Feasibility Study for Establishing FBO Services for Non-Scheduled Flights in East Africa

Client Background
A major aviation support services provider based in the Middle East sought to evaluate the feasibility of launching Fixed Base Operator (FBO) services for non-scheduled flights in an East African country. The client operates across multiple regions, offering end-to-end aviation support to private, charter, and government aircraft. As part of its strategic growth plan, the company aimed to enter a new geography and required a comprehensive feasibility study, including a financial model, business plan, and regulatory roadmap to secure approval from the Civil Aviation Authority (CAA).
Client’s Challenge
The client wanted to expand operations into a developing aviation market that showed increasing activity in private and chartered air travel. However, they faced multiple challenges in determining the commercial and operational viability of the venture. Understanding local demand patterns and the broader aviation ecosystem was a key priority, alongside navigating complex regulatory frameworks and approval processes governed by the national CAA.
The client also needed to assess infrastructure gaps, potential risks, and competitive pressures that could affect profitability. In addition, a detailed financial feasibility analysis, covering capital investment, operational costs, and revenue projections, was essential to build a credible case for stakeholder approval.
How Mordor Intelligence Helped
- On-Site Feasibility Assessment: Conducted an in-depth market analysis through a country visit to evaluate operational viability.
- Financial Modeling: Developed a comprehensive financial model covering capital and operational expenses, revenue projections, and break-even analysis.
- Business Planning: Created a strategic business plan detailing market opportunities, competitive landscape, and positioning strategies.
- Regulatory Engagement: Provided a structured approach for obtaining approvals by mapping key regulatory requirements and engaging with local authorities.
- Contract Review & Stakeholder Alignment: Analyzed agreements between the client and subcontractors to ensure alignment with operational and financial goals.
Key Findings
- Market Potential: Demand for FBO services was growing steadily, driven by increasing movements of private jets, charter operations, and government aircraft.
- Financial Viability: The business model demonstrated an attractive return on investment under stable macroeconomic and traffic growth conditions.
- Regulatory Environment: Local aviation authorities required extensive documentation and early engagement to facilitate licensing and operational approval.
- Competitive Landscape: A limited number of high-quality FBO service providers created a strong opportunity for market entry and differentiation through service excellence.
- Operational Requirements: Infrastructure development, workforce training, and partnerships with ground-handling agencies were identified as critical to launch readiness.
Impact Created
- Regulatory Approval: Successfully presented the business plan to the Civil Aviation Authority, positioning the client for market entry.
- Strategic Market Positioning: Developed a roadmap for operational launch, including service offerings, infrastructure investment, and staffing requirements.
- Long-Term Growth Strategy: Provided data-driven insights that enabled the client to make informed decisions about expansion and service customization.
- Operational Readiness: Ensured contractual agreements and compliance frameworks were in place for a seamless launch.
Our Industry Coverage
Mordor Intelligence has extensive experience conducting research in the aviation sector, offering customized research services such as:
- Market Entry Strategy & Expansion: Helping clients assess new markets and develop entry roadmaps.
- Competitor & Opportunity Assessment: Providing insights into competitive positioning and growth opportunities.
- Regulatory & Compliance Studies: Mapping aviation regulations and approval processes.
- Financial Feasibility & Investment Analysis: Developing financial models to assess the viability of aviation projects.
- Supply Chain & Infrastructure Planning: Identifying key suppliers, logistics challenges, and operational strategies.
With deep experience in aviation market research and feasibility assessment, Mordor Intelligence enables aviation companies to make informed expansion decisions, ensuring regulatory readiness, financial sustainability, and long-term operational success.
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