Airline Mogul Forum

Do you think i will survive?

jetrc

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on: May 22, 2009, 12:42:02 pm
Hi. I have a big burden right now. You see, i run a budget airline in AM, and most of my fleet is leased. So far i have no problems with finances and my load factor is good. My only concern is that my bank balance is quite small, and when i do get some cash, i spend it by investing in new routes. Now i'm left in thinking, will i still earn profit as time goes on? What if i can't pay my leased planes? It has bothered me so much that i've decided to sell one of my own B737-200s. But i'm still left with a big question...will i survive in the long run? Any opinions guys?
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dktc

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Reply #1 on: May 22, 2009, 01:15:44 pm
Go to finance and have a look at your income statement. If you are running an overall profit in your monthly projection, then you are fine.

There is no such thing as "can;t pay your leases" in AM. The money would be deducted regardless and you would go into negative cash if you don't have enough cash.
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jetrc

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Reply #2 on: May 22, 2009, 01:24:20 pm
Thanks for your opinion. But am i growing too fast? Because i just keep on spending my money investing on new routes and there are even some routes that aren't really provitable (my Dublin route). Should i slow down?
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iranair777

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Reply #3 on: May 22, 2009, 02:27:01 pm
well if your getting unprofitable routes you should realize yourself that it should be closed


 

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