- Comparing Fractional Ownership to Jet Charter
- The pros and cons to fractional ownership and jet charter
- What fractional ownership entails
There are many benefits and disadvantages of having fractional ownership of business jet charters that you may not be aware of. One of the biggest disadvantages of having fractional ownership is the flexibility that charters have to offer. When in a fractional agreement, the aircraft could possibly be moving to meet demands for travels of all the owners of the aircrafts. This makes it difficult to secure the aircraft for your own travel needs when you need it most especially on short notice and when travel is at its peak. When you are in a fractional aircraft ownership agreement, you will most likely be obligated to travel a minimum amount of travel hours in order to keep your ownership which may be difficult when you cant secure your aircraft.
When comparing the cost of fractional ownership and chartering a jet, fractional jet ownership seems to be more expensive. Having the ability to select the most cost effective aircraft for each flight is the best way to keep the cost down instead of only having one option each time. When chartering an aircraft, you’ll avoid the significant acquisition cost, which are fees such as fuel rates, and a multi year contract that comes with fractional ownership. When using strictly charter companies, you pay by the hour instead of paying for all of the fees that come along with your contract. The average cost per 300 hours of a fractional ownership is about $1.2 million more than just doing regular jet charters. Overall, fractional ownerships come with more headache and cost more money than just using regular jet charter services.