The surge in private jet travel owes much to increased accessibility. Fractional Jet ownership, where individuals own a fraction of an aircraft, offers reduced costs and risk. Let’s delve into how this model works and its impact on the industry.
One of the significant reasons for the tremendous growth in private jet travel in recent years is the greater accessibility of these jets. Whether it is private or fractional ownership, a charter, or a per-seat fare, private jets have been in more demand than ever.
As the name suggests, fractional ownership allows individuals and companies to own a fraction of the aircraft, thereby reducing capital investment, risk, and operating expenses. Simple Flying compiled a list of various elements of fractional ownership, as highlighted by FlexJet.
Private aircraft management companies offer a variety of fractional ownership programs that differ in share sizes, aircraft utilization, lease term, and other factors. FlexJet states that share sizes of fractional ownership range from 1/16th (50 hours of flying annually) to 1/2 (400 hours of flying annually). These estimates are based on the 800-hour annual aircraft utilization determined by the company.
This article was originally published by CFS Jets on March 27, 2024.
