You can travel at any time you want with a private jet, but are they really a wise investment?
The idea of obtaining a private jet will eventually come up. It makes sense that this is one factor that people typically think about before committing, given the size of the investment.
If you believe that the benefits of owning a private jet will benefit you personally, then it can be a great investment.
Owning a Private Jet – The Details
A private jet is a depreciating asset, and most private jet owners don’t think their aircraft can be chartered for long enough to generate a healthy revenue stream.
Keep this in mind before you buy a private jet purely for investment purposes.
The truth is that an owner buys an aircraft for their personal use, such as private and business travel, and this use restricts the time the jet is available for charter.
The charter operator’s thumb rule which says an owned aircraft must fly for at least 800 hours annually to start turning a profit has been validated by experience.
It will be difficult for a private jet owner to make enough money from flying hours in addition to their personal use.
This does not negate the possibility of an aircraft owner renting out their aircraft, though.
These are the top 7 reasons why this could be the ideal time to think about making a private aviation company investment.
1. More People Are Getting Access to Private Air Travel
The days of only the top 1% of extremely wealthy people being able to afford private jet travel are long gone.
Private jet charters are now more accessible than ever thanks to the growing number of people, from families to busy business executives, who are realizing the benefits of flying private and new modes of transportation like crowdfunded flights.
2. An Unbelievable Chance To Join At The Beginning
Globally, the markets for private aviation are growing. Demand is rising in many “smaller” markets, even though the major cities are already well served by a large number of private aircraft charter companies and associated businesses.
This means that there are numerous chances to participate in the first funding round for a new business in the private aviation industry.
3. The Business is Under Major Change
The whole private aviation industry is changing quickly. New business models allow users and private aviation companies to operate without even needing to own a fleet of aircraft!
4. Flying on Your Specifications
Making travel plans takes time, and your preferences may not always be met. On a commercial airline, you are in competition with other travelers, so you might not even be able to get a ticket.
These issues are resolved by a private jet, which enables you to plan a schedule that works for you.
5. Lots of space
Commercial airplanes are known for being small and jammed. Even when traveling in first class, the seats are frequently quite cramped and small.
You will have ample room to move around on your private jet, and jets have more roomy seats that make traveling easier.
6. Airport Management
Upkeep is one of the main issues that come up when people think about owning a private jet. Although this is a legitimate worry, aircraft management services can readily address it.
Your private jet will be maintained and prepped by these teams so that it is always ready to go when you want to.
Having a fantastic team that takes care of all maintenance can make owning a private jet simple.
7. Technology Is Everything
Aircraft charter technology is constantly evolving. The point that there are so multiple apps available that put your aircraft right in the hands of your customers is possibly their most significant feature.
The UI/UX sector is constantly coming up with new strategies to pique the interest of the consumer and streamline the transaction.
These new apps have significantly improved the ease of making a charter reservation, drawing in more new customers for private jet charter.
The New Business World Requires New Approaches
A growing number of businesses today have multiple locations; this includes both large, multinational corporations and smaller businesses with corporate jets.
Businesses must send people and goods to a significant trade show in a different state, businesspeople must make time sensitive trips that are not feasible to make by air, teams must be carried to work at an overseas location, and so on.
There is currently a growing demand for flights that commercial aircraft frequently cannot accommodate. So this is a chance to reduce the cost of aircraft ownership for an owner.
Corporate aviation is becoming more and more necessary
Since 2012, business aviation has grown progressively but steadily, according to the National Business Aviation Association.
“Flight utilization keeps going to increase in the primary markets of North America and Europe, a sure and constant measure of a steadily improving market,” the organization stated in a report released toward the end of 2018.
Rises The low to mid single digit percentages of growth year over year are encouraging; they are growing a little faster compared to the underneath fleet, with newer aircraft leading the way.
Chartering Away
The market for private aircraft is expanding faster than it has in the past. The new top priority is safety.
The myth that private flights are only available to the wealthy, well-known, and those who can afford the apparent extravagance is dispelling itself. The number of people boarding private jets is increasing daily.
The market for charter flights is getting more and more diverse, with customers ranging from business travelers who must make last-minute trips or attend important negotiations to families with kids and pets who wouldn’t feel comfortable traveling on an airline.
You are converting your aircraft into a source of income by offering it for charter.
Conclusion
Investing in Private jet management services is the best way to maximize your return on investment when purchasing a private jet.
Owning a private jet opens up a world of new opportunities, and you can simply sit back and enjoy your investment by having your jet maintained by a qualified service provider.
It may take some research to find your ideal aircraft, but once you do, you can relax knowing that your private jet is always available when you need it.
