This story appears in the
April 2003 issue of
Entrepreneur.
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Think a private jet is too expensive for your business? Think
again. "There are a number of new fractional-ownership options
for people without huge travel budgets," says Joe Moeggenberg,
president of the Aviation Research Group, an aviation consulting
company in Cincinnati.
The options-the equivalent of owning a timeshare in a plane-are
becoming popular among small-business owners. A recent study by
J.D. Power and Associates found business aircraft use increased 44
percent in the past year. Why? The study concluded that private
aircraft can save a traveler one whole month per year that would
otherwise be wasted in transit. Here are some options:
- Less is more. For as little
as $100,000 a year, you can partner with other companies to acquire
a share in an aircraft. This could buy you as much as 25 hours of
flight time. You'll need an aviation lawyer to guide you
through the process.
- Hybrid options. Commercial
carriers offer flights combining the best elements of a charter,
commercial and fractional-ownership program. For example, on
Delta's AirElite (www.airelite.com), you can earn frequent-flier miles.
Operators such as Marquis Jet Partners sell flight time in blocks
of 25 hours, which cost $109,000 to $329,000 (www.marquisjets.com) and have fewer strings attached
than a fractional plan.
- Own your own. A 1/16 share
in a Cessna Citation jet-the smallest share currently available
through a fractional-ownership program-costs $200,000 a year for 50
hours of flying time. Check out Flexjet (www.flexjet.com),
FlightOptions (www.flightoptions.com) or NetJets (www.netjets.com).
If you travel to destinations not typically served by major
airlines, spend too much time in transit and spend at least
$250,000 a year on air travel, fractional ownership is worth
looking into.
Christopher Elliott is a writer and commentator and the
editor of www.elliott.org.