Selling an Aviation Services Business

Most aviation services businesses price off a multiple of cash flow, usually EBITDA or SDE, but the multiple depends on continuity risk. Buyers pay more when certificates and ratings are stable, audit history is clean and well-documented, airport access is secure, and signing authority has real bench strength. Parts-heavy businesses also rise or fall on how much inventory is traceable and sale-ready versus dead stock. Use Rejigg’s free valuation calculator to benchmark value, then adjust for lease assignment risk and upcoming maintenance or capex exposure.

You do not have to use a broker, but it depends on how much time you have and how complex your approvals, leases, and customer consents are. Brokers often charge 5–10% to package the deal, find buyers, and run the process. Rejigg covers a lot of that with pre-vetted buyers, digital NDAs, a secure data room for certificates, leases, and audit summaries, plus tools to compare offers. Start with the preparation guide if you want to run the sale yourself.

It varies by market, but aviation deals often take longer than many service businesses because third-party consents can control the schedule. Airport authority approvals, key customer approvals, OEM authorizations, and change-of-control steps can each become gating items. Sellers move faster when they show certificates, audit history, lease terms, and signing-authority coverage early, so diligence stays verification-only. Rejigg helps by organizing diligence in one data room and tracking open items across buyers. For the final steps, use the due diligence checklist.

A Part 135 certificate generally does not “transfer” like a hangar lease or a tug. The FAA will focus on operational control, required management positions, manuals, training, and how you maintain compliance through the ownership change. Many transactions plan for continuity by timing notifications carefully and lining up management roles so operations keep running. Buyers will want a clear map of who holds each required role today and what changes at closing versus after closing. Rejigg’s data room lets you share that approvals map under NDA.

Buyers worry about continuity of the repair station certificate and ratings, and whether the quality system works on the hangar floor. Expect questions about the accountable manager plan, quality manager coverage, training records, recent audits and findings, repeat issues, and how fast CAPAs close. They will also ask about facility limits, tooling, and whether airport access can be maintained after a sale. If you can provide audit summaries, manual indexes, and training evidence early, diligence usually stays on track. Rejigg helps you organize and share that package securely.

Most buyers discount parts inventory unless you can prove condition and traceability and show movement history. Stock that is missing paperwork, tied to aging platforms, or rarely sold often gets treated as liquidation value or excluded from working capital. Buyers usually separate “sale-ready” from “quarantine” and “missing trace,” then negotiate what counts toward the closing target. Having item-level schedules and trace backups avoids late-stage pricing fights. Rejigg’s data room is a good fit for sharing inventory lists and trace documents only after an NDA is signed.

Working capital is usually current assets minus current liabilities, often excluding cash and debt, but definitions vary by LOI. In aviation services, it can swing with parts inventory, work-in-process, and the timing of big invoices and vendor bills. Many buyers require a “normal” working capital level at closing, then adjust the price if delivered working capital is higher or lower. Clean AR and AP aging and realistic inventory valuations matter a lot here. Rejigg’s offer tools help you compare working capital targets across bids so the real net price is clear.

It depends on what has to stay intact to keep operating. Certificates or authorizations tied to an entity, airport leases, customer approvals, and insurance history can all push a deal toward an equity sale, while liability concerns often push buyers toward an asset sale. Many aviation transactions land on a structure that protects the buyer while preserving continuity, sometimes with specific liabilities carved out. You should pressure-test the structure against airport consent and approval requirements early. Rejigg’s deal tracking helps you compare structures, consents, and timelines across offers.

Buyers usually model the next 12–24 months and adjust for predictable cash needs and downtime, including engine events, heavy checks, avionics upgrades, tooling, and facility investments. Even when the business does not own the aircraft, contracts can shift who pays and whether downtime reduces revenue or margin. A seller who can show a program-by-program outlook with timing, expected downtime, and “who pays” terms reduces uncertainty and can defend price. Rejigg’s data room makes it easy to share a concise maintenance outlook with the supporting contract excerpts.

Yes, and in aviation, it is often worth doing staged disclosure because rumors can trigger real disruption. Losing one inspector or lead tech, or stirring airport politics, can hit capacity quickly. Most sellers start with anonymous marketing, then share sensitive details only after NDAs, and save employee and airport counterparty disclosure for later diligence. Rejigg supports that workflow with pre-vetted buyers, digital NDAs, and permission-based data room access. You can also redact lease counterparties early and release full documents later.

Include financial statements, tax returns, AR and AP aging, and a clear add-backs schedule. Add airport leases, amendments, hangar and ramp operating rules, and insurance requirements. For approvals, include certificate and ratings summaries, key manual indexes, training records overview, and an org chart that shows signing and inspection authority coverage. Also include audit reports and CAPA summaries, insurance claims history, major customer and supplier contracts, and equipment and calibration records. If you touch parts, add inventory schedules with trace backups. Rejigg includes a secure data room so you can stage access as buyers progress.

Many smaller aviation services acquisitions use SBA 7(a) financing when cash flow is consistent and documentation is strong, but lender appetite varies. Lenders will focus on clean financials, supportable add-backs, customer and platform concentration, and any compliance or lease risk that could pause operations. They also look closely at owner dependence, inventory valuation, and whether key staff will stay. Use Rejigg’s SBA loan calculator to model payments, then prepare a lender-ready package in the data room to keep underwriting moving.

Earnouts and seller notes show up when buyers feel real continuity risk, which is common in aviation. Earnouts are more likely when revenue depends on a few programs, an aging platform mix, renewals, or relationship-driven work that needs a handoff period. Seller financing is common when lenders want more seller “skin in the game” or when inventory value and working capital are still being negotiated. You should compare offers on net risk, not just headline price. Rejigg’s offer dashboard helps you line up earnout hurdles, note terms, and covenants side by side.

Most of the time, buyers care more about milestones than a calendar date. The transition should cover customer introductions, transfer of owner-only authorities, and at least one critical operational cycle, such as a major audit, peak season, or key program renewal. In some businesses, 30–90 days works if signing authority and management coverage are strong. In others, buyers want support through the next audit or heavy maintenance season. Put the plan in writing, including who takes FAA interface, who owns quoting, and who handles AOG escalations. Rejigg’s transition planning guide helps you package it.

Most buyers require a non-compete and non-solicit because goodwill in aviation is tied to trust and relationships with fleet managers, dispatch, airport stakeholders, and technicians. The scope should fit your real footprint, including service lines, geography (often a region or airport radius), and term length. Scope also depends on state law and enforceability, so you will want legal advice early. Buyers can get nervous if the restriction is too narrow, and negotiations can stall if it is overly broad. Rejigg keeps key deal terms visible across offers so you can negotiate consistently using the negotiation guide.

Buyers usually expect a detailed list of tools, test equipment, calibration-dependent instruments, and ground support equipment, with clear ownership and condition. Common diligence issues include missing calibration records, unclear titles or leases, and critical equipment that supports turnaround time but is not actually included in the deal. If certain benches or tooling enable specific ratings or service lines, tie them directly to revenue and capacity. Rejigg’s data room lets you share equipment schedules, calibration evidence, and photos or videos securely, which helps remote buyers before a site visit.

Taxes depend on the structure (asset sale versus equity sale), the allocation across goodwill, equipment, and inventory, your entity type, and state rules. In aviation services, allocations can matter more than owners expect because equipment, tooling, and parts inventory can push proceeds into ordinary income treatment. Buyers often prefer more allocation to depreciable assets, while sellers usually prefer goodwill, but the final allocation needs to be defensible. It is worth bringing in a CPA who has done M&A allocations before you sign an LOI. Rejigg helps by keeping offers and proposed allocations organized for quick review.

Lead with the aviation stoppers that buyers underwrite first: certificates and named roles, audit history and CAPA closure, hangar and airport access and assignability, signing authority coverage, and parts traceability if you handle inventory. When those are organized, diligence becomes a confirmation exercise rather than a scavenger hunt. Rejigg supports this with NDAs before access, staged document release, and a single place to track buyer questions and open items. Set expectations early using the due diligence checklist.