Jet Charter News & Articles
Me and My Jet Card
One of the most common questions people ask when buying jet charter services is if they would save money by buying a block of time on a jet as opposed to paying for their jet charter services trip by trip. The practice of block purchases, where you buy a block of time on a specific private jet, used to be fairly common, however, in recent years they have been replaced by the purchase of jet cards. To figure out if buying a jet card is the option that’s right for you, you need to understand what a jet card is and how it works.
When you buy a jet card, you are buying a specified number of flight hours on a specific type of private jet at a fixed rate with guaranteed availability. What that means is that whenever you want to travel, the company administering the program will fly you on the specific aircraft type of your choosing at a guaranteed rate and they can never tell you their sold out. Most jet card programs charge you only for occupied hours of flight which is the time that you spend on the plane and the rates are generally inclusive of all flight charges. In order to buy in to the program, you are required to pre-purchase the time. Initial buy-ins range from as little as $50,000 to $350,000 or more depending on the program you buy in to, how many hours you buy and on what type of aircraft you will fly.
There are many benefits to buying a jet card. You always know that a plane will be available for you whenever you want to fly, notwithstanding black-out dates that some programs have. You can easily figure out how much the trip will cost by getting the flight time and multiplying it by your membership hourly rate. With most programs, the hourly rate is all inclusive so there are no charges if the plane has to ferry and all landing, handling and overnight fees are included.
Not all jet card programs are the same. The prices vary significantly from program to program for the same type of aircraft. Some companies charge one hourly rate per flight hour regardless if the trip is a one-way or a round-trip while some companies have a dual rate, discounting round-trips. Some programs sell you time on a specific aircraft type and have costly exchange rates that penalize you when you need a different sized aircraft while others have complete flexibility of plane built into the program allowing you to fly different aircraft every time with no penalty. Black-out dates and travel restrictions also vary from program to program.
If you’re thinking of buying a jet card, the best first step is to speak to the people who sell them. As them what the benefits are as well as the drawbacks. Ask how the hours you buy will mesh with the travel plans you have. With a little bit of homework, you can find a solutions that’s a perfect fit for you.
Jeffrey Menaged is the President and CEO of Chief Executive Air, a private aviation company specializing in aircraft charters, jet card programs, fractional ownership programs, aircraft sales and acquisitions and aircraft management. Please visit them on the web at www.chiefexecair.com or email Jeffrey at