request for vote: new numbers and plan

[James Carlson]

Todd and I have been discussing financing issues off-list.  Attached
is a spreadsheet based on Steve's, but with a number of modifications
based on that discussion.

We would like to request opinions from each of the core team members
(even those who are presently planning to go another direction).  The
proposal looks like this:

	No buy-in cost
	$175/month with 12 members
	$70/hour wet
	Cessna Cardinal 177B, brand new engine and interior

Please provide a "yes" or "no" answer, indicating whether this is the
sort of club you'd be willing to join.  If you'd like, you might also
offer commentary on the plan itself or on any of the details, but the
important part is the reality check, and a straight up/down vote will
provide that.

The plane is the same one that Bob previously mentioned.  A current
link (as it has expired off of controller.com):

  http://www.primoairplanes.com/media/specs/N991MP.htm

Here are some details on the numbers and what we'd expect for the
club:

  - The long pole in the tent is the fixed annual cost.  Even if we
    could get a free airplane to run (and thus have zero note
    payment), it'd still be $125/month with 12 members and $215/month
    with 7.  To get anywhere, we need to address that cost, and not
    fixate on the plane or the bank.

  - The other really serious issue is the number of club members.  Ten
    members per plane seems to be the breakpoint for several things;
    below that level, the monthly dues are too much, and above that
    level, insurance suddenly becomes too high.

  - As the club pays down the debts, it'll accumulate capital.  We
    need a fair way to apportion equity so that if someone wants to
    leave, we can pay that back to the departing member and still have
    a functioning club.  The mechanics of how that would operate are
    to be determined later.  (And in theory you could have non-note-
    paying / non-equity members in the future; I'd leave that out of
    the charter for now.)

  - The numbers are intentionally high.  We may well be able to lower
    costs later.  But that's a good position to be in.

  - The spreadsheet updates include putting everything on one page,
    gathering together all the input variables, adding membership
    sensitivity details, adding next-$5 round-up on dues and rates,
    computing break-even versus rental, derating for tach versus Hobbs
    hours, parameterizing oil and other costs, allowing for both
    SMOH-to-TBO overhaul capture as well as an initial reserve fund
    (to offset for a plane with high SMOH), and allowing private plus
    bank financing.  If anything's confusing, let me know, and I'll
    explain.

-- 
James Carlson         42.703N 71.076W         <carlsonj at workingcode.com>

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