A Brief Overview Of Private Jet Aircraft Leasing And Rental
Buying shares in a fractional jet aircraft for sale or leasing jets has truly come up as an excellent alternative for companies due to a number of different reasons like flow of cash or practicality as a matter of fact prominent jet aircraft rental and leasing companies like Nicholas Air brings in a wide variety of rental and leasing options for their clients – each with their individual advantages and disadvantages. In simpler terms aircraft leasing can be considered as the process of transferring an aircraft without transferring the title, as the owner of jet still retails his legal title on it but transfers its possession to the lessee. But as a matter of fact, due to the availability of a variety of options all private jet aircraft leases cannot be covered by this single definition.
As per FAA norms, the regulatory authority of aircraft leasing, these leases are classified in two categories – dry leases and wet leases. Under a dry lease agreement the lessee is provided only with the aircraft without the required crew members but if the leasing company provides even a single crew member it turns into a wet lease. Wet leases are not actually covered by the above mentioned definition for these types of aircraft leases don’t involve aircraft possession transfer and the lessee only maintains the operational control of the jet. Unless there is any specific exemption like an agreement for time sharing wet type leases always require a commercial operating certificate issued by the FAA.
As investing in fractional aircraft ownership follows almost the same basic principle as the fractional real estate industry, an investor actually pays a part of the total ownership cost of the craft and is allocated a certain amount of flying time every year depending upon the size of his investment. Allocated flying hours range between 50hrs to 400hrs. But there is one major difference between the fractional real estate and fractional jet ownership industry and that is most jet leasing companies like Nicholas Air has a whole fleet of aircrafts of various types and sizes and instead of using a single jet every time you fly you are nearly always provided with the jet that is not only closely available but also best meet your requirement in terms of size too in order to make it the most economical for you. Flight range and passenger capacity are the two most important factors those are considered here.
Most private jet aircraft leasing contacts typically cover duration of five years though shorter duration lease contacts are now also available and if you think that your travel requirements are going to change after a year or two, opting for shorter duration leases are no doubt going to be a better choice. Acquisition cost of the aircraft, monthly maintenance fee, occupied hourly fee and other miscellaneous fees like fuel surcharges are also included in the jet rentals contacts and the initial investment may also vary considerably depending upon all these factors those are mentioned here as well as the time duration for which you intend to use the jet annually.
About The Author
Robert Engvall is an online travel writer. Through the various articles that he writes, he reaches out to readers advising them on travelling safely and cheaply. Presence of useful information and interesting tips such as that related to Private Jet aircraft, Jet cards, Jet rentals etc. help in making life a little easier for flyers everywhere.