What Is Fractional Ownership? A Popular Private Flight Option
Those looking to avoid the hassles of flying commercial and are interested in an investment in private flight have many options available to them. Jet cards, charter flights, and private aircraft membership programs all provide access to private flights, but lack many of the benefits that come with owning an aircraft. Fractional aircraft ownership maximizes the convenience of jet cards and membership programs, but also provides value to share owners who want to own but do not want the expense of a whole aircraft.
What Is Fractional Ownership?
Fractional ownership is a percentage ownership in a high-value asset, such as an aircraft, yacht, or vacation property. Shares sold to individuals or businesses provide those shareholders with the benefits of the asset, including sharing its use and maintenance costs.
Fractional aircraft ownership involves purchasing a share in your own private jet, typically a multiple of 1/16th of the full cost of the aircraft. This gives owners an allotment of 50 occupied hours of fractional aircraft use per year.
Benefits of Fractional Ownership
Fractional ownership brings a unique set of benefits other private aircraft programs cannot. Fractional aircraft ownership provides corporations, investors, and individuals a valuable asset that will save them time and money spent on air travel.
As a shareholder in a fractional aircraft program, you buy only according to your flying needs. In return, you have access to an entire fleet of aircraft. PlaneSense, Inc has more than 40 aircraft, including the Pilatus PC-12 turboprop and the Pilatus PC-24, one of the most innovative and versatile business jets in the sky. Guaranteed aircraft availability is difficult to come by in the industry and is not something you will find in charter or other programs. With a fractional program like PlaneSense, aircraft availability is guaranteed with as little as eight hours’ notice.
Efficient Cost Management
Fractional aircraft ownership offers far more certainty to shareholders than on-demand private flight options can, especially when it comes to costs. As a fractional owner, you’ll always know your flying costs and fees up front. Using these other services can mean higher costs during peak times, and less value for money spent.
Included in the cost of a fractional share is a monthly management fee, which covers fixed costs such as pilot compensation and training, insurance, aircraft storage, maintenance, and administration. Compared to whole-craft ownership, where all of these costs are borne by the aircraft owner alone, fractional ownership offers far more value—and less headache.
The intangible value of having a professional management team overseeing the operation and maintenance of a private aircraft share is often undervalued by those considering fractional aircraft ownership. This management team takes the responsibility of pilot scheduling, maintenance, and inspections from corporate administrators and individuals and puts it in the hands of skilled professionals. PlaneSense, Inc. goes even further by not outsourcing pilot and mechanic training, reservations, crew and aircraft scheduling, and fleet operations. This allows PlaneSense to fully manage the quality of the program.
Although whole-craft ownership gives owners the most control, it can also bring frustration. Those who want to use it can be grounded at a moment’s notice when a pilot is unavailable or the aircraft must undergo maintenance. Fractional programs offer access to a fleet of aircraft and a number of skilled, highly-trained pilots 365 days a year.
Investing in private aircraft can be a savvy business move for high-net worth individuals and corporations with private travel needs. With fractional ownership, the value are tied to the asset. If you use the aircraft primarily for business, you can depreciate the acquisition costs 100% under the current tax laws. This is not a benefit of jet card programs or on-demand private flight options.
Discretion and Privacy
Most fractional ownership programs understand the desire for privacy when traveling. For example, PlaneSense keeps the names of all fractional owners confidential. When flying fractional, the pilots, crew, and other staff provide top-level service and exercise discretion with every owner, ensuring their privacy is maintained.
The PlaneSense Advantage
The PlaneSense® fractional program is an industry leader in private flight that stands out among competitors because of its access to thousands of airports and flexible plans to suit any flying profile.
Owners invest in the PlaneSense fractional program because it offers a superb product at a cost that can be half of other fractional ownership programs. PlaneSense, Inc. has earned a reputation for being sensible, service oriented, and cost effective. The program has benefitted from many owner recommendations who appreciate the dedicated and reliable management that ensures a luxurious, comfortable, and safe experience on every flight.