Case Study: Charter Revenue

Optimizing Charter Revenue for a Private Aircraft Owner

One of my clients, a successful entrepreneur, had recently acquired a midsize jet for his personal and business travel. Although he loved the convenience and luxury of owning a private jet, he was looking for ways to offset the high costs of ownership. He had heard about generating charter revenue during the periods when he wasn't using his aircraft but didn't know where to start.

This is a common situation in private aviation, where many aircraft owners are keen to generate charter revenue but are unsure how to navigate the complex web of FAA regulations and find the right operator. It can be challenging to find an aircraft management company that aligns their interests with the aircraft owners'—some might even have opposing objectives.

As an aviation consultant, I was able to guide him through the process. We began by understanding his planned aircraft usage and revenue expectations. We then analyzed the current aircraft charter market to gain a realistic view of potential earnings. I educated him about FAA regulations concerning aircraft chartering and we reviewed various management companies, assessing their alignment with his needs, their terms, and their track records in charter revenue generation.

With a well-informed strategy, he was able to partner with a reputable management company that not only took care of his aircraft's operations but also successfully chartered his jet when not in use, significantly offsetting his costs. By giving him the knowledge and tools to make informed decisions, we turned a potentially confusing and costly process into a profitable venture, ultimately enhancing his private aviation experience.

This case highlights the value of having a seasoned consultant guiding you through your private aviation journey, making sure your interests are protected and you get the most value from your investment.