Cheapest Jet Plane to buy

What is the best way to buy a corporate jet?

Purchasing your own personal jet is a major capital expenditure for an organization or a wealthy person. The assumption is that purchasing an airplane is only economical if you have to spend more than 400 flying hrs per year - on average about 8 flying hrs per workweek. Anything under 400 hrs would probably be better off if you considered a fractal ownership programme like that of Netjets, the market-leading company, or a bloc hour ticket.

Purchasing a personal jet is for those who want to keep a grip on an airplane. Multinationals are known for purchasing their own jet fleet, but will also use extra jet charter capacity to meet their needs. A number of things need to be taken into consideration when you are considering purchasing your own aircraft:

What kind of airplane do you need? The following sections can be used for dividing jet aircraft: Extremely lightweight jets - A VLJ has small 4-6 seat staterooms and can fly less than 2 1/2 hrs on shorter routes with a cruising distance of around 1,200 mile. It is the cheapest kind of jet plane with listed fares of up to $5 million.

Aircraft - These lightweight and multi-purpose aircraft can transport 6-8 passenger up to 2,000 mile. Schedule pricing varies between $6 million and $12 million. Intermediate Jet - Intermediate and large mid-size jet aircraft capable of carrying up to 9 occupants on transcontinental services with a cruising distance of up to 3,500 mile. These long-haul companyjets have intercontinental flight capacities.

It has a cruising distance of 4,000 mile and can take 9 occupants and 2 crews. Privatjets are often used by top athletes - especially in highly payed sport like F1, tenis and gulf. Tiger Woods Golfer own a long-haul Gulfstream G550 plane that can transport 14-19 persons up to 6,750 mph.

Most of the sport star that fly privately owned jetliners, however, are inclined to either charters or use hours/fractions. When you buy a new plane directly from the builder, you can probably get a rebate on the listed one. It is an edge over fractions property programmes where you are paying the full sales cost of your interest in the airplane.

Purchasing your own airplane also means that you can design the cabin according to your own wishes - there are no boundaries as to what it can costs! Besides directly purchasing from manufacturer, there are traders and broker who are selling new and used planes - even though you do your housework on every business you do.

The purchase of a used airplane may at first be less expensive, but maintenance cost will be higher to make the airplane fully comply with air traffic rules. Legacy jet thrusters are less efficient and you may need to retrofit the avionics system on the airfloor. Make sure you always get a proper service to inspect all the planes you want to buy and try to make a test one.

It has a total of 4 long-haul aircrafts in its own hands at Rotterdam-Den Haag International Airports and has its own crews and service people. At $53 million, the tri-jet 77X can take up to 19 people. Operating in many distant parts of the globe, Shell makes jet engines an indispensable tools for managing between local office and sales force.

They have to fund the plane and confer with bookkeepers, financiers and aerospace pros to find the optimum purchase option for the duration of the property. A very important issue is the write-off of the plane. After 5 years, a new airplane loses a considerable part of its value from the listed fare, according to airplane model and flight time.

Ensuring a very good original acquisition will allow you to slightly cushion the effects of write-downs. Lastly, it should be noted that any possible economic downturn in the near term will significantly reduce the price of planes from the run on the liquidation of asset values! Let's look at the estimated operating cost of a new mid-size jet. The majority of operators will delegate the management of an aeroplane to a licenced aeroplane operating company.

Yearly administrative expenses of the plane would amount to about 400,000-500,000 US dollars. It includes overhead expenses such as regular servicing, insurances, pilots and crews, trainings, avionics upgrade, meteorology, hangar charges and park. Plus another $100,000 for unscheduled service and costly airplane parts. Remember that in the course of a year an airplane will need about a whole month to be maintained as planned - plus downtimes for urgent overhauls.

You may need to use jet charter to meet the period when your airplane is not available. This would have you your varying rates depending on how many flying lessons you have and where you are going. Approximately 1 million dollars can be expected for 400 flight operating hours above all for petrol, but also for landings, airports and de-icing costs.

Of course, your propellant usage depends on the airplane dimensions. The operating cost for such a medium-sized jet could therefore be around 3 million dollars a year. They can also choose to rent the plane to third party if it is not used - although this will generate additional revenues, it will mean more working time for the plane, which means additional maintenance and quicker amortisation.

To sum up, when buying a personal jet, you should select your model with care, discuss financing with airline experts, and consider your company's total cost of ownership.