When considering the choices offered to satisfy your private aviation travel requirements, you might receive suggestions regarding the different methods of travel available by somebody who has never personally analyzed your travel requirements. This is a frequent occurrence in the aviation market, because there are lots of sales people who attempt to oversimplify what's definitely a much more complicated issue - "Which private jet travel option is best for me?"
Trying to answer this question with as little confusion as possible has brought about the creation of a general guideline that really is effective for just a very few men and women in specific circumstances. In fact, there are so few individuals whose requirements are satisfied with this formula that it has become a myth.
The rule says an individual will need to select between jet cards, aircraft charter, fractional or whole aircraft ownership based on a basic formula of hours flown per year. The rule of thumb goes something like this:
1. If you fly privately less than 25 hours each year, you'll want to charter.
2. When you fly privately somewhere between 25 to 50 hours each year, it's best to buy a jet card or block charter.
3. In the event you fly privately somewhere between 50 and 200 hours each year, it is best to use fractional (make a guess at which marketers created this rule of thumb?)
4. In the event you fly privately over 200 hours each year it is best to purchase your own aircraft.
The problem with this basic formula is the fact that it does not take into account your special requirements and assumes your desires are the very same as everybody else's. In order to make a totally informed final decision, you will need to consider many more variables than only the number of hours flown a year. For example, in case your business has a requirement for 20 hours of flight time per year, however the flights all begin in different cities, your needs will conflict with the suggestion to use charter when your local charter operator doesn't have aircraft based in these cities.
When you fly 100 hours each year, but most of the trips come from one airport or region and return inside a day or two, once again this suggestion won't make the best match for you, since a fractional share or jet card will be far too costly because their model is based on higher, "one-way" prices. Obviously there are numerous other considerations as well, such as the convenience factor, tax advantages, availability, and so forth that cannot possibly be considered within the constraints of a one-size-fits-all guideline.
When contacted for assistance in selecting the best private travel option for a client, I initially determine the client's requirements. How often does the client fly? Are most flights one way or round trip? Do all of the trips start and end at the very same location? Will the client ever have need for multiple aircraft at the exact same time, perhaps flying several teams in various parts of the country to various places simultaneously? Exactly what is the client's tax situation because it pertains to depreciation of the asset if a share or whole aircraft were purchased?
Are there passive earnings issues? What's the client's most important concern in relation to traveling? Does the client like to have a relationship with their flight crew or do they prefer to keep them at arm's length? Next, a full mission evaluation is carried out, which consists of a financial evaluation of the various possibilities available. On very rare occasion the guideline will fit my advice, but almost all of the time the guideline leads an individual to much more expensive choices than required.
Do not be misled by the myth that your particular requirements will be met by a guideline. With a thorough, in-depth analysis of your travel requirements, a consultant can structure one or a number of private travel options in combination to create a solution that genuinely fits your requirements.
Trying to answer this question with as little confusion as possible has brought about the creation of a general guideline that really is effective for just a very few men and women in specific circumstances. In fact, there are so few individuals whose requirements are satisfied with this formula that it has become a myth.
The rule says an individual will need to select between jet cards, aircraft charter, fractional or whole aircraft ownership based on a basic formula of hours flown per year. The rule of thumb goes something like this:
1. If you fly privately less than 25 hours each year, you'll want to charter.
2. When you fly privately somewhere between 25 to 50 hours each year, it's best to buy a jet card or block charter.
3. In the event you fly privately somewhere between 50 and 200 hours each year, it is best to use fractional (make a guess at which marketers created this rule of thumb?)
4. In the event you fly privately over 200 hours each year it is best to purchase your own aircraft.
The problem with this basic formula is the fact that it does not take into account your special requirements and assumes your desires are the very same as everybody else's. In order to make a totally informed final decision, you will need to consider many more variables than only the number of hours flown a year. For example, in case your business has a requirement for 20 hours of flight time per year, however the flights all begin in different cities, your needs will conflict with the suggestion to use charter when your local charter operator doesn't have aircraft based in these cities.
When you fly 100 hours each year, but most of the trips come from one airport or region and return inside a day or two, once again this suggestion won't make the best match for you, since a fractional share or jet card will be far too costly because their model is based on higher, "one-way" prices. Obviously there are numerous other considerations as well, such as the convenience factor, tax advantages, availability, and so forth that cannot possibly be considered within the constraints of a one-size-fits-all guideline.
When contacted for assistance in selecting the best private travel option for a client, I initially determine the client's requirements. How often does the client fly? Are most flights one way or round trip? Do all of the trips start and end at the very same location? Will the client ever have need for multiple aircraft at the exact same time, perhaps flying several teams in various parts of the country to various places simultaneously? Exactly what is the client's tax situation because it pertains to depreciation of the asset if a share or whole aircraft were purchased?
Are there passive earnings issues? What's the client's most important concern in relation to traveling? Does the client like to have a relationship with their flight crew or do they prefer to keep them at arm's length? Next, a full mission evaluation is carried out, which consists of a financial evaluation of the various possibilities available. On very rare occasion the guideline will fit my advice, but almost all of the time the guideline leads an individual to much more expensive choices than required.
Do not be misled by the myth that your particular requirements will be met by a guideline. With a thorough, in-depth analysis of your travel requirements, a consultant can structure one or a number of private travel options in combination to create a solution that genuinely fits your requirements.
About the Author:
Desert Jet is a full-service aviation management company that provides clients with expertise in acquiring and operating private jet aircraft, and offers on-demand charters in its fleet of jet aircraft. Desert Jet was one of the first jet charter providers in the world to become IS-BAO certified, exceeding a global industry safety standard.
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