Private Jet Information: Cost, Fractional Ownership, and Charter Services

Private jet travel is truly wonderful, but the cost of owning one can be very high. When it comes to the cost of a private jet, depending on the make, model, and size, to purchase one, you could spend anywhere from $5 million to $65 million. That’s not so bad, if you can afford it. While owning a private jet may seem like the most convenient form of private jet access, it can also be the most expensive. And by expensive, we don’t just mean money. Explanation…

As a sole proprietor, you are of course fully responsible for the initial purchase price, licenses, regular registration fees, hangar fees, airport fees, rental pilot, regulations, flight log data, fuel costs, fuel expense reporting, maintenance, and the list goes on – and remember, most of these things can add up to a pretty penny on an ongoing basis, even if the plane never leaves the hangar. Owning a private jet may be a dream of yours, but if you are a little nervous about taking on the high cost of a private jet in exchange for a little luxury, it can be very difficult to write that first check. Even if you found private jets for sale at an auction and bought one for a few million, the cost of a private jet is still the same, and certainly without a discount.

A private jet can cost a lot of money

When it comes to private jets, the sale prices can vary greatly. Some of the factors to consider when buying a private jet include the range factor and the size of the jet, which can significantly vary the cost of a private jet. For example, if you choose to purchase a light jet, perhaps a Learjet for example, which has an average purchase price of around $5 million, the aircraft can hold six to eight passengers, with a range of around 1,500 miles without refueling. You will need to understand exactly what specific area your needs lie in, in order to decide which make and model is best for you. Charter a few short flights on a private jet to familiarize yourself with each major type . You may find that mid-size jets are more to your liking than light jets, such as the Hawker 800, for example.

Fractional ownership of a private jet, sharing it with a single co-investor, can offer greater travel flexibility at half the cost of sole ownership. However, many aviation experts warn that most airline partnerships eventually fall apart. This problem can be compounded by the fact that more owners have a stake in the aircraft. Fractional ownership of an aircraft can start at 1/16th of a share ( i.e. 16 owners of a single aircraft ), which can be less than around $400,000, for a Hawker for example. This typically provides around 50 hours of flight time. This would equate to around $8,000 per flight hour – on a cost per flight hour basis, not much cheaper than a charter jet service. But it has never been easy to obtain fractional ownership of an aircraft – why? Have you ever experienced the headaches of timeshare in condominiums? Yes, that’s the reason.

You can also be a 1/16 shareholder, but those who own 1/8 or 1/4 of the shares are the ones whose needs are met first. There is a bit of a “ pecking order ” to respect. Where will you be on the totem pole? That being said, fractional ownership can be cost-effective and is best suited to businesses or individuals who fly around 100-150 hours a year or more. Needless to say, there are clear benefits to chartering a few flights to determine which model is best for you before considering purchasing one, whether it is a full or fractional purchase.

Perhaps the biggest problem is that while you may think that sole ownership of an aircraft or even fractional ownership of an aircraft may seem cheaper ( at least in terms of the initial purchase cost ) than a charter jet service, the fact is that even if you own one, in whole or in part, you will end up using a charter jet service multiple times on top of all that anyway. Why is this? Very often, your jet is simply not available. It may be undergoing maintenance, it may be used by another ( perhaps “ superior ” ) shareholder, it may be due to any number of factors, and most importantly ( and perhaps most seriously ) it may not meet your specific needs at that time. What do we mean by this?

Let’s say you own a light jet, but you need to carry 12 passengers – are you going to make two trips ? That would be a little odd, to say the least. For many reasons, even if you shell out a few million for a private jet, or a few hundred thousand for 1/16th of a private jet (and only 50 hours of flight time), you’re still going to shell out more for a charter jet service, and many times over. Why increase your flying costs?

Instead of all the hassle, maintenance, downtime, countless regulations and expenses, and the more than occasional inability to own a plane or fraction of a plane, with the added bonus of chartering, it makes much more sense to stick with jet charter services alone. This is true if you are an individual who would fly less than 150 hours per year, and even businesses that would use even more flight time. In fact, all of this ends up being considered a business expense.

Chartering a jet is much cheaper in the long run

Basically, chartering is less work, less hassle, and a lot less restrictions. No restrictions, that’s what we’re looking for in the private jet experience in the first place, right? When you charter a private jet, you can choose from a fleet of different models, sizes, and types, and you can book a flight at any time, even within a few hours, and reach over 5,000 airports instead of the less than 500 airports of commercial airlines.
Private jet charter still allows you to fly in privacy and security, avoiding airport delays and having to take off your shoes, unpack your laptops, and other personal items. If you use the services of a charter, you can fly with any aircraft you want. Let’s say you want to fly alone or with 5-7 passengers, on a 2 hour flight… chartering a turboprop or very light jet would cost much less for that single flight than a Hawker 800 in the same case, or even 1/16th of it.

It’s simply more logical and much less complicated. Most importantly, you only pay for one aircraft – the one you need at the moment, and whatever type or model you want. After all, you have access to an entire fleet ( a very prestigious concept, by the way ), always at your disposal, and you don’t share them with anyone except those you want to take with you on your trip.

There is a lot to like about a charter plane service because they offer so much more. There are so many services offered in addition to first class flights that are otherwise not available to those who do not charter. It is a very good idea, even if you are looking to buy a jet, to try out at least one model of each size of jet, maybe even a small turboprop Cessna. Try out a few short charter flights so that you can get a feel for what you need and expect from a private jet. You will also want to get used to using a charter plane service because even if you buy a plane, you will still need one at some point. They are really effective when you are in a pinch and can be a real bargain.