The dictionary describes a partnership as: “a legal relation existing between two or more persons contractually associated as joint principals in a business or a relationship.”

That may be the “official” definition of a partnership, however, I describe it as a lesson in frustration and patience between two or more parties, who should probably know better than to enter this type of arrangement in the first place.

So what qualifies me to make such a bold statement about a business entity that thousands of people are actively engaged? My personal experience with partnerships goes back to my high school days. I was assigned various partners for projects in school and remember well what the outcome was. One of us would do most of the work and yet all of us got the credit. Sometimes none of us did the work and no one got the credit and a lot of finger pointing took place. The outcome was always the same. (Bad feelings, frustration and failure)

I have been involved in all four types of aircraft ownership, (full ownership, fractional aircraft ownership, partnerships and cooperatives) with ownership in 22 aircraft partnerships and 53 aircraft over the course of my thirty-three years in aviation. I have also had multiple business partnerships outside of aviation. I think I can speak with some authority on the subject.

The partnerships that lasted the longest were the ones where one of the partners became the dominant worker in the group. The concept of working together in a partnership is great. The reality is not so great.

I finally learned my lesson about 10 years ago. It was the straw that broke the camel’s back. Without being overly negative, let me just say that I finally heard every excuse in the book and we called it quits.

Let’s discuss the problems with partnerships and why I would make such a bold statement about avoiding partnerships.

1. The number one problem with most aircraft partnerships is lack of clear leadership. There are either too many chiefs and not enough Indians or too many Indians and no chief.
   

2. Another major problem is not setting up the partnership correctly in the beginning. The reason for this may have a lot to do with the associated cost of making it legal. A good aviation attorney with a business background typically charges between $9,500-$12,000 dollars to get things set up correctly.
   

3. A third issue that arises to complicate a partnership is personality conflict. Many partnerships are started because the money or the aircraft is there but no consideration is given to the compatibility of each partner on a personal level.

4. Finances can put a strain on partnerships as well. One partner may shoulder more of the load for one reason or another and resentments run rampant.
   

5. Last but certainly not least are problems such as scheduling, bookkeeping, communication, etc. These potential problems can and do crop up on a regular basis and may also lead to the failure of a partnership.
   

My advice is to run as fast as you can from anyone asking you to join them in an aircraft partnership. The majority of the time it leads to an in-flight break-up.

If partnerships have so many pitfalls, what else can be done?

I am personally involved in multiple cooperative aircraft ownerships through the LetsFly organization. Of the four types of ownership (full, fractional, partnerships and cooperatives), cooperatives are by far the best solution. I highly recommend them to anyone that is interested in economical aircraft ownership and flight time. Use the resources at www.letsfly.org to find out more about cooperative ownership.