Private Jet Charters
While some companies and individuals think chartering or leasing a private jet is practical and affordable, in some instances it is not. A chartered jet may not be available in emergency situations and leasing a jet can cost about the same as owning one. In fact, if you charter or lease private jets on a frequent basis, jet ownership may be a better financial option.
There are two paths you can take toward private jet ownership: complete jet ownership and fractional jet ownership. Complete jet ownership is when you purchase the jet completely and assume all the costs of maintaining the aircraft including fuel consumption.
Private jets, depending on the model, cost a few million dollars and the annual upkeep could be several hundred thousand dollars a year. The expense can be great, but complete jet ownership allows you to travel whenever you like. The convenience and time saved is worth it to the people who invest the money with complete jet ownership.
If you a bit more budget conscious and worried the cost of the aircraft will outweigh the usage, you may be better off with fractional jet ownership. Fractional aircraft ownership involves purchasing a portion of a private aircraft with other investors. Each owner then shares the aircraft according to the percentage they own. An individual who owns 1/8 of the aircraft may use it for 100 hours a year, while the individual who own 1/16 may only get to use it for 50 hours a year.
All the maintenance costs are split among the owners: these charges appear monthly depending on the contract signed. Some fractional jet companies will not allow owners to double book a flight, but some do and will provide a similar aircraft from their fleet if it is needed. Owners are charged only for the time they occupy the aircraft, not for the time it takes to reach the pick-up point or for the flight back to base. During the time the aircraft is occupied, the owners will be charged a fee that may or may not include fuel costs.
Both jet ownership options have both advantages and disadvantages. Assess your current situation and travel needs before deciding which option is best for you.