NAFA member Shawn Holstein, Co-Founder, President and CEO of Holstein Aviation, shares his latest article on how to structure ownership when purchasing a private jet.
When you purchase a private jet, one of the first decisions you’ll make — and one that has long-term consequences — is how to hold title to the aircraft. The jet ownership structure you choose affects your liability exposure, your tax position, your privacy, your estate planning, and how the aircraft is registered with the FAA.
Most buyers don’t think deeply about this question until they’re close to closing. That’s too late. The structure should be determined before the purchase agreement is signed, because changing it afterward is possible but creates unnecessary complication and cost.
Here’s a clear breakdown of the three primary options: individual title, LLC, and trust.
Individual Title
Holding an aircraft in your own name is the simplest structure. The FAA registration is in your name. The title is in your name. There are no entity formation costs, no annual maintenance requirements, and no additional administrative overhead.
For some buyers — particularly those using the aircraft exclusively for personal travel with no business purpose — individual title can be appropriate. But the simplicity comes with a meaningful tradeoff: personal liability exposure.
When an aircraft is titled in your name and something goes wrong — an accident, a liability claim from a passenger or a third party — your personal assets are directly in the line of fire. There’s no legal separation between you and the aircraft.
For most buyers, particularly those with significant personal wealth or business interests to protect, that exposure is unacceptable. The liability protection offered by an entity structure is usually worth the additional complexity.
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This article was originally published by Holstein Aviation on May 12, 2026.