Today, we see the number of people buying private jets on the rise. While some of these sales are individuals, most are groups of people or corporations looking for a more versatile, reliable, and affordable way of travel. As you can imagine, a private jet is virtually at your beckon call if you pilot the plane. Even if you need to hire the pilot, chances are you will have several qualified people on-call.
The first private jet was developed by Bill Lear, known as the "Learjet". Back in 1964, the Learjet was a revolutionary plant that allowed the wealthy or corporate executives the ability to fly in style when and where they needed. From that time forward, private jets have changed and improved where you can purchase a full-size jet or a smaller jet for family vacations.
If you are thinking about buying a private jet, the first and most important step you need to take is conducting a cost-benefit analysis. With this, you can determine if the purchase price is worth it based on the amount of travel expected. A good rule to follow is that if you travel between 350 and 400 hours of flight a year, then the price of a private jet would be recouped. If not, then you could always find a partner who flies less than 350 hours as well to go into a joint venture.
Now, one common mistake people make when buying a private jet is not looking into all the hidden costs associated with ownership. For instance, you would have the cost of the jet. Depending one the type and age of the plane, you would be looking at an average price of $6 to $50 million. However, other costs would include the fee for the pilot, unless you fly, fuel, insurance, usage, and catering, if applicable. Therefore, the annual cost of owning a private jet would be around $150,000.
Finally, the purchase of a private jet also includes the factor of flying range and jet size. For instance, if you were to go with a light jet, which averages $5 million to buy, the plane would hold between six and eight passengers, with annual flying miles of 2,000. However, you could move up to a mid-size private jet capable of holding nine passengers and up to 3,000 flying miles, the cost would increase to around $14 million. A full size executive jet would hold 12 passengers and offer 4,000 flying miles for around $30 million average. As you can see, the overall cost depends largely on need.