Partnership Agreement

[dsimes]

Can someone share a partnership agreement that they have used?  I am seriously considering adding a partner.  Any comments on content would also be appreciated.  (Hold the comments on pros and cons of adding a partner, thanks - I've been down that road).  

Thanks, Dave in Calgary  

[mooneygirl]

When I was thinking about a partner many moons ago... hope this helps, it is a fill in the blank sort of thing

 

http://docs.google.com/viewer?a=v&q=cache:V3FwyxnEk8IJ:www.flycia.com/images/uploads/pages/General%2520Aircraft%2520Partnership%2520Agreement%2520Sample%288%29.pdf+AIRPLANE+partnership+agreement&hl=en&gl=us&sig=AHIEtbQ2pDuAOr2U_FjCFPfH2q_9xswiyA

[Buster1]

Don't have much info, and not sure how it works in Canada...but I recommend setting up an LLC.  'Rage' on this forum just did one.  It will protect your family and assets should the other partner really mess up and hurt something big or a lot of people with the plane.

[Parker_Woodruff]

I charge a corporate entity a fixed monthly rate and an hourly rate for one of their representatives to use my plane.  I like having full ownership.  I would say not having full ownership would be the big drawback.

 

You can get an insurance policy that will allow for rental, sometimes without any additional premium.  Because I limit the renting pilots to named pilots only, the insurance company didn't make me call it a "commercial" policy and I'm only paying $1488/year on $110k hull.

Do check the tax laws where you live.  In Texas it's the difference between having and not having property tax.  Fortunately McLennan County agrees with me that I can use depreciated book value in determining my tax rate and I have the plane on a 5 year depreciation schedule.

[Earl]

Quote: dsimes

Can someone share a partnership agreement that they have used?  I am seriously considering adding a partner.  Any comments on content would also be appreciated.  (Hold the comments on pros and cons of adding a partner, thanks - I've been down that road).  

Thanks, Dave in Calgary  

[Barry]

Although I had partners on my previous planes, I do not have one with my present one. I have a rather extensive agreement which has worked for me in the past. I will look for it when I get home and get it to you.

When choosing a partner, there are more than agreements to consider. In particular, how someone takes care of their equipment comes immediately to mind. I always screened my "partners" by looking at how they took care of their car ... their shop, etc. You really want to find someone who has the same type of "mindset" as you do towards your earthly goods.

No piece of paper can fix a problem where you find that your partner has been doing things to your investment which you would not consider doing, yourself. Remember that your partner may own a piece of the aircraft buy he will use ALL of the aircraft.

[Earl]

Quote: Barry

Although I had partners on my previous planes, I do not have one with my present one. I have a rather extensive agreement which has worked for me in the past. I will look for it when I get home and get it to you.

When choosing a partner, there are more than agreements to consider. In particular, how someone takes care of their equipment comes immediately to mind. I always screened my "partners" by looking at how they took care of their car ... their shop, etc. You really want to find someone who has the same type of "mindset" as you do towards your earthly goods.

No piece of paper can fix a problem where you find that your partner has been doing things to your investment which you would not consider doing, yourself. Remember that your partner may own a piece of the aircraft buy he will use ALL of the aircraft.