Kidding. Anyway, I am looking for a little bit of guidance.
I finally was able to get a profitable airline running in Devau. It has literally taken almost three months on many different servers to get a winning formula, but that is to be expected (from what I have been reading). So my question is this:: what is the exact formula in which AS allows your company to take out a loan? I have poured over the forums and there are many different answers to this question, which is why I was hoping someone directly from the AS staff could answer it. I could hang out and every couple weeks lease a new aircraft (but that would take forever), and keep spending credits to do so (but not really as enjoyable and maybe a waste of money) but still none of that is not realistic to the real world. Actually, in the real world it is pretty easy to get loans (please see Delta's $6 million FORGIVABLE loan they just got a few days ago for adding a few jobs). I'm not looking for a handout obviously, I mean, I know AS is not the U.S. government, but I am looking to see exactly what I need to do in order to obtain loans to expand a fleet to continue making some money.
ARE YOU KIDDING ME??? Do you know how many thousands of players would love a handout, .....a 'forgiveable loan'??? If we all had access to easy loan just like you asked then I guarantees you that there will be nobody going bankrupt and also the game-worlds would probably be so saturated with huge airlines that you will not even have a chance to grow any new airline. Look at the account of many successful airlines and you will see months and several years of toil and commitment! Nothing good and fantastic ever comes easy - that is life!
MIDAS, if you actually read my post you'll see I used that as an example of how easy it is to get a loan in the real world. I wasn't asking for forgivable loans in AS (as that would just defeat the purpose for us who do work hard) or even easy loans. Personally, I do not think anyone under a(n) AAA should be able to get a loan here. And you can only use the rating after a certain amount of time spent on AS. You might actually think that would be too stringent. Anyway, what I was asking for was the formula. You should read posts more carefully before you make assumptions. Dumb assumptions at that. Requesting a formula is different than requesting a handout.
For Ianmanson and Kahael, thanks for the response. I have another question then: Wouldn't the assets of leased aircraft be enough? Being in finance myself, and a simple look at the balance sheet provided by AS, shows that the security deposit for all leased airlines are assets... rightly so, because if I couldn't repay my loan, my leased airline fleet could be liquidated and the security deposits of those planes given to my lenders. How do those assets count in the equation?
For Ianmanson and Kahael, thanks for the response. I have another question then: Wouldn't the assets of leased aircraft be enough? Being in finance myself, and a simple look at the balance sheet provided by AS, shows that the security deposit for all leased airlines are assets... rightly so, because if I couldn't repay my loan, my leased airline fleet could be liquidated and the security deposits of those planes given to my lenders. How do those assets count in the equation?
No. Leasing Deposits are securities for the lessor. So you cant use it as a security for the bank.
How much in securities (buildings/owned aircraft) are required before secured loans become available? Additionally, what about loans without securities? The rate is higher, however, how do you qualify for those loans (again, parameters/formula)?
I believe it's 20million worth but not 100% sure. To be honest in AS going for a loan is unadvisable
yes, I think you start qualifying for loans w/o securities when you have a book value of 20 mil. Why do you say it is advisable? As long you use the money to invest in service expansions that have a better return than the interest you're paying you should be ahead of the game.
As far as I can see anytime that the AS bank is involved...loans, emergency loan or buying aircraft on credit an airline is lumbered with a large ammount of interest. I've written about aircraft on credit before so won't bore everyone again.
In terms of loans my airline which makes between 20-30million a week, can take a loan for a maximum of 5 million. Why would I not wait 1,2,3 days to have that 5 million without having to pay interest?
I thank all of you for the guidance. I agree, the interest charged on AS is crazy. The prices are right, but as in the real world, to buy, let's say anything (house, vehicle), it is always cheaper (in the short term) to buy than lease. With interest, the total recurring payment for a purchase should be lower than it would be to lease.
I think I might just have to wait it out for weeks until I get more funds.
Here are a few ideas to possible make this game better:
- You should have an option to purchase an aircraft after leasing it for a certain amount of time. This is a real world option and I think majority of AS users would welcome it. Unless you already can and I just don't know how, but I doubt it.
- This might be a little more controversial... however, To make being in an alliance useful... Alliances should be able to help out their members. Whether through funds, or maybe aircraft, or a combination. But most alliances want to see their partners successful in their country so encourage a greater network to work with.
There are a few thoughts. Thanks for the input ianmanson.. I think I might just stay debt free and slowly build.
Just to point out on your first point that after you have leased an aircraft for either 2 weeks or 4 weeks (I forget which one) you have the option of purchasing the aircraft from AS.
Just to point out on your first point that after you have leased an aircraft for either 2 weeks or 4 weeks (I forget which one) you have the option of purchasing the aircraft from AS.
As far as I can see anytime that the AS bank is involved...loans, emergency loan or buying aircraft on credit an airline is lumbered with a large ammount of interest. I've written about aircraft on credit before so won't bore everyone again.
In terms of loans my airline which makes between 20-30million a week, can take a loan for a maximum of 5 million. Why would I not wait 1,2,3 days to have that 5 million without having to pay interest?
I agree that buying aircraft on credit never makes sense, but for the reason I out put out initially- The interest you pay will exceed the increase in profits you make, which i why I specified unsecured loans. If you wait 3 days that is 3 days you don't have an aircraft making money.
... but I am looking to see exactly what I need to do in order to obtain loans to expand a fleet to continue making some money.
Hi,
someone should correct me if I am wrong, but I believe it works like this:
- The AS bank will be willing to offer you a loan when you own a minimum of 10 million in seats, aircraft and terminals.
- Your maximum credit line roughly equals the value of the assets you own.
- Interest rates depend from server to server (offer and demand on that server) and on your financial rating.
In my opinion bank loans only make sense to overcome short term cash flow problems. Like, you buy a plane and then realise you won't have enough cash to pay the salaries later that day ;-)
With more than 15.500.000.000 in your balance you can get 33.088.500.000 as a loan if you want to buy 150 A380. Dunno how much you get if you want it from the bank ... the drop-down shows only 1.000.000.000 and I dont want to test it how often you can click it. :D