INDUSTRY SPOTLIGHT

Aviation

Soar into a sky full of untapped potential. Explore a fast-evolving yet competitive aviation industry, spot the golden opportunities, gear up to navigate challenges, and uncover the strategies to outpace competition.

Take a flight into the future today

Being a critical cog in the global transportation sector, the aviation industry is pulsating at the heart of global connectivity and commerce. Green fuel adoption, burgeoning passenger mobility, and digital transformations are driving the sector’s growth, making it a vibrant landscape ripe with opportunities. Like this, startups have a golden ticket to capitalize on SAFs development and supply, AI and data analytics, urban air mobility, VR and AR training, etc. Yes, clear skies ahead, yet with potential air pockets. Thus…

Navigating success becomes more challenging

First, be ready to shell out. R&D of a new aircraft is not only a marathon of patience but also a cost-intensive activity (between $10B and $15B). Thus, startups should gear up to craft robust fundraising strategies and establish valuable alliances with industry titans like Boeing, Airbus, and Embraer.

Plus, staying competitive requires constant technological leapfrogging. And it may be a Herculean task for the new entrants due to a saturated market (over 1.5K startups) and resources given to established players. Thus…

You need more than a mere innovation to take off

Having propelled the growth of numerous businesses and crafted 600+ bulletproof market entry strategies and business models, at Waveup, we know how to play a fundraising game well, having our finger on the pulse of the aviation industry. Dig deeper into this flourishing landscape by checking our aviation market research.

1.3x
The global aviation market size is forecasted to hit $433B by 2032.

 

65.5M
The aviation industry supported over 65.5M jobs globally.

50%

is the projected percentage of reduced net carbon emissions by 2050.

8.2B

is the expected number of air passengers by 2037.

$1.2T

Investments in global aviation infrastructure are anticipated to reach over $1.2T by 2030.

VENTURE LANDSCAPE

In 2022, the aviation venture capital reached $1.10B

Key verticals funds infusions flow to:

  • Urban Air Mobility (UAM)
  • Sustainable Aviation Fuels (SAF)
  • Aerospace Manufacturing Technology

Leading aviation investors we worked with

Write to us to know more

WAVEUP VIEW

Challenges aviation startups face

Opportunities are flourishing within the aviation industry, but so are the challenges.

Surviving regulatory quicksand

Being a heavily regulated industry, the aviation sector poses stiff regulatory hurdles to both top market players and newcomers. After two crashes involving its 737 Max aircraft in 2018 and 2019, Boeing faced severe regulatory scrutiny, leading to certification investigations and FAA oversight. It was all followed by painful financial losses: a net loss of $636M plus $9.2B for compensation to airlines and suppliers.

Facing the financial tsunami

The aviation industry is resource-intensive. And capital needed for developing a new model can burn a hole in your pocket. Data strikes hard as the development of a new commercial jet may cost from $10B to $15B, according to various industry estimates. Forming strategic alliances with top industry players may decrease the financial burden. Plus, aviation startups need to employ effective investment strategies to attract aviation VCs and secure funds.

Innovation race

No advancements, no traction—sounds like the motto of the aviation industry. Like this, startups need to stay ahead of the curve to remain competitive, which can be particularly challenging given the resources of established companies. Many new ventures focus on niche markets where they can develop specialized expertise. Among them are Joby Aviation and Lilium, which are already undergoing a certification process for eVTOL aircraft, aiming to revolutionize urban air mobility.

How we can help

Startups
Fundraising advisory

From diligent industry analysis to storytelling and financial forecasts, we’re helping founders crystallize and structure key business fundamentals and translate them into a compelling investment opportunity framed in a winning aviation pitch deck.

Investors
Due diligence and portfolio support

Evaluating potential investments, conducting due diligence, and supporting portfolio companies on their new fundraising rounds.

Established companies
Growth hacking

Discovering market opportunities in the market and developing execution strategies to build actionable and scalable blueprints for growth.

WHO WE ARE

Unlocking your next stage of growth

Waveup is a leading global advisory empowering companies to fuel growth, attract investments, and secure strategic partnerships.

We turn data into business insights that drive results, helping companies excel in the competitive B2C and B2B spaces across 50+ verticals, discovering and catalizing opportunities for growth.

Our investment consulting services for aviation startups

Market intelligence

Fundraising support

Pitch decks

Financial models

Investor research

Growth consulting

Go-to-market strategies

Marketing/sales materials

Design support

Learn more

FAQ

What makes the industry appealing for aviation financing opportunities?

The aviation industry presents a tempting arena for financing opportunities due to high capital investments, tech advancements, robust market growth, and global connectivity. Like this, the VCs will have not only lucrative financial returns but also foster worldwide networks.

What is the current size of the aviation market, and its potential for future aviation startups?

In 2023, the aviation market size was over $334B, expected to grow annually at 2.95%. Being a fast growing and promising industry, the aviation sector provides numerous opportunities for startups to capitalize on, such as sustainability, digital transformation, UAM, MRO, air cargo and logistics, etc.

How challenging is it to secure funding for aviation startups nowadays?

Raising funds for aviation startups can be quite challenging because the industry is capital-intensive, technically complex, and subject to strict regulatory requirements such as airworthiness certificates, operational safety regulations, and environmental regulations. Thus, startups need to know all the ins and outs of a fundraising game to communicate the value of their solutions to the VCs, sparking their enthusiasm to pour money into their project.

How long does it take to create an aviation pitch deck and a financial model for an aviation startup?

Normally, our experts finish all the documents in 14-21 days. But in case of project complexity or busy schedule, it might take a bit longer to finish the project. Thus, it’s better to negotiate the time completion in advance.

What are the key mistakes aviation startups make in their pitch decks?

Many aviation pitch decks fall short in crafting engaging investment stories and captivating introductions. Relying solely on graphs, figures, charts, and excessive jargon is a mistake, as startups should aim to capture investors’ attention instead of drowning them in data. Plus, ‘Why now?’ and ‘What’s your mission/vision?’ questions lack coherent answers.

What are the main challenges aviation startups face, and how are they tackling them?

Aviation startups face significant hurdles like high capital needs and stringent regulations. To address these challenges, many companies establish strategic partnerships and tech collaborations, focus on sustainable technologies, and utilize robust business models.

How competitive is the aviation market?

The abundance of top players and startups (over 1.5K) makes the aviation market fiercely competitive, characterized by thin profit margins, high operational costs, and a constant race among companies to innovate and offer unique services to stand out.

What services do you provide for investors who are either considering or have already invested in aviation startups?

Our specialists assist investors in pinpointing prosperous opportunities within the aviation sector. Thorough due diligence, informative and visually appealing pitch decks, and established connections between startups and VCs are only some of the services included in our investor package.

Do you provide aviation M&A support?

Yes, we do! Our team assists with aviation M&A by scouting for promising opportunities, evaluating them for potential success, and facilitating smooth partnerships that continue well after the deal is closed.

Do you make intros to aviation VCs?

Surely! Our experts ensure connections between aviation VCs and startups. We start with evaluating your project for the team structure, product, and capital expected to be raised. Afterward, we guide you in partnering with the aviation VCs, fostering a productive relationship throughout and beyond the negotiation phase.

Do you provide comprehensive aviation market research on request?

Certainly! Our specialists deliver customized insights into the dynamic aviation sector. Our in-depth research encompasses a thorough analysis of the industry landscape, competitive evaluations, and a broad market perspective, all designed to grant you a distinct edge. We leverage reliable data sources to help you recognize promising opportunities and potential challenges and identify current investment trends.

Which aviation startup funding stages do you assist with?

We offer comprehensive growth and fundraising assistance to newcomers in the aviation sector, guiding them seamlessly from the initial Pre-Seed phase all the way to Series C and beyond, leveraging our network and expertise to foster success and innovation at every step.

Building a solution in the aviation industry? Get in touch with us

Fuel your next stage of growth with Waveup—your one-stop shop for fundraising support, outsourced M&A advisory, growth strategy consulting, and presentation design. Leave your email, and let's chat!

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