Offshore Aircraft Ownership
Companies incorporated in the popular offshore finance centre jurisdictions remain attractive vehicles for the ownership of private and/or corporately operated business jet or turbine aircraft as well as helicopters.
The most popular offshore finance centre jurisdictions for aircraft ownership include the British offshore territories such as Bermuda, British Virgin Islands (BVI), Cayman Islands and Channel Islands (Jersey/Guernsey).
Such jurisdictions are popular because they not only provide a well regulated and legally sound framework for the incorporation and operation of aircraft owning companies.
By establishing a company to own an aircraft the owner is creating a ring fenced administrative basket for the operation of the aircraft. The company becomes the contracting party for the build or purchase of the aircraft and for all operational expenditure, i.e. fuel and all other running costs.
All supplier invoices are made out to the owning company allowing the aircraft’s accounting to be separated from that of the owner which enables aircraft expenditure to be clearly partitioned.
The holding of the aircraft by a company enables the option of the aircraft being sold onwards by share transfer of the owning company.
The registration of the aircraft will often be effected in a jurisdiction specialising in the registration of private and corporately operated business aircraft such as Isle of Man, Cayman Islands, Bermuda and the Channel Islands (Guernsey/Jersey).
In certain cases an owner will want to combine the benefits of company ownership with a particular registration for their aircraft when they might otherwise not be qualified to register in their own name because of nationality and/or residential restrictions.
For further information please do not hesitate to contact us.