Okay, so my subsidiary currently has about 700,000 dollars in reserve. However, the salary of my staff is about 600,000. Is there any way to transfer money to your subsidiary from your holding company, or vice versa?
The holding company could buy an aircraft. You can then transfer the aircraft as an asset, and the subsidiary can then use it, or try to sell it. AFAIK it has to be wholly owned, meaning if it has been bought on credit, you have to repay the loan first, which is going to limit your choice of aircraft. My information may not be up to date, but I've done it in the past. There are other things to consider - make sure the holding has auto allocate of pilot and seating disabled, remember someone has to pay for maintenance, and there's no guarantee you'll ever sell the aircraft for the price you paid for it. The best bet is to buy and transfer an aircraft that the subsidiary really needs long-term.
The holding company could buy an aircraft. You can then transfer the aircraft as an asset, and the subsidiary can then use it, or try to sell it. AFAIK it has to be wholly owned, meaning if it has been bought on credit, you have to repay the loan first, which is going to limit your choice of aircraft. My information may not be up to date, but I've done it in the past. There are other things to consider - make sure the holding has auto allocate of pilot and seating disabled, remember someone has to pay for maintenance, and there's no guarantee you'll ever sell the aircraft for the price you paid for it. The best bet is to buy and transfer an aircraft that the subsidiary really needs long-term.
Um. I'm trying to transfer money. Not lease an aircraft to my subsidiary..
Um. I'm trying to transfer money. Not lease an aircraft to my subsidiary..
There is no way for transferring money between holding and subsidiaries. The only way is through aircraft transferring which you can sell it for cash.
There's no direct tool, but there's an indirect method that you can use. Have the parent company purchase a very cheap plane off the used market, (when I did this, I used a Britten-Norman that I picked up for $60k) and use the Asset Transfer tool to move the ownership of the plane between parent and subsidiary. As long as you've disabled the "automatically assign pilots" and "automatically assign seats" settings, the parent can give the plane to the child without compensation, and the child can sell the plane back to the parent for cash. You can repeat the process as often as you want.
Once you're done, relist the plane on the market and hope someone buys it. The trick is to use a cheap plane so you can relist it and hope someone buys it for the same price you paid to do the same thing as what you did. While the plane is listed on the market, it doesn't take up one of your three free maintenance types, nor does it add to the additional maintenance category penalty if you've already got three (or more) active types. Nor do you pay depreciation on the book value.