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Choose a Business Structure

Mission defines strategy, strategy defines structure 

Stakeholders including AOPA, the FAA, the General Aviation Manufacturers Association (GAMA) and others attend an Eliminate Aviation Gasoline Lead Emissions (EAGLE) meeting at GAMA headquarters in Washington, D.C., June 22, 2022.  Photo by David Tulis.
There are quite a few ways to legally organize your school from being a sole proprietorship up to full blown corporation.

The most popular choice...

Most schools seem to be set up as a Limited Liability Corporation (LLC) to help protect their personal assets from any risks related to running the business. But perhaps you are thinking about something different like establishing a non-profit flight school. It’s a good idea to discuss your options with a local attorney and/or tax professional. You can also see a brief description of some other options on the Small Business Administration website here: https://www.sba.gov/business-guide/launch-your-business/choose-business-structure

As mentioned above, most schools are set up as a for-profit entity which would make them a Commercial Operation on an airport. However, we do occasionally talk to people who want to start a non-profit operation to provide flight training for a local community effort (e.g., training underprivileged high school students, etc). A non-profit flight school operates very much like a for-profit school, but can reap the tax benefits of non-profit organization while supporting a worthwhile cause.


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