Manually extending a lease

[jezbanks]

I have new aircraft coming in about 9 months.
I want to extend my current leases to cover the gap.

My current Lease expires on June 12th

If I want to have the lease expire on February 12th, should I extend for 8 months (June 12th +8) or do I need to extend for 9 months as I'm doing it a month early?

[Tha_Ape]

Well, can't figure out the precise days you'd have in excess / you'd lack, but don't worry too much. I'd go for the 9 months option to avoid having the route unflown (especially at the beginning of your operations), but less is also ok, just schedule the arriving plane asap, you'd probably "lose" only 2 weeks or so (but not the slots).

[Cardinal]

If I understand your question correctly, you are worried about losing time on the lease by renewing early. When you extend a lease, the time is added to the end of your current lease. So if you still have a month on your lease and you renew for 8 months, you'll have 9 months on the lease.

However, if your original lease was long-term and at a discount because of the term, by renewing for less than a year you'll be paying a less-favorable lease rate for the entire remaining term of the lease, including the month you still had left on the original lease. In this case I wouldn't do it any earlier than one month out. If possible, I would wait until the last two weeks of the original lease to renew at the higher rate.

[jezbanks]

Thanks.

You assumed correctly, I don't want to have the leased aircraft sitting around if I can help it so I have renewed for 8 months giving me now just under 9 months total

[gazzz0x2z]

Income is more important than expenses, in a healthy company. Better pay a few extra weeks of lease than losing a few weeks of income, IMHO.

[jezbanks]

Income is more important than expenses, in a healthy company. Better pay a few extra weeks of lease than losing a few weeks of income, IMHO.

Sure but if I have the option to be efficient why not?

[Tha_Ape]

I think Gazzz meant just like me. After some time you just won't be precise anymore. Not because you don't want, but because you just have too much to monitor.
However, when you're starting and still have few planes, a buck is a buck and if you can do this that's great.
Once you'll grow, you'll lose in precision what you'll gain in power and won't care anymore about 2 or 3 months of useless lease.

[gazzz0x2z]

I think Gazzz meant just like me. After some time you just won't be precise anymore. Not because you don't want, but because you just have too much to monitor.
However, when you're starting and still have few planes, a buck is a buck and if you can do this that's great.
Once you'll grow, you'll lose in precision what you'll gain in power and won't care anymore about 2 or 3 months of useless lease.

Exactly that. The first 10/20 birds can be micromanaged. After, you've got more urgent tasks to do, like spamming demand rich routes, or cancelling loans en masse to hasten a fleet change. Whatever the cost.

In current regional challenge, I'm already at 344 birds, after less than 4 years of operations, ans still a lot of place to grow. I'm no more even paying attention to the cost or D-Check status of planes I'm grabbing on the UM. I know I can afford. OTOH, for the first 20 birds I took, those were critical choice parameters.

[jezbanks]

Exactly that. The first 10/20 birds can be micromanaged. After, you've got more urgent tasks to do, like spamming demand rich routes, or cancelling loans en masse to hasten a fleet change. Whatever the cost.

In current regional challenge, I'm already at 344 birds, after less than 4 years of operations, ans still a lot of place to grow. I'm no more even paying attention to the cost or D-Check status of planes I'm grabbing on the UM. I know I can afford. OTOH, for the first 20 birds I took, those were critical choice parameters.

Ok,

I only have 5 airframes and make maybe $1m a month profit

Micromanaging now is easy and every buck counts