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Contributions & Participation: an in-depth guide

Learn everything you need to know about joining a Pod

Updated over 2 weeks ago

Below is a step-by-step walk-through of how you join the Craft Pod, what you put in, the costs you’ll see up front and on-going, and when you can get money back out. Everything comes straight from the official Program Documents.

Craft Pod is open to qualified investors who meet certain criteria. Since this is a private placement (essentially a securities offering), investors must be accredited investors as defined by the SEC.

In plain terms, that usually means:

  • an individual with over $1 million net worth (excluding your primary home), or

  • income over $200,000/year (or $300,000 with a spouse) for the past two years,

  • or another qualifying category.

These rules ensure participants are financially sophisticated and can handle the risks of this illiquid investment.

If you’re investing through a trust, LLC, or other entity, that entity (or its owners) must also meet similar financial criteria. Craft will ask you to complete a questionnaire or certification to confirm your accredited status during the subscription process.

Your commitment at a glance

Craft Pod sets a minimum investment to ensure each member has a meaningful stake and the Pod has enough capital to operate effectively. The exact amount can vary, but there is a clear minimum contribution that you’ll be informed of during the sign‑up process.

Item

Amount

Why it matters

Minimum investment

$1 million in freely-tradable stock or cash

Ensures enough scale to support both the investment and flight program.Gives you scale for both the investment and flight program.

Working-capital reserve

15% of your contributed amount

Covers aircraft deposits, maintenance, and portfolio rebalancing. This becomes part of your capital account.

Onboarding fee

5% of your contribution

One-time setup fee paid to the Manager at closing.

$10,000 (credited toward the onboarding fee)

Reserves your spot in the Pod until its closing.

Flight access

For every $1 million you invest, you get 10 flights per year at the occupied-hour rate listed in the Use Agreement.

How the funding process works

Here's what to expect, step by step:

  1. Apply & sign
    Complete and return the Subscription Agreement, Applicant Questionnaire, and Pod Agreement signature page.

  2. Send deposit
    Wire the $10,000 deposit within ten days of acceptance.

  3. Wait for closing
    When the Pod reaches enough total commitments, the Manager sets a “closing date” and calls for the rest of the funds.

  4. Make your contribution
    On the Contribution Date, you’ll transfer your securities, working-capital cash, and pay the remaining onboarding fee.

  5. Get your confirmation
    You’ll receive your official capital-account statement showing your opening balance and how many Pod units you own.

What does it cost, when can I exit, and how do profits flow to me?

Ongoing costs

  • Management fee: 1.5% per year on your total contribution.

  • Pod expenses: Brokerage, audit, legal, and similar fund costs are paid by the Pod, not by you separately.

  • Flight charges: When you fly, you pay the occupied-hour rate, plus surcharges and third-party costs exactly as descirbed out in the Use Agreement.

Lock-up and exit option

  1. Your contribution is locked up for five years — no withdrawals during this time unless the Manager approves a hardship request.

  2. After five years, you can:

    • Redeem your investment for cash at net asset value.

    • Roll your investment into the next Craft Pod.

    • Possibly access other liquidity options (if available).

How profits, losses, and depreciation flow to you

  1. Each of your contributions has its own capital-account sub-ledger to track your share.

  2. Bonus depreciation on aircraft is allocated proportionally. Investors with higher outside basis (usually cash investors) often get a bigger first-year deduction.

  3. Every year you’ll receive a Schedule K-1 and audited financials showing your share of profits, losses, and tax benefits.

Key risks to remember

Before making a decision, remember these risks:

Market & concentration risk – The equity portion of your investment can go up or down with the public markets.

Liquidity risk – The five year-year lock-up period limits your ability to redeem early.

Operational risk – Weather, AOG (Aircraft on Ground) events, or regulatory changes can affect flight schedules and costs.

Tax & regulatory changes – Changes to capital-gains, bonus-depreciation or other tax rules could affect expected benefits.

Please read our full disclosures before making an investment decision.

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