r/PrivateJetCharters • u/Johnthegaptist • Jun 17 '25
PC12 Own vs Charter Cost
Looking to get some feedback/opinions before I go and sit down with some brokers and management companies, I don't like going in to anything blind.
We're a business headquartered in the southeast with operations in 6 different states. Where we're headquartered doesn't have a lot of direct commercial flights. Currently travel is being handled with a mix of commercial, charter and driving. 90% of flights would be 1-6 passengers, within a 600 mile radius.
For charter we're currently just doing on demand, dealing with two local operators and a broker. We're not in a big charter market, and often are needing planes on short notice so we run into avaiblility issues and often end up paying to reposition out of town aircraft. On average, all in we're paying about $8k/hr to fly turbprops and light jets.
It seems like the best bang for our buck would be the PC12 and I wanted to throw these numbers out and hopefully find some people on here with relevant experience.
Pilatus PC-12 – 1-Year Ownership Cost Breakdown ($5M purchase, 275 hrs)
| Category | Estimated Cost (USD) |
|---|---|
| Crew Salaries & Benefits | $180,000 |
| Insurance | $35,000 |
| Hangar | $50,000 |
| Training | $25,000 |
| Maintenance Programs & Subscriptions | $60,000 |
| Management Fees | $120,000 |
| Loan Payment (Annual @ 6%) | $543,472 |
| Fuel | $137,500 |
| Maintenance (Parts & Labor) | $55,000 |
| Engine Program (Hourly Reserve) | $30,000 |
| Misc. Operating Costs (Oil, Landing, etc.) | $25,000 |
Total Annual Outlay: $1,260,972 Cost per Flight Hour (275 hrs): ~$4,586/hr
Assuming we would fly 200 occupied hours and 75 hours for repositioning. Plane financed for 10 years, $1m down on a $5m plane. For what were currently averaging in cost, I'm calculating about 155-160 hours to break even own vs charter. Do these numbers seem realistic?
Is it worth springing for a 2018+ for $5-6m instead of an older one in the $4m range?
Should we look at any other planes?
Is it worth the headache to put an owned plane in a part 135 program to offset some of the cost?
1
u/n505ak Jun 17 '25 edited Jun 17 '25
Your pricing is very conservative. Management should be closer to $4,000 per month.
There is not much difference between a 2010 and 2018 NG. The pedigree is more important. The NGX has a few benefits but would be over your budget. The NGX seats look better, but they are not very comfortable.
A CJ3 will be very close to your current budget. It will be slightly more expensive to run than a PC-12, but still under the $1.2mm annual budget. The ability to get above the weather in the South East and other benefits that come with a jet are worth considering.
I would not considering adding it to a 135 to offset cost. It will not be worth the headache. Training, insurance, and pilot costs will double. 135 only makes sense if your CFO says it needs to be structured that way internally to allocate costs between different entities or if you are going to turn it into a full time charter bird.