Fractional Jet Ownership
Fractional jet ownership was created in the late 80's when basically the only way to fly privately was by purchasing your own jet. The demand for private jets has increased year after year. With so many private jets around the world, managing companies began to form which created a new niche. The private jet era was upon us, and over the years the demand for private charter flights has increased from having 260 jets worldwide in the 80's to producing over 260 jets per year in the late 90's.
Fractional ownership is a business model of the 80's that has become outdated given that the demand for private jet charter flights has changed in many ways, and new business models have been developed.
Utilizing On-Demand Jet Charter or the new JetCard 2.0 programs from JetHub, you fly when you want, on any aircraft saving you thousands of dollars. Buying into a private jet fractional ownership typically obligates you to predict your aircraft usage for the next 5 years.
One of the heaviest burdens of fractional jet ownership is that you also have fractional responsibility for its upkeep-you'll pay fees on your private jet even when you are not flying. On-Demand and JetCard 2.0 clients get more for their money with no acquisition costs and no monthly maintenance fees.
JetHub also excels over fractional jet ownership in flexibility, by circumventing an oddity of fractional ownership: Often you will not be flying in the jet you partially own. Fractional jet owners often fly in whichever private jet is available at the time, making it difficult to procure a bigger plane if plans change. JetHub builds a personal profile for each client to ensure all private charter flight experiences are tailored to the individual's preferences-plus, JetHub is often able to book flights or accommodate changes within just 4 hours notice.
True Cost of Fractional Jet Ownership
- Fractional jet ownership usually is a 2-5 year commitment
- Acquisition cost are high. A 1/16 share of a $6 million private jet will cost you $375,000
- Maintenance. All fractional jet ownerships require a monthly maintenance fee regardless of whether or not you use the plane. The fee varies according to the aircraft and size of your ownership, but it starts at approximately $6,800 per month
- Occupied hourly rate. Everytime you utilize your fractional jet you need to pay the occupied hourly fee which varies on the program, but usually starts at $1,500 per hour
On-Demand or JetCard 2.0
Fractional jet ownership locks you to a single aircraft limiting you to that aircraft capability. With On-Demand Charter or JetCard 2.0 provided by JetHub you have total flexibility to fly on the best private jet for every trip.
Should you fly On-Demand Charter or buy the JetCart 2.0 program? Consider the following:
- If you fly on a private jet up to 25 hours per year then On-Demand would be an ideal fit.
- If you fly 25+ hours per year on a private jet, our JetCard 2.0 program will give you the greatest flexibility and convenience.