« previous next »
Pages: [1]

Author Topic: Loans too harsh?  (Read 125 times)

Arctyc

  • Jr. Member
  • **
  • Posts: 58
    • View Profile
Loans too harsh?
« on: July 17, 2018, 09:41:28 pm »
Maybe It's just me and I'm too small right now but it seems like even taking a loan for 1/3rd the amount the bank will allow would be impossible to cover.

For instance if I take a $30M loan to buy a CRJ200 for the longest possible term, I would have to do everything right and the route would hopefully barely cover the cost of the loan repayment.

If I tried to take the same loan at the lowest interest rate, my company would go bankrupt.
Report to moderator   Logged

Share on Facebook Share on Twitter

patson

  • Administrator
  • Hero Member
  • *****
  • Posts: 915
    • View Profile
Re: Loans too harsh?
« Reply #1 on: July 17, 2018, 11:35:31 pm »
Have you tried to increase the ticket price a bit? :) Especially on your established route. As you build up your airport loyalty you can start to charge a bit more without losing customers
Report to moderator   Logged

Arctyc

  • Jr. Member
  • **
  • Posts: 58
    • View Profile
Re: Loans too harsh?
« Reply #2 on: July 17, 2018, 11:46:51 pm »
Thanks! I do increase prices, but maybe too slow. I'll see about speeding that up xD
Report to moderator   Logged

Blackrowan

  • Newbie
  • *
  • Posts: 18
    • View Profile
Re: Loans too harsh?
« Reply #3 on: July 18, 2018, 08:57:25 am »
its a fine line.  my earlier loans were harsh.  You might have to go in the hole for a bit.  But if you plan correctly you can get out and reap the benefits.   Thats as it should be risk/reward analysis
Report to moderator   Logged
Pages: [1]
« previous next »