what is fbo stand for?
A fixed-base operator (FBO) is an organization granted the right by an airport to operate at the airport and provide aeronautical services such as fueling, hangaring, tie-down and parking, aircraft rental, aircraft maintenance, flight instruction, and similar services. In common practice, an FBO is the primary provider of support services to general aviation operators at a public-use airport and is on land leased from the airport, or, in rare cases, adjacent property as a "through the fence operation". In many smaller airports serving general aviation in remote or modest communities, the town itself may provide fuel services and operate a basic FBO facility. Most FBOs doing business at airports of high to moderate traffic volume are non-governmental organizations, either privately or publicly held companies.
Though the term fixed-base operator originated in the United States, the term has become more common in the international aviation industry as business and corporate aviation has grown. The term has not been officially defined as an international standard, but there have been recent uses of the term in International Civil Aviation Organization (ICAO) publications such as Implementing the Global Aviation Safety Roadmap.
After the end of World War I in November 1918, civil aviation in the United States was primarily unregulated and was primarily made up of "barnstormers," transient pilots flying inexpensive military surplus aircraft from city to city and often landing in farm fields on the outskirts of a town because airports were scarce at that time. The traveling aviators offered airplane rides and aerobatic flight demonstrations, and they frequently collaborated as "flying circuses" by performed impromptu airshows for the townsfolk and charging whatever the local economic conditions would allow. As a result, mechanics and early flight instructors moved around with the aircraft and had no established business in any location.
With passage of the Air Commerce Act of 1926 and its resulting requirements for the licensing of pilots, aircraft maintenance requirements, and regulations in training standards, the transient nature of civil aviation was curtailed. The pilots and mechanics who made their living on the road began establishing permanent businesses, termed fixed-base operations, at the growing number of airports appearing throughout the United States as a way to distinguish permanent businesses from the transient businesses that had been common prior to 1926.
Fixed-base operators support a wide range of aeronautical activities which may include one or more of the following:
Though not required, fixed-base operators generally also provide at least basic auxiliary services to pilots, flight crew, and passengers such as restroom facilities, telecommunication services, and waiting areas. General aviation FBOs (commonly in the U.S.) sometimes provide courtesy cars that can be used for free or little cost by flight crews mostly for short trip from the airport and the surrounding city area. Larger and better equipped FBOs may additionally offer food vending and restaurant facilities, ground transportation arrangements by taxi/limousine, shuttle van, flight planning and weather information areas (computer- or telephone-based), rest lounges and showers, aviation supplies shop (selling navigation charts, manuals, or in-flight comfort items), access to in-flight catering, and accommodations reservations or concierge services for both crew and passengers through a customer service representative (CSR).
At medium and large airports, FBOs are typically affiliated with one of the major aviation fuel suppliers and display the fuel supplier's sign prominently. At smaller airports, the FBO is often the airport operator, such as Alpha Aviation at Boundary bay Airport (CZBB) or a flying club.
Within the United States, the Federal Aviation Administration (FAA) regulates some activities that may comprise an FBO such as the authorization or repair stations, flight training, and air taxi/air carrier services, but there are no federal regulatory standards covering all FBOs. The FAA has defined an FBO as "a commercial entity providing aeronautical services such as fueling, maintenance, storage, ground and flight instruction, etc., to the public."
The United States Department of Transportation, in cooperation with the FAA, has the duty of establishing minimum standards for commercial aeronautical activities and recommends implementation of these standards by the airport operator or agency, commonly referred to as the airport sponsor. The United States FBO Industry is represented nationally by the National Air Transportation Association or NATA, but is also partly represented by both the National Business Aviation Association (NBAA) and the Aircraft Owners and Pilots Association (AOPA).
The number of U.S. businesses meeting the minimum criteria as an FBO is 3,138 as of April 2009 according to a survey conducted by Aviation Resource Group International (ARGI). The number has decreased since the 2006 survey, which counted 3,346 FBOs.
FBO is an abbreviation for the common term “for the benefit of” and it is often used in estate planning. In a trust, the term conveys ownership and value to the trustee. The FBO legal language is there to protect the rights of the beneficiary of the trust. If you desire to leave your estate to one of your children, but you have a large extended family, including the FBO trust language may stop family squabbles when the proceeds of the trust are being distributed. If you have questions about what FBO means, it may be smart to talk to a financial advisor. Try using SmartAsset’s free advisor matching tool today to find a financial advisor.
A trust is a common legal entity used in estate planning. It is used to maintain and protect assets on behalf of yourself or one or more beneficiaries. Creating a trust is one way of assuring that your property will be passed down according to your wishes to your heirs. A primary benefit of establishing a trust is to avoid probate court upon your death. You may also be able to avoid some taxation. There are many distinct types of trusts, each with a specific purpose and for a particular type of situation.
You may find the phrase “FBO in trust,” or “FBO trust” in the language of some trusts. That phrase means “for the benefit of ______.” In the blank, you insert the name of the beneficiary or beneficiaries, a company name or an organization’s name. For example, you may want the money from the trust to go to a stepchild instead of your own children upon your death. The stepchild’s name goes in the blank. Alternatively, you might want the trust money to go to a particular charity upon your death. The “for the benefit of” phrase is legal terminology specifying exactly who the trust proceeds are supposed to go to.
In many states, you are legally bound to put the FBO phrase in any trust that conveys value and ownership. If your trust is set up to manage itself or provide protection for assets, then the FBO designation is not necessary.
A trust with the FBO designation must be established as an irrevocable trust. An irrevocable trust cannot be revoked or modified. When you place an asset into an irrevocable trust, ownership transfers to the trustee unless you are the trustee, in which case it stays with you. Nevertheless, you can’t change the trust. There are benefits to irrevocable trust. It may shield part of your income from taxes and, usually, any creditors have no access to the cash value of the trust or any asset in it. In this way, you protect your beneficiaries after your death. An irrevocable trust also has its own tax identification number (EIN).
A trust with the FBO designation has three parties. They are the settlor, the trustee and the beneficiary. The settlor is the person who establishes the trust and deposits assets into it. They also create its purpose, and, with the help of an attorney, the legal language associated with it. If the trust conveys value and ownership to the beneficiaries, it must have the FBO language in it. The trustee takes ownership of the trust in an FBO trust and manages its assets. The trustee also makes sure that the beneficiaries receive what is due to them from the trust. The assets in the trust are eventually distributed to the beneficiaries as designated by the terms of the trust.
There are many ways to use an FBO trust. An example is skipping a generation and allowing your grandchildren to inherit instead of your children. Other ways to use this kind of FBO trust is to choose whether your beneficiaries inherit a lump sum or the assets in the trust or if they have income distributed to them from the trust after its establishment.
An inherited individual retirement account (IRA) must be renamed after it is inherited and can be designated as a FBO Trust. The language in the trust document would be something like this: John Smith 2/16/2022 inherited IRA FOB Patty Smith where John Smith is the settlor and Patty Smith is the beneficiary.
Filing taxes on an FBO Trust is best left to a tax accountant or financial advisor. The general procedure is to fill out and attach IRS Form 1041 and its associated schedules with your own federal income tax return, IRS Form 1040. You will probably need IRS Form 4797 for capital gains and losses, and IRS Form 4952 for interest. You must file taxes on the FBO Trust if it has generated more than $600 in income during that tax year.
There are other financial documents that may use the FBO designation. Some of them are living trusts which are revocable, charitable contributions, electronic funds transfers and 401(k) rollovers. Any trust that conveys value and ownership must also have an FBO designation. Types and purposes of trust vary widely, so make sure you do your research.
The FSSAI (Food Safety and Standards Authority of India) is a legal body that issues food licenses to various operators who are involved in businesses pertaining to the manufacturing, processing, storing, trading, catering, packing and labeling, sale, exports, and imports of food and other edible items. Individuals or organizations thus involved in handling food or food items at various stages before it reaches the customers are referred to as FBOs or Food Business Operators. A 14-digit registration or a license number is given by the FSSAI to the FBOs and the number is required to be printed on the packages of the respective products. The type of registration basically depends on factors like the size of the production, turnover, nature of activities involved etc of the FBO.
Once the FBOs are compliant with the rules stipulated by the FSSAI, the food & safety license Certificate is issued to the FSSAI. A number of operators like traders, manufacturers, restaurants, grocery vendors, importers, and exporters are mandated to hold an FSSAI license. When an individual or an establishment holds an FSSAI license, it is an assurance that the products they deal with, have undergone the stipulated quality checks, thereby reducing the chances of delivering adulterated or substandard products.
The Food Business Operators in the following lines of business are mandated to hold an FSSAI license:
The registration of the various FBOs can be segregated into three broad categories.
FBOs with an annual turnover of more than ₹20 crores and those that are large scale manufacturers, individuals, and organizations dealing with imports and exports need to procure the FSSAI registration from the Central Government. FBOs having an annual turnover of more than ₹ 12 lakh, and those that are small and medium-sized units like traders, storage warehouses, marketers, those dealing with the transport of food items, etc are required to apply for the FSSAI license from the State Government. The basic registration is for the units that have a turnover of less than Rs.12 lakh annually. The FBOs that opt for basic registration will have to fill out Form A and those opting for State and Central Government registration have to opt for form B.
The following procedure must be followed by the FBOs to make an application for the FSSAI license.
Step 1:The FBOs can make the application online through the FoSCos login portal. The FBOs are required to fill out form A (Basic registration) or form B (For acquiring State or Central Government license) and submit the same to the Food and Safety department
Step 2: The application for the FSSAI registration shall be accompanied by the stipulated mandatory documents. The documents can be uploaded to the Foscos Renewal portal along with form A or form B. The application and the mandatory set of documents can also be furnished physically to the Food and Safety department
Step 3: Depending upon the accuracy of the filing, the registration can be accepted or rejected. The same is conveyed within 7 days from the date of application through online or physical mode after scrutinizing the application and the documents submitted by the applicant
Step 4: If necessary, the department carries out a quick inspection of the premises of the FBO before granting the license
Step 5: The department, on being satisfied with the compliances met by the FBO, grants the FSSAI registration certificate with the 14-digit registration number. The certificate can also be downloaded from the FoSCos portal. After having obtained the certificate, the FBO is required to display the FSSAI registration certificate prominently at the place of business during business hours.
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