AirBolt Business Plan

1.0 Executive Summary

Introduction
AirBolt is a private rental company that is located in Illinois more specifically the Naperville
area. AirBolt strives to provide quality service and loyal customer support with flexible times
that can accommodate all fliers of the day. AirBolt plans to build a very sturdy foundation of
private fliers that travel for either the business class, or for pleasure at affordable prices,which in
turn will create a need for AirBolt services over the common commercial plane. AirBolt also
offers introductory lessons and ground school to prepare you for your private pilot's license.
The Company
Airbolt is a private plane rental company managed by three partners, Each partner brings a
specific set of skills to the company that helps to make the company profitable, scheduling and
marketing plans, maintenance and safety, and advertising. The two planes that have been
inherited into the company have cost nothing but maintenance, and we have created a flier
benefit deal with a private hanger at a discounted price to house the planes.
Products and Services
AirBolt is a rental offers destination flights around the country at reasonable prices and also
lessons if you wish to earn a license of your own, introductory lessons are taught. AirBolt offers
three tiers of services, plane rental, private flight, and flight with lessons. AirBolt aims to deliver
the highest quality of traveling that we possibly can by maintaining flexible hours that suit the
customer, and promising to arrive at almost destination that can be achieved. AirBolt also offers
the ability to be able to take control of your destination and, with a certified license, will even
allow customers to drive the planes themselves.
The Market
AirBolt plans to attract the executive customer at a reasonable price, without them having to
travel commercially. AirBolt hopes to attract the local area around Naperville, as well as catering
to nearby airports with reservations. AirBolt also plans on increasing the amount of fliers, and
creating a joy for flying by giving lessons to the everyday person at a reasonable price. This will
also create many sessions for training, due to most classes requiring college level requirements to
enter. AirBolt estimates to have full classes within the first 6 months of opening.
2.0 Mission Statement
AirBolt provides an affordable, professionally-maintained airplane for rental and flight
instruction. We will provide a safe and effective flying experience adhering to safe practice and
to applicable federal and state aviation regulations. Providing an experienced pilot when
requested by the customers.
3.0 Organization and Structure
Shane Mctague, founder, has taken the role of scheduling and planning of the company, he has
an extensive background in running other companies, an excellent ability to plan complex
 schedules. Olivia Thorson, founder, maintains the planes and attends to matters of safety with
both the planes and helicopter. Gage Eisenbeis has taken over advertisement for both rentals and
lessons with a multitude of different strategies.

Personnel Plan

2017
Maintenance and Fuel (Variable $69,000 per plane each year (If flown roughly 800 hours per year) $160,000 for
Costs) all 4 planes.
Part-time Pilots $30 per hour.
Insurance (Fixed Costs) $4,000 per plane per year. $16,000 for all 4 planes.
Plane Service $140/ hour without a pilot, $190/hour with a pilot. Ground school is $25/ hour.
Beginner lesson is $50/ hour.
Hangar Fees (Fixed Cost) $12,000 for 4 hangers per year.
Office Space and fees $500 per month, $6,000 per year
Employees Our 2 pilots receive $30/hour while the maintenance worker, scheduler/ office
worker, and advertiser/ promoter receives different wages.
Total Payroll $24,000 for each pilot. $72,000 for all pilots per year.

Facilities
AB is located at Bolingbrook's Clow International Airport. We have a reserved hangar for our
aircrafts.

4.0 Marketing Strategy

Target Audience
AirBolt focuses on the middle and upper class Americans. These market segments are able to
afford our services more regularly. AB wants to establish a large regular customer base. This will
establish a consistent revenue stream to enforce stability to the company.
Market Needs
The aviation industry over the last 15 years has been underperforming but the outlook is strong
due to the retirements of pilots from this point forward. Our company believes we are positioned
to fulfill the needs of pilots and training taking us into the future.
Advertising

Advertisement will be done through newspapers and radio, as well as billboards on major roads
and off ramps surrounding the immediate area, the advertisements will then begin to expand
along major highways at a rate which can be easily sustained through profits from lessons and
rentals. Airbolt also plans on using the internet's search engine suggestions to attract customers.
The company will soon have a website up and running which will also allow ads online to
quickly allow customers to find the website, and book a flight within minutes. The company
website will also allow frequent fliers to see upcoming events and special deals that will be
available at a upcoming time.
5.0 Distribution and Sales Plan
AirBolt gains a leg up on the competition due to the low level of competing businesses in the
surrounding area in this service.
Distribution
Near and around the local area.
Sales Strategy
AirBolt provides an affordable, professionally-maintained airplane for rental and flight
instruction. We will provide a safe and effective flying experience. Providing an experienced
pilot when requested by the customers.

6.0 Financial Plan

AirBolt is planning to be making about $608,000 in airplane/ helicopter rentals in 2017,
$912,000 in 2018, and about $1,216,000 in 2019. With plans of increasing flying hours by 1600
hours for basic rentals, 200 hours per plane per year, and by getting a few more ground school
students every year the business will be growing tremendously. The total cost of all direct sales is
approximately $516,000, with a staggering $608,000 in that year in just airplane rentals.

Sales Forecast

2017 2018 2019

Sales
Rentals (Two new $608,000 $912,000 1,216,000
planes, increase in
1600 hours)
Flying Lessons $100,000 $150,000 $200,000
(Increase 200 hours
per year)
Ground School (Two $13,000 $18,200 $23,400
new students every
year)
Total Unit Sales $721,000 $1,080,200 $1,439,400

Unit Prices
Rentals $150.00-$190.00 $160-200 $170-$210
Lessons $50.00 $60.00 $70.00
Ground School $25.00 $30.00 $35.00

Unit Sales
Rentals +3200 hours ($) +4,800 hours +6,400 hours
($576,000) ($912,000) ($1,216,000)
Lessons +500 hours +700 hours ($35,000) +900 hours ($45,000)
($25,000)
Ground School +$2,600 +$10,400 +$15,600
Total Sales $603,600 $957,400 $1,276,600

Profits
Rentals $308,000 increase $304,000 increase $608,000 increase in
between 17 and 18 between 18 and 19 2 years
Lessons $50,000 increase $50,000 increase $100,000 increase in
2 years
Ground School $5,200 $5,200 $5,200

Direct Cost of Sales

Rentals $266,00 $276,000 $289,000
Lessons $172,000 $183,000 $192,000
Ground School $78,000 $83,00 $94,000
Subtotal Direct Cost $516,000 $542,000 $575,000
of Sales

Break-even Analysis
AirBolt is expected to break-even at some point within its first year of business. The quick rise
out of the red into the black is a telltale sign of the success AirBolt foresees for itself and its
contributors.