“This person is already thinking bigger, writing, ‘If this succeeds the people can band together to buy even more companies that get intentionally bankrupt by private equity and we can start bringing back consumer friendly practices or seizing the means of production maybe.’”
Man crowdsourcing to purchase shuttered Spirit Airlines exceeds $437 million in days
“Get in losers, we’re going to buy an airline.”
“Get in losers, we’re going to buy an airline” is the short bio next to the smiling face of Hunter Peterson, an aviation enthusiast making waves as he tries to disrupt the air travel industry. On Saturday, May 2, at 3 a.m., Spirit Airlines abruptly shuttered, leaving thousands of employees out of work and thousands of travelers holding unusable tickets.
There was no notice or warning. One day, people were booking tickets, and the next, the budget airline went dark. The airline made air travel affordable to a subset of people who otherwise couldn’t afford it.
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The FAA and other airlines scrambled to offer solutions for those booked with the budget airline. While Spirit is offering refunds, the loss of a budget airline giant will be felt. Peterson decided to go further by doing something unheard of in the airline industry–crowdsource to buy an airline.
The idea behind crowdsourcing funds is to make the airline people-owned. This means there would be no corporation backing the airline. No overpaid CEO, and no large shareholder who gets to decide the fate of the company. Peterson calls it Spirit 2.0, and much to his surprise, an astonishingly large number of people were interested.
What started as a zany idea quickly turned into an unexpected movement. Peterson set up a website where interested people could pledge money starting at $45–the average price of a Spirit ticket. The potential CEO wanted to keep the price point within reach. None of the money has left anyone’s accounts. Their pledge acts as a placeholder for future funds, but the clock is ticking.
It may sound like an elaborate joke or scheme to go viral, but Peterson is doing the work. Not only has he met with the Spirit Flight Attendants’ Union, but he’s also spoken with attorneys. In videos shared on Instagram, he explains the importance of doing the legal footwork before money leaves people’s accounts.
“I just got off two calls,” Peterson says. “One, with one of the largest law firms in the world that specializes in mergers and acquisitions, aviation distress assets, and debt, and they basically said, this is doable. We can do this. I also got off a call with someone that represents high-net-worth individuals who may be interested in basically giving us some money to just burn to figure out the legalities of this.”
Peterson explains that in less than a week, they’ll be auctioning the operation certificate for Spirit. This means that if this lofty goal is going to be reached, potential small-donor investors need to reach the astronomical $1.75 billion total. Yes, billion.
Before giving the brief update, Peterson’s site letsbuyspiritair.com had already raised over $24 million. The total continues to climb rapidly, with people pledging amounts anywhere from $45 to $850. Since the website popped up, the total pledged has reached $437 million, and it’s restoring hope in people trying to make this proposed people-owned airline a reality.
“ITS ACTUALLY HAPPENING WE CAN DO THIS,” one person screams.
“Is this feeling I have…. hope? It’s been so long since I’ve felt it lol,” another says.
This person is already thinking bigger, writing, “If this succeeds the people can band together to buy even more companies that get intentionally bankrupt by private equity and we can start bringing back consumer friendly practices or seizing the means of production maybe.”
Someone else shares, “This Spirit Airlines 2.0 project is giving me hope for America. I know there are more important fish to fry when it comes to issues in America. But if we are successful with this, imagine all the other issues we can address (e.g. healthcare, reparations, homelessness, etc.) using this framework. Like truly power to the people.”
