Know the value of your aircraft for financing and insurance

Getting reasonable aircraft loan rates may depend on how your airplane is valued. Just like a home mortgage, your lender may require an appraisal on the aircraft you plan to buy or refinance. You also will need to know the value of your plane when applying for insurance.

I recommend: Airplane Appraisal offers information on airplane appraisals and the fees involved. Find agents that insure airplanes at 1800miti.

Get the best private aircraft financing rates through a specialist

Having a good relationship with your local banker may prove valuable; however, you will need to know how to deal with the FAA, the risks and the tax benefits to your business. So check on aircraft financing rates through a company that specializes in aircraft finance.

I recommend: Cessna Finance Corporation has been in the aircraft financing business for more than half a century. You may want to consider leasing options if you don't find aircraft financing terms that please you; Business Aircraft Leasing offers several leasing options.

Take advantage of the tax benefits when you apply for commercial aircraft loans

There are tax benefits to business and commercial aviation. Have your CPA research your tax status before applying for commercial aircraft loans because each state has its own standards for aircraft taxes. When your airplane is financed on a 20-year term, it can be depreciated on a five-year schedule. The finance fees, interest and maintenance also may be a tax deduction.

I recommend: Advocate Counseling will help you set up aircraft financing so that you can reap as many tax benefits as possible. Aviation Tax Consultants also will help you with tax questions before you get aircraft financing.