Private Aviation:  What You Need to Know Before Flying Private

By Tara Jones, CGSP, Managing Director and Head of Lifestyle Services for Cresset

When someone sells a business or experiences a liquidity event, flying privately often soars to the top of their wish list for their newfound wealth. After all, who wouldn’t want to avoid the headaches of flying commercial? With the private aviation market booming – private flight activity has grown by more than 30% since 2019^[i] – there’s no shortage of options available. In fact, there are more than 80 jet card providers and over 3,000 charter brokers. With so many choices, it can be overwhelming to figure out which option is right for you. To make things easier, I’ve broken down the key categories of private aviation and what you need to know about each one. 

Chartering

Chartering a private plane, which involves reserving an entire aircraft for a specific trip or itinerary, is typically the recommended solution for those who are new to private aviation. Some of the key attributes of charting a plane include:

• No upfront costs or commitments – pay as you go.
• Pricing fluctuations based on supply and demand.
• Ability to fly with pets.
• No need to forecast what your flying needs will be beyond your next flight.
• Flexibility in scheduling and a personalized flying experience.
• Expedited travel – arrive to the airport FBO 30 minutes in advance of departure, rather than deal with potentially long TSA lines.
• Flexibility to experience different jets with different passenger capacities.

To charter a plane, most individuals work through a charter broker, such as JetWay Private Air, Titan Aviation, or Apollo Jets. Be sure to ask the charter brokers you are considering about the following:

• Safety standards. It should go without saying that safety should be a top priority. WYVERN and ARGUS are independent companies that provide safety ratings and certifications to charter operators. Argus Platinum and Wyvern Wingman are recognized certifications that demand strict safety requirements, including a clean safety record for at least two years, the use of safety management systems, regular aircraft maintenance, and extensive pilot training.
• “Out-the-door” pricing. Some charter brokers quote all-inclusive pricing, others don’t. Ask if quotes include taxes/fees, and if not, what additional costs to expect. For example, it’s typical for deicing to be an add-on fee.
• Process for recovery. Mechanical issues, weather delays, etc. are common when flying.  Make sure you work with a broker who is responsive when a recovery plane is needed… rather than leave you stranded. Ask what their recovery process is and if that includes an additional cost to you. The better charter brokers have a recovery aircraft on standby.

Chartering may be the right solution for you. Alternatively, some people prefer predictability such as fixed hourly pricing, fleet consistency, and guaranteed availability. Some people like to prepay for flight hours or deposit funds into an account, which can then be used to book private flights at fixed hourly rates.

Jet Cards

Jet cards, such as those provided through NetJets, Sentient, Flexjet or VistaJet, are another option for those exploring private aviation. A jet card allows individuals to purchase a set number of flight hours (25-hour and 50-hour jet cards are quite common) on a private jet, typically at a fixed hourly rate. Below are a few tips for considering jet cards.

• Buy only the hours and size of plane you need. Be mindful to not overcommit, as most jet cards are nonrefundable. Only buy the number of hours you will actually use within the term of the contract. Also, be mindful of the size of plane you need. Most jet cards allow you to purchase a block of hours on a specific category of aircraft (light, midsize, super-midsize, or heavy). Some providers require you to select a specific aircraft within a category, such as a Cessna Citation Latitude (mid-size jet) or Bombardier Challenger 350 (super-mid-size jet). Research and know what size jet you need based on typical travel distance and how many people are likely to travel with you on a regular basis.
• Jet cards are not “one-size-fits-all”. Think through what is most important to you and your family when weighing jet card providers. Not all jet cards are created equal, and there are various priorities to consider: Are you more comfortable with fixed hourly pricing, or are you okay with variable hourly pricing? How important is fleet consistency to you? Do you place a higher priority on scheduling flexibility or sustainability/emissions offset programs? There are multiple potential tradeoffs that should align with what you and your family are looking for.
• Check blackout dates. Before committing to a jet card, make sure you are aware of any blackout dates. Some providers have no blackout dates, others have up to 90 days per year that 25-hour jet card holders can’t fly, as their fleets are reserved for fractional owners. Typically blackout dates fall on the peak travel days, such as the Sunday after Thanksgiving, the weekend before Christmas, January 2, etc. So, check that out if you plan to fly during the holidays or other peak times.

Fractional Ownership / Buying Your Own Jet

Fractional ownership requires a longer commitment of 3-5 years, as you are literally buying partial ownership in a plane. This is typically not recommended until someone has flown privately, either through chartering or jet cards, for some time and has confidence that they know how much they will be flying privately going forward. The more flight hours you anticipate, the more sense fractional ownership makes.

Before you buy your own jet, consider the total cost of ownership, which can be significant. This generally includes the purchase price, ongoing maintenance, fuel, insurance, hanger costs, salary and benefits for pilot and crew, etc. These costs can amount to hundreds of thousands of dollars a year, above and beyond the actual cost of the plane.

With so many options available, now is a great time to explore private aviation. However, before you take off, it’s important to weigh all your choices and consult with experts who can help you navigate the pros and cons of the various ways you can fly privately.

Contact us to explore the best private aviation option for you and your family.

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^[i] Source: https://privatejetcardcomparisons.com/2024/05/16/private-jet-flight-activity-analysis-2024-week-19