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TheNoonans · 04-28-2011, 02:02 PM

Hi Steve-O

I have no idea what the motivations are of the LAA.

But I'm happy to take a guess on the economic impact concerns.

They believe that

1) If we show up all the other aircraft will go elsewhere. They even believe that there exists an insurance policy that precludes jets from landing at airports with dropzones. It's all unquantifiable, but that's their concern. Jets and GA traffic thrive at other airports with skydiving. LCI will be the same. But the fear of the FBOs is that if we drive away other planes, they lose fuel sales. Our 500-1000 flights a season will generate more than enough fuel sales to offset any loss they might incur by the one percent of flights they "might" lose if we open.

But that's business. If our business model affects their bottom line it becomes there job to become better businessmen. Its a free market economy, survival of the fittest.

The reality is though, we will increase their revenues. Of the 2000 people to pass through our doors, how many of them could we direct to a scenic flight from an FBO after their skydive? Plenty. People that would NEVER bother to go to the airport on their vacation, will now come because of us, and we will spread that economic growth around. When most first timers land they are usually so jazzed that they want to go back up again, and of those alot ask as much about flying the plane as they do about skydiving. If we were there, both FBOs would have their flight schools book solid.

and

2) The REAL reason no one wants us there is because we will work there and they know it. The REAL FEAR in this process is that we will take over the airport. One of the FBOs told me once "I hear the radio over Lebanon, ME, up and down all day long, if you guys come here, the same thing will happen." It's not so much that they don't want to share the sandbox, they believe if we move in, we will take it over. When I countered that we had no intensions of taking over the airport, that we intended a healthy equilibrium maintaining a "Mom and Pop" feel to the business volume, he was shocked and in disbelief that we didn't want to grow as big as we could. He thought I wasn't being honest with him. The truth is, we know the level we want to operate at, to include an appropriate staff level, and we don't want it to get too big. We want to keep it personal. But he didn't believe that.

So......thats the real issue. They must have watched Fandango one too many times and expect Truman Sparks to fly in with a Cessna held together with duct tape. Thats not us, that's not our business model.

Speaking of economics, did you know that because the airport is federally funded, the hangars on the airport property can only be used for aviation related businesses? Thats one reason most of those 10,000sq ft hangars sit empty. Our business is aviation related.

But with the economy in disarray, and little money being spent in fostering aviation businesses, the airport is an FBOs nirvana. All the federal funding they need to keep the airport a gem, without any neighboring businesses to have to share the field with.

That's pretty much it in a nut shell.

Blue skies to all and to all a good flight,
Tom

04-28-2011, 02:02 PM	#326
TheNoonans Senior Member Join Date: Jan 2009 Location: Daytona Beach, FL - Bedford, NH Posts: 136 Thanks: 0 Thanked 219 Times in 57 Posts	Skydive Laconia Hi Steve-O I have no idea what the motivations are of the LAA. But I'm happy to take a guess on the economic impact concerns. They believe that 1) If we show up all the other aircraft will go elsewhere. They even believe that there exists an insurance policy that precludes jets from landing at airports with dropzones. It's all unquantifiable, but that's their concern. Jets and GA traffic thrive at other airports with skydiving. LCI will be the same. But the fear of the FBOs is that if we drive away other planes, they lose fuel sales. Our 500-1000 flights a season will generate more than enough fuel sales to offset any loss they might incur by the one percent of flights they "might" lose if we open. But that's business. If our business model affects their bottom line it becomes there job to become better businessmen. Its a free market economy, survival of the fittest. The reality is though, we will increase their revenues. Of the 2000 people to pass through our doors, how many of them could we direct to a scenic flight from an FBO after their skydive? Plenty. People that would NEVER bother to go to the airport on their vacation, will now come because of us, and we will spread that economic growth around. When most first timers land they are usually so jazzed that they want to go back up again, and of those alot ask as much about flying the plane as they do about skydiving. If we were there, both FBOs would have their flight schools book solid. and 2) The REAL reason no one wants us there is because we will work there and they know it. The REAL FEAR in this process is that we will take over the airport. One of the FBOs told me once "I hear the radio over Lebanon, ME, up and down all day long, if you guys come here, the same thing will happen." It's not so much that they don't want to share the sandbox, they believe if we move in, we will take it over. When I countered that we had no intensions of taking over the airport, that we intended a healthy equilibrium maintaining a "Mom and Pop" feel to the business volume, he was shocked and in disbelief that we didn't want to grow as big as we could. He thought I wasn't being honest with him. The truth is, we know the level we want to operate at, to include an appropriate staff level, and we don't want it to get too big. We want to keep it personal. But he didn't believe that. So......thats the real issue. They must have watched Fandango one too many times and expect Truman Sparks to fly in with a Cessna held together with duct tape. Thats not us, that's not our business model. Speaking of economics, did you know that because the airport is federally funded, the hangars on the airport property can only be used for aviation related businesses? Thats one reason most of those 10,000sq ft hangars sit empty. Our business is aviation related. But with the economy in disarray, and little money being spent in fostering aviation businesses, the airport is an FBOs nirvana. All the federal funding they need to keep the airport a gem, without any neighboring businesses to have to share the field with. That's pretty much it in a nut shell. Blue skies to all and to all a good flight, Tom