for the folks who really want to know.
Lately, I’ve been getting a lot of blog comments and e-mail messages from wannabe helicopter pilots. They’re seeing the reality of the current helicopter job market: too many entry-level pilots, too few jobs, low starting pay, and training that’ll cost them $60,000 to $80,000.
On Job Markets & Flight Schools
They might be reading about this in a post that remains the most popular of all time on this blog: “The Helicopter Job Market.” I wrote this piece just over two years ago, in March 2007 at the height of Silver State’s rise to power as a helicopter flight school. I was tired of seeing young guys (mostly) get conned by promises of $80,000/year jobs that just didn’t exist for newly minted commercial helicopter pilots. I wanted to warn them, but without actively speaking out against Silver State and the companies that had adopted their strategy to turn a quick buck. In all honesty, I didn’t want to get sued. I just wanted readers to consider reality before signing on the dotted line.
We all know what happened to Silver State. It was a Ponzi scheme of sorts that built a massive flight school on the money of tomorrow’s students. When students stopped signing up — due to their inability to get financing or a case of the smarts — and bills came due, Silver State collapsed, leaving many students in debt without their certificates and hundreds of low-time pilots looking for work. It’s a tragedy, not only for the people scrambling to pay the cost of the flight training they may or may not have gotten, but the dumping of so many low-time pilots on the job market made it easy for employers to pick and choose and drop pay rates. The best of the desperate got the entry level jobs they wanted. The others were left out in the cold.
And when the economy began to tank, even the employers cut back. Big seasonal employers at the Grand Canyon and Alaska hired fewer pilots than ever this year and even employers in the Gulf of Mexico began laying off pilots.
The Do-It-Yourself Alternative
Some wannabe pilots think there’s another way to build a flying career, a sort of do-it-yourself method.
Maybe they see from this blog that I didn’t go the usual route — that is, private pilot to commercial pilot to certified flight instructor to get that first 1,000 hours to get an entry level job, etc. Instead, I got my commercial ticket and started my own helicopter charter business. Then I got a bigger helicopter and a Part 135 certificate and, for all appearances, seem to be happily raking in the dough while flying around in my own helicopter.
That’s what they see, anyway.
Lately, they’ve begun commenting on this blog and sending me e-mail, asking for advice. While requests for advice from new or wannabe pilots aren’t anything new, what is new is that the advice they want is about how to start their own helicopter charter companies. Apparently, they believe that since they won’t be able to easily get a job, they will be able to start their own business as a kind of “shortcut” to the career they want.
Here’s My Approach
So I’ve written this blog post to answer these questions from my experience. Here’s my step-by-step approach. If you’re looking for the secret of my success, you might want to print this out for future reference:
- Spend $50,000 to learn how to fly helicopters and get a commercial helicopter license.
- Spend another $30,000 to $50,000 to build time so you can fly safely under most conditions.
- Spend $346,000 or more to buy a helicopter, about $10,000 per year to maintain it, and $12,000 to $32,000 a year to insure it.
- Spend 4 to 24 months preparing the paperwork and working with the FAA to apply for a Part 135 certificate. Then take and pass a Part 135 check ride. Then repeat the check ride process every year.
- Spend another $10,000 to $30,000 on advertising and marketing.
- Take lots of calls from people who can’t understand why you can’t fly them around for the cost of fuel or want you to fly them for free or are trying to get you to donate to their charitable cause. Then get the occasional call that leads to real work for someone who appreciates what you do and understand what it costs.
- After ten years and close to a million dollars spent building and maintaining your business, sit back and watch your investment in time and money languish in an economy where few people want to or can spend money on your services.
Get the idea?
My $346,000 investment, parked at an event in the desert.
There’s an old saying: “The best way to make a million dollars in aviation is to start with two million dollars.”
I’m not complaining. It’s nice having a helicopter. It would be even nicer if I could afford to fly it whenever I wanted to.
But the simple reality is that starting a helicopter charter business is a huge money suck. My aviation business spends more money than most pilots earn each year. If I didn’t have another good source of income, I wouldn’t be able to afford having this business at all.
In Conclusion
If you think that starting your own helicopter charter business is a quick and easy, money-saving way to build a career as a helicopter pilot, think again. It’s neither quick nor money-saving.
But sure. It’s easy. Just add time and money.
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Unfortunately every word you wrote is true. It is very hard to encourage young, talented pilots to follow the route you and I have followed. I know your story and I know of no one who has worked as hard as you have to build and support your business. You provide a wonderful service- one that is fun, but most of all safe and reliable. You have been shunned by the town you live in and all because you are a woman who is not afraid to speak up and voice your opinion. In a town where tourism is all important, the powers-that-be have decided that your service is not worth encouraging and promoting. The local Chamber of Commerce which is supposedly set up to encourage ALL businesses big and small has gone to the point of black-balling you. (although no one would admit to that!) I, for one, am saddened that your business, which could be such a spectacular addition to any vacation, has not been promoted more by a Chamber which receives, without question, huge sums of money to promote local businesses. Years ago you ran the local airport and did an admirable job. Now, no one else wants to run it, and the town has taken over the mishandling of it. Now, Wickenburg charges among the HIGHEST fuel prices in the entire state. Those used to the local politics know that in this town, money is king.
I applaud you, Maria, and yet, hope there are a few determined young aviators out there who will remain fixated on their final goals and follow their dreams.
But Jim, we both know that there are few customers for my business in Wickenburg. The town is a retirement community. Heaven knows what we were thinking when we moved here. One thing’s for sure: the best way to feel young is to hang around older folks.
My business is not in Wickenburg. It’s in Phoenix. It’s not with folks who live here. It’s with tourists and vacationers and photographers who want to enjoy Arizona for what it is. These people have never heard of Wickenburg, other than as a stop for gas or a big Coke on their trips between Phoenix and Las Vegas. And that’s okay with me. As far as I’m concerned, they’re not missing anything.
Oddly enough, my business is featured in the May 2009 issue of Arizona Highways. Ten pages of great prose and incredible photos about what I do. And guess what? Nowhere in the article does it mention that I’m based in Wickenburg.
Like I said, that’s okay with me.
I camped out on the couch after a nice dinner and barely keeping from dozing off when I noticed my AZ Highways sitting on the end table.
I usually read it from front to back and as I was reading the Editors comments through half closed eyes a familiar name popped out at me that immediately got my attention.
Well, so much for reading front to back, I turned immediately to the article “A Better View” and spent the rest of the night going back and forth through the pages looking at the pictures and re-reading the article.
The rest of the magazine will have to wait for another day.
Congratulations, looks like another job well done.
Thanks very much for your kind words about the AZ Highways issue. I’ll be blogging about it shortly — I’m just waiting for it to appear on the Arizona Highways Web site (http://www.arizonahighways.com/). I think Keridwen did a great job writing the piece. Sounded so good, I wanted to take the trip!
Maria,
Thank you so much for sharing this information. I just found this via Google. I am a freelance writer and my husband is an Army helicopter pilot. He wants to start a helicopter charter business but it is kind of overwhelming. I don’t know anything about it but I am going to surprise him for Christmas this year with a draft of a business and marketing plan and by starting a savings account for his helicopter.
Do you offer consulting? I would be very interested in this, and as a fellow freelance writer I won’t balk at several digit rates.
Thanks for offering this information.
Good writing and good business,
- Jessie Fitzgerald
Jessie: You are kidding, right? My point is that it’s extremely expensive to start a helicopter charter business and the chances of success are low. And sorry, I don’t do consulting. Best of luck!
Thanks Maria for sharing your experience in your write up. It is a candid expression of the realities in the aviation industry. However,I will appreciate if you can give me information on the basics of how to set up a helicopter operation. I have decided that this is what I want to do and burnt all bridges.
John: I’m pretty sure that’s what this post was all about. You did note the numbered step-by-step instructions under the heading “Here’s My Approach,” didn’t you? Those are the steps I followed. Have you got $500,000 to $1,000,000? That and about 10 years of your life should get you started, too.
As for burning bridges, that’s seldom a good idea.
Good luck!
Maria, I am from Mongolia and want to open helicopter charter business here. I would like to know where to start calculation for feasibility of this business in my own country. Moreover, could you kindly share your idea on how to choose proper helicopter and where.
Regards,
Altan
Altan: Sorry. Can’t help you.
Tnx being honest.
Hello Maria,
I have read all of your blogs and wannabe pilots and their dreams and aspirations. I will tell you of my plans, and I am sure you will shoot them down like a kamikazee pilot barreling down at your aircraft carrier. I saw and understand your step by step approach to the biz. It sounds as if you discourage the thought of anyone even pursuing the dream. like its a complete waste of time. My best friend and I are recently both divorced, and have no pilots license..period, starting from scratch with our good credit and 401k in tact, we wanted to go to panama…the country and start this Helicopter tour business…very little to no competition. We wanted to start an exciting business and this seemed the one. We are willing to hire a pilot for us initially and front the startup, then get our license along the way…what do you think? Hold on….let me get my boxing head gear on, and my bullet proof vest, and my sport cup…hold on…there, got my hockey mask on now too…ok Maria…give it to me…dont hold back! Tell me what I dont want to hear, but need to hear…you got any positive advice as well? thanks
Mark the wannabe heliciopter tour guy
Mark: You must think there’s a reason I’ll shoot you down. I’m a realist. Is that why you think I’ll shoot you down?
This post explains my “formula” — what worked for me. If you’re prepared to do something like what I did — and move to Panama — you should be good to go.
I assume you’ve been to Panama and know the market down there? Regulations regarding helicopter operations? Business ownership by non-citizens? Pilot certificate requirements? Tax issues? Maintenance issues?
If so, I can’t shoot you down because you obviously know more about the situation than I do — I don’t know squat about Panama. Good luck!
@Mark
Mark,
There are basically five commercial operators here and all do tours. (Which leads me to think you need to do a little more market research?)
Most are doing fine with all the construction, real estate and other projects. Aircraft used are Bell 206s, Robinson R44s, various Eurocopters and Agustas.
Your biggest hurdle is getting a commercial certificate. That can, and does, take years plus you cannot fly commercially until you have it. To get it, you need a hangar or rent one, ops manuals, seemingly endless forms to fill out, etc.
Did I mention the need for a good aviation attorney that knows their way around Aeronautica Civil? A must have.
There are ways to make money and get flying here. Just don’t be an operator at the beginning.
Now, if you really want to explore this further, contact me through my website — http://www.aircharterpanama.com.
Regards,
Hunter
Hunter: Thanks for addressing Mark’s comments. I wasn’t kidding when I said I knew squat about Panama. Maybe one of these days I’LL look you up. While being an owner has its perks, I think it would be a lot easier to just be a pilot and let someone else deal with the headaches of ownership and business management. Thanks for stopping in!
@Maria Langer
Thanks Maria. Come on down and enjoy the scenery. Panama is an outstanding place to fly. Every now and then, I am pressed into English speaking tour guide for the charter operator I represent — who happens to be my wife — and every single time I go up I see something new. The clients seem to enjoy the flight very well. I tend not to talk all the time and let the scenery say the obvious. Safe flying! Regards, Hunter