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What happens if Craft ceases operations?

Updated over 2 weeks ago

Craft Pod is structured with multiple layers of protection to safeguard your stock and aircraft should Craft ever encounter financial distress.

Regulatory structure

  • Pod Securities, LLC is in the process of becoming an SEC‑registered broker‑dealer and FINRA member.

  • Pod Advisors, LLC is in the process of becoming an SEC‑registered investment adviser and will oversee the Pod’s portfolio.

  • Both entities are wholly‑owned subsidiaries of Craft Aviation, Inc.

  • Brokerage assets enjoy SIPC coverage up to $500 K in securities and $250 K in cash.

Asset custody

  • Securities and cash are custodied at Bank of America and administered by an independent fund administrator, never on Craft’s balance sheet.

  • Aircraft titles reside with an aviation trust company; maintenance reserves are escrowed in segregated accounts.

Independent fund structure

Each Craft Pod is a standalone SPV owned by its investors; Craft retains minimal or no ownership interest.

If Craft becomes non‑viable

Thin‑entity option. Pod Advisors LLC can remain as a lean adviser funded by existing management fees.

Manager replacement. Investors may appoint a new SEC‑registered adviser to assume duties; the Pod’s revenue stream supports the transition.

Administrator continuity. The independent fund administrator oversees day‑to‑day operations to ensure seamless asset custody, reporting, and distributions during the hand‑off.

Craft’s operating agreements and offering documents spell out these contingencies in detail, providing higher‑than‑customary investor protections.

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