What Does FBO Stand For?

FBO meanings at a glance

The first two are by far the most common. The contracting meaning has faded because that listing moved into a newer federal system.

FBO in banking: for benefit of

In finance, FBO shows that one party holds or receives money on behalf of someone else. The account or check is in the name of the institution, but the money belongs to the person named after FBO.

• Retirement rollovers: when you move a 401(k) or IRA to a new firm, the check is often made out to the new custodian FBO you. That keeps it a direct rollover rather than a payout to you.
• Custodial and trust accounts: a trustee or custodian manages money FBO a beneficiary, such as a child.
• Payment platforms: some companies hold customer funds in a pooled FBO account at a bank.

What does FBO stand for in aviation?

At an airport, a fixed base operator is a business allowed by the airport to provide services to aircraft and crews, mainly in general aviation, which covers private, business and charter flights rather than airline service. The word "fixed" is often said to go back to the days of traveling air shows, when an operator with a permanent base at one field stood out from pilots who moved from town to town.

• Fueling and oil
• Parking on the ramp and space in hangars
• Maintenance and repairs
• A pilot lounge, flight planning room and weather screens
• Rental cars, catering and help for passengers
• Flight training and plane rentals at some fields

Large airports can have several FBOs that compete for traffic, while a small field may have one. Pilots often say "the FBO" to mean the building itself.

How to say and write FBO

Say the letters separately, "F B O." In aviation, the letters are capitals with no periods. In finance you may also see lowercase forms such as fbo or f/b/o on checks and account titles, and they mean the same thing. Use "an" before it in speech, since F begins with a vowel sound: "an FBO account," "an FBO at the airport."

Sentences using both meanings:

• "Make the check payable to the new custodian FBO you."
• "The account is titled to the trust FBO the two children."
• "We landed and taxied to the FBO for fuel."
• "The FBO had a courtesy car for the crew."

Terms that often appear with FBO

• Custodian: the firm that holds assets for someone, often written before FBO.
• Beneficiary: the person who benefits, written after FBO.
• General aviation: nonairline flying, the main customer base of an FBO.
• ETA: pilots and FBO staff trade estimated arrival times. See ETA.
• ACH: some FBO bank accounts move money by ACH transfer.

The business acronyms section has more letters used in money and work settings.