FOR ESSAYS GURU ONLY 93

BluJay Aviation, Episode 9

MGMT 210 Financial Accounting

BluJay Aviation, Episode 9 Scene Outside looking at the helicopter. Introduction Brad is now licensed to fly helicopters and is anxious to put his new skill to work. The owners discuss another growth opportunity. Wren: What do you think about this? I know you were successful last month in getting certified to fly this helicopter. Brad: It’s a really nice helo, even though it’s used. It’ll carry three passengers as well as the pilot. Our city is just amazing from the air. Giving rides to locals and tourists would be great. We could also take better pictures for the realtors. Wren: The company that owns this is really underwater with debt and wants to unload it. We might be able to get it at a real bargain, sort of a “fire” sale. Brad: I have no idea as to how we could buy it. I know I’m not able to raise any more money, how about you? Wren: Getting our business up and running has me tapped out. Brad: Where do we go to get funds for a business? Will banks look at us as though we’re crazy if we approach them about expanding with helicopter service? Wren: Do you know any bankers? Any that use the FBO maybe? Brad: We could think about finding another investor and sharing some of the ownership. A few people I have contacts with have mentioned it, but who knows how serious they are when it comes right down to putting up the money. Wren: It might be hard to have a third or fourth owner. Brad: This is a nice ship. My friend, Rick, says we could probably get this Raven R44 for about $148,000, and the name fits right in with BluJay, don’t you think? I can see myself in it being a tour guide. Wren: Our consultants should be able to help us figure out if this is plausible and how to finance it. Let’s get their feedback about it first.