Aviation is the transportation lifeline of a country and works as the economic cornerstone for many parties with vested interests. From airport sponsors and passengers to commercial carriers, investors and third parties like visitors and airport authorities, aviation impacts a range of stakeholders. If you are considering investments in aviation infrastructure or need the management services of a Fixed Base Operator, there are many key things to consider.
Thankfully, there are professional services providers and management companies that deal with all aspects of consulting, planning, operations management, investment management, and development in aviation. Here are the elements that must be reviewed in detail.
Start With Portfolio:
As mentioned, there are multiple parties in this industry, and their interests depend on their nature and level of their involvement in operations and infrastructure. Look for companies that have a diversified portfolio with the critical services in place. Typically, most aviation infrastructure investors are interested in proven management & operations, consulting & advisory and infrastructure & development. If you are considering direct infrastructure investment, you need a company that's experienced with operations and can offer a review of the feasibility and expected returns analysis of an equity investment.
Check Their Work:
Experience is the key in this large sector, and you should seek out a service provider who has the special skills you are seeking. Depending on your interests, you can utilize their experience in the industry to your benefit. For example, they can guide you on cost containment programs based upon industry norms, or they may improve financial reporting and governance structures that are critically important for direct investment in infrastructure. Experience is also paramount for institutional investors, who often look to combine deep aviation industry experience with entrepreneurial innovation based on agility, financial control and technological improvements, and benefits of scale. Look for companies that have decades of operational experience in aviation infrastructure across varying economic cycles.
Seek Tailored Solutions:
No matter whether it is about aviation investment in airport FBO, MRO or ACM operations, make sure to find solutions that are tailored to your business. The management company you select should be able to satisfy you that they have though through every facet of the endeavor. If you have any concerns related to specific areas of your investment, make sure to address these issues promptly with your service provider. Aviation infrastructure and operations are among some of the highest growth segments at this time for infrastructure investors, with potentially higher returns than the risk profile of similar assets. Advisory and consulting resources can provide insight into efficient aviation infrastructure development.
Talking to experienced aviation companies can help the decision making process, but make sure to thoroughly diligence their current work as well as their prior track record, which will demonstrate their experience and success. Many firms have handled projects in different continents and countries, and this level of global experience may be important for evaluating many aspects related to your interest and investment.