Tag Archives: Air Charter News

Largest VLJ Air Taxi Operator Is Created With Wijet Acquisition of Blink

Air-taxi firm Wijet is acquiring very light jet (VLJ) charter operator Blink, forming “the world’s largest” VLJ air-taxi provider, the european companies announced. The transaction will result in a new company, Wijet Group, with a combined fleet of 15 Cessna Citation Mustangs. Blink will join Wijet on the real-time european booking platform OpenJet.

The Wijet and Blink fleets and operator info is available in FlightList PRO.

Wijet Group, the holding company for Blink UK and Wijet France, will have joint CEOs: Corentin Denoeud and Cameron Ogden. Combined, it will have €18 million in revenues this year, and this is forecast to rise to €28 million, with 11,000 flights and 16,000 passengers, next year.

Blink and Wijet have operations in London, Paris and northern Italy. “By combining the two companies, the joint customer base will provide strong demand across western Europe,” the companies said. In addition, Blink’s established maintenance and operations capability will remain in the UK and Italy, while Wijet will continue to service its client base from Paris, along with key head office functions.

Initially, the aircraft will continue to operate under the Blink and Wijet colors before “gradually merging” into a new combined brand.

Source:  Aviation International News

Phenom 100 Scheduled Service Launched by JetSuiteX

New public charter service JetSuiteX is introducing service between Carlsbad and San Jose, CA, starting October 17th. JetSuiteX is offering “private jet travel” but is sold by the seat at commercial rates. Seat fares for the new San Diego County – Bay Area route will begin at $499 each way, according to a press release by the company.

Image: JetSuite

JetSuite Phenom 100 aircraft.  Image: JetSuite

JetSuiteX will connect McClellan–Palomar Airport with Mineta San José International Airport with four roundtrip flights per week – a 7:45am departure from Carlsbad and a 5:00pm return flight from San Jose – on Monday, Tuesday, Thursday and Friday, on a four-seat Phenom 100 aircraft. The public charter operator launched service in April, and currently offers regular flights on 30-seat E135 aircraft in major west coast markets, including Las Vegas, Burbank and Concord in the East Bay.

Flight frequency along JetSuiteX’s other San Jose “Tech Charter” route to Burbank will also increase starting on October 17th, with two round-trip flights daily and fares starting from $129 each way.

“We are thrilled to introduce service between San Diego County and the Bay Area, adding yet another JetSuiteX destination,” said JetSuite CEO Alex Wilcox. “Our new route is the first publicly available non-stop service to the Bay Area in at least 20 years. This service, in combination with our BurbankSan Jose service and seasonal San JoseBozeman, MT route will make San Jose a cornerstone of JetSuiteX offerings.”

JetSuiteX provides many of the comforts usually associated with private jet travel but for the price of a traditional airline seat, offering:

  • Private jet terminals (FBOs) so the experience is faster and more comfortable, with no airport terminal delays, security lines, waiting for gates or long walks through terminals;
  • 4, 6, and 30 seat jets, each with legroom comparable to domestic airlines’ business class service;
  • Individual power outlets;
  • Free WiFi and inflight entertainment onboard streamed to passengers’ personal devices, and;
  • A spacious, extra soundproofed cabin interior covered in soft leather.

Unlike alternative offerings, JetSuiteX clients don’t need to pay a monthly subscription, or travel in small propeller airplanes.

Source:  Company press release

Operator Latitude 33 Aviation Now Handles Jet Source’s Charter Requests

Latitude 33 Aviation, the growing operator of newer light jets from Southern California, has been selected as the exclusive private jet charter operator to handle requests to Jet Source, Inc. for charter operations. Jet Source, Inc. has been an award-winning full service fixed-base operator (FBO) at San Diego County’s McClellan-Palomar Airport for nearly 20 years.

Latitude 33 Aviation expands private jet charter operations to include Jet Source Inc. charter requests.

latitude-33Latitude 33 Aviation’s experience and industry reputation were cited as factors for the selection.

Jet Source, Inc. will continue to provide full FBO services including maintenance, fuel and ramp service. All charter flight requests received by Jet Source, Inc. will be forwarded to Latitude 33 Aviation. Telephone calls and emails will be routed to Latitude 33 Aviation’s charter department, and advertising space will be provided inside Jet Source, Inc.’s lobby.

“We are excited to work with Jet Source, Inc. to provide our exceptional services to a wider audience and help more travelers experience Latitude 33 Aviation’s renowned customer service and refined VIP treatment,” said Casey Miller, President of Latitude 33 Aviation.

Solomon Short, Latitude 33 Aviation’s Director of Operations, added, “Our growing charter fleet – including over a dozen Citation M2, CJ2+, CJ3, CJ3+, CJ4 aircraft, as well as our recently added Phenom 100 and 300 models – allows us to complete more trips and provide increased operational efficiency. We are well-positioned to handle the increased demand as we service Jet Source, Inc.’s former charter clients.”

Source: Latitude 33 press release

Operator ATI Jet Begins Conversion to All-Lear 60 Charter Fleet

From the El Paso Times;

“ATI Jet Inc., the Southwest’s largest based jet charter company has begun pre-purchase on two Learjet 60 aircraft.  ATI’s President Lyle Byrum expects the aircraft to be in service by August of 2016.

ati-jetATI Jet Inc. operates a fleet of Learjet 55 medium size jets with over 500 customers in the U.S. with its main base of operations in EL Paso Texas and satellite base in Vail, Colorado.

Mr. Byrum stated the company plans to upgrade it entire fleet of 7 jet aircraft to Lear 60’s within the next two years.

The Lear 60 is considered to be the most popular, efficient and best performer of all Mid-Size jets.  The aircraft is capable of flying coast-to-coast non-stop and carries 8 passengers.  It has a service ceiling of 51,000 feet and is all weather capable.  It is equipped with a full service lavatory with hot water, oven full-equipped galley, luxurious cabin, complete entertainment center, state of art avionics and WI-FI.  Over 400 Lear 60’s are in service.

ATI Jet Learjet 55

ATI Jet Learjet 55

ATI Jet Inc. has logged over thirty one million flight miles of accident free jet charter service.  It is GOLD RATED CHARTER COMPANY by ARGUS, The countries largest rating service company.  INC Magazine also rates ATI in the TOP 100 Transportation Companies in the U.S.”

From: El Paso Times

Forbes.com article: Air Charter, Brokers, Operators, Marketing; the digitalization and democratization of private jet travel

The digitalization and democratization of private jet travel; brokers, operators, marketing, apps, PR.

Is XOJET Finally Solving The X’s And O’s Of Private Jet E-Commerce And Democratization?

By Doug Gollan, Sept 22, 2016, Forbes.com

Forbes.com logoThis column will cover the digitalization and democratization of private jet travel, two of the hottest topics in private aviation, but one where the PR spin often operates at a much higher altitude than reality. It’s a somewhat complicated story that doesn’t fit neatly into a tidy box, so let’s start with a bit of background.

Lot’s of private jet brokers have invoked Uber in launching their booking apps. And true, like Uber, these brokers neither own nor operate the aircraft they are selling flights on. However, the process of securing a private jet is not nearly as streamlined as you tapping on your smartphone, having a driver four blocks away press accept, and show up seven minutes later.

The process of chartering a private jet involves lots of people, expensive and highly sensitive assets, and lots of moving pieces. There is you, the person who wants to charter the plane. Your assistant is probably involved as well, getting quotes, and dealing with logistics such as catering, names and IDs for the manifest, coordinating ground transport, and coordinating the FBOs (private jet terminals) you are using. There are also the people traveling with you, who need to know where to be and at what time.

xojet1

If you are traveling with lots of luggage, somebody needs to check how many golf bags the plane will take? Range of planes varies based on load. Weather and altitude of the airport you are flying in and out of impacts jet performance. The heavier the plane with passengers, baggage, and fuel, the more fuel burned, thus the shorter distance it can fly. Prevailing winds might require the aircraft type you favor to need a fuel stop in certain months of the year. Do you care what type of lavatory your plane has? Some have only a pull around the curtain, others are closeted off. Some, even at that are fairly small. Do you have any extra tall travelers? Private aircraft are tubes, some of which might be uncomfortable for very tall travelers. Larger jets have more headroom. If you have pets or kids, again, that can be an issue.

All 7,598 charter aircraft and 1,633 operators are available ONLY in FlightList PRO.

Most of the 7,000 private aircraft in the U.S. licensed for charter are owned by individuals or companies that then hire aircraft management companies to operate the planes on their behalf, including working with thousands of third party brokers to charter the plane when the owner isn’t using it. In other words, the broker is dealing with a management company, not the actual owner in many cases. Each owner has his or her own set of contractual rules when it comes to chartering their planes. Some don’t want pets or kids. Others only want to charter their jets for longer flights. Expensive maintenance is driven by the number of landings and takeoffs, so an owner might not want to charter her new $50 million Gulfstream for short hops between Boston and New York, but would be OK if you want to go to London or Los Angeles.

What’s more, in securing a specific plane for a charter, availability can be impacted by unscheduled maintenance issues that come up between when you book your charter and when you fly, as well as weather issues, crew availability and so forth. Sometimes the owner decides he wants to use his jet on short notice. Unlike commercial airlines with sophisticated fleet management systems and large pools of similar planes and crew they can shuffle around, owners often configure their jets slightly differently, to their own needs and tastes, of course. Cockpits are not always configured the same and differ by age of the jet, so if one jet goes tech, and your broker finds a replacement, the operator needs to find crew qualified to operate it and get it positioned to where you are being picked up.

All of the above makes the idea of a simple click-and-buy “Uber” for private jets app an oft-used, but empty analogy as management companies generally need owner approvals or need to see if they will make exceptions, a manual process.  It’s also just a very complicated process, where as a consumer, there are some true benefits of dealing with an expert broker who is familiar with the various charter fleets, where they are based, and which planes are generally available.

That said, there are exceptions to the above. Some owners give management companies carte blanche, and then there are several fleet operators that own the planes they fly and make them available for on-demand charter without any upfront fees. Two of the largest operators that own their jets are XOJET and TMC, which together have over 100 jets, 41 and 65 respectively. As of June, they now have common ownership via TPG Capital, although they continue to operate independently. Other big players in the on-demand charter market that own the jets they operate are VistaJet and JetSuite. WheelsUp is similar, with the difference is you have to pay a membership fee and its focus is turboprops.

The second issue is “democratization” of private jet travel. Another term used liberally in private aviation company press releases, it underscores that such descriptors are relative when democracy comes at a price of $4,000 per hour. Compared to shelling out tens of millions to buy a jet, millions of dollars for fractional ownership, or hundreds of thousands for a jet card, yes there has been progress.

xojetBradley Stewart, the President, and CEO of XOJET, describes the traditional market for private jet travel as “the top 10 percent of the one percent,” so folks with a net worth of $30 million and annual incomes in the multiple millions of dollars.

At the same time, SurfAir and JetSuiteX, a JetSuite offshoot, have been expanding the market with hybrid models. Each fly what are essentially scheduled services using FBOs, thus enabling customers to show up 15 minutes before their flight and jump aboard, leaving behind airport hassles, a key benefit of private travel. In the case of the former, it’s a membership model where you pay $1,950 per month, then fly as much as you want on its network, principally within California. With the latter, you simply buy a seat at prevailing fares on its website, similar to booking a commercial flight. Fares run as low as $129. Its routes right now are mainly in the West, and by next year at this time expects to have 10 Embraer 135s with 30 seats buzzing around. Travel blogger The Points Guy wrote of his JSX flight “not dealing with TSA was a huge plus.”

In both cases, you are buying a seat or the opportunity to reserve a seat. There are other passengers on the flight. Seating is closer to commercial airline economy class than Donald Trump’s Boeing 757, and there is a set departure time you need to be there for, or you miss the flight…

Full Forbes.com Article Here

The author Doug Gollan is Founder and Editor-in-Chief of DG Amazing Experiences, an e-newsletter for private jet owners.

XOJet and JetSmarter Partner Up with Real-time Booking App

On-demand and membership private jet charter firm XOJet today announced a strategic partnership with online charter broker JetSmarter that will combine the former’s service and fleet operations with the latter’s digital distribution capabilities. As part of the alliance, XOJet has named JetSmarter the exclusive digital distribution channel for the company’s fleet of midsize jets.

The core of the partnership is an XOJet-branded mobile app that allows clients to book real-time charter on its fleet of Cessna Citation Xs and Bombardier Challenger 300s. It will use JetSmarter’s technology and be available early next year. In addition, XOJet clients can book shared charter flights, shuttle flights by the seat and last-minute deals via the JetSmarter app. Meanwhile, through the JetSmarter app, members will receive real-time availability and preferred pricing at XOJet, comparable to the operator’s Preferred Access and Elite Access program clients.

Access to XOJet’s charter fleet will be available on the JetSmarter app starting October 1. The JetSmarter andXOJet apps will both be available for iOS and Android devices.

Source:  AIN Aviation International News

Charter Operator Solairus Aviation Named One Of Best Places To Work

Charter operator and aircraft management firm Solairus Aviation was named as one of the Best Places to Work by the North Bay Business Journal.

Solairus is one of ten Best Places to Work award-winners who appeared for the first time in the 2016 survey.

Solairus Aviation jet charterSolairus Aviation (2009, 84 employees) specializes in aviation asset management and optimization solutions, and offers private jet charter flight services at 40 U.S. locations.


Excerpt from NORTH BAY BUSINESS JOURNAL, Sept 19, 2016;

bestplacestoworkSOLAIRUS AVIATION

FIRST-TIME WINNER

PETALUMA — Focused on delivering exceptional private jet charter flight services and outstanding asset optimization solutions that go above and beyond standard offerings, Solairus Aviation is an aviation services company with 40 base locations in the U.S. whose core business is assisting owners with the safe, reliable, and economical operation of their aircraft.

“My company recognizes the contribution of the individual as well as the contributions of our team of 84 employees with equal fervor. There is a philosophy in place of doing what is necessary to improve the company by improving the individuals within.“

Co-owner John King says, “It’s the most entrepreneurial environment with a group of employees who rally around a shared vision with the enthusiasm of providing quality to our clients. The Solairus’ culture fosters teamwork and individuality with a wellness philosophy to support the growth and development of each employee.”

Management has grown the company be a world-class operation with a human touch. “Our CEO Daniel Drohan personally researches and sends out an email, every holiday, acknowledging those who are working the holiday and thanks them for their support — How cool is that!”

Solairus has a realistic and thorough training praised by the staff. “I’ve never felt rushed or overwhelmed during my training. The company has allowed me to develop and flourish in my position at a sustainable speed.”

“From the clients to the crew, everyone wants to do right by the people who make up this company.”

Source: North Bay Business Journal, Gary Quackenbush / Brad Bollinger

Charter Operators Clay Lacy Aviation and Key Air Merge

Van Nuys, California-based aircraft charter, management, FBO and maintenance firm Clay Lacy Aviation is merging with Key Air, an aircraft management and charter company in Oxford, Connecticut. The Keystone Aviation FBO, a sister company of Key Air, is not part of the transaction.

The entire fleets of both Clay Lacy Aviation and Key Air are ONLY available in FlightList PRO.

After a transition period, the combined company will move forward as Clay Lacy Aviation, representing more than 75 aircraft in 15 U.S. locations, along with FBOs and maintenance centers in Van Nuys and Seattle and standalone maintenance centers in Carlsbad, California, and Oxford. A Clay Lacy spokesman told AIN that integration of the two companies is under way at the U.S. FAA level and should be completed by year-end.

“Our clients asked us for a larger presence in New York, and this is the first of several strategic steps to expand our East Coast services,” said Clay Lacy Aviation president Brian Kirkdoffer. “We now have a team of aviation experts on both coasts, focused on providing safety, service and value in the business aviation industry.”

From:  AIN Aviation International News

Twelve Jets Join Clay Lacy Aviation Fleet

Clay-LacyClay Lacy Aviation, one of the world’s largest charter operators and aircraft managers, announced it has added twelve business jets to its expanding fleet since the start of 2016. The new additions include seven long-range, large-cabin aircraft, two super-midsize jets, and three light jets from Bombardier, Dassault Falcon, Embraer and Gulfstream. Nine of these aircraft will be available for private jet charter.

The entire Clay Lacy fleet and operator details are available ONLY in FlightList PRO.

Joining the Clay Lacy jet charter fleet in Los Angeles are a Bombardier Global Express, Gulfstream GV, Falcon 900EX EASy, Falcon 2000, Challenger 300Gulfstream G200 and a Learjet 45. Also for private jet charter are an Embraer Legacy 600 in Las Vegas and a Learjet 45XR in Portland, Oregon.

Source:  Clay Lacy Aviation Press Release

A State-By-State Guide To Private Jet Travel

by Doug Gollan, Forbes.com 8/26/16

Florida, followed by Texas and California had the most private jet departures over the past six months, according to a report released earlier this week by ARGUS International, a company that tracks private aviation activity. Of course, the report needs a bit of context. New York is only ranked seventh, but many Manhattanites use Teterboro Airport in New Jersey for their private jet flying. New Jersey was ranked fourth. Vermont had the lowest activity, with only 2,007 departures during the period.

Articulated another way, the 135,338 departures in the period from Florida equate to 722 flights per day. American Airlines, which operates the largest hub in the state, at Miami International Airport, has 352 daily departures.

A growing number of private jets sit parked at Scottsdale Airport back in February. With the Phoenix Open PGA golf tournament in town the private jet traffic into the Phoenix-area airports was expected to increase. (AP Photo/Ross D. Franklin)

Overall, during the six months, ARGUS tracked 1,293,348 U.S. private aviation departures over the six month period. American Airlines, operating about 6,700 flights per day, would have operated about 1,250,000 flights worldwide during the same period. United Airlines puts its daily departures at 4,550, so 850,000 departures every six months. Southwest says it operates 3,900 flights per day, or 729,300 flights every six months. So one point you can take away, is that while private aviation is a fragmented industry, its combined flying based on departures, would rank it alongside the largest U.S. airlines.

The report tracks aircraft operated under Part 91, which includes corporate flight departments and fractional operators, and Part 135, which covers the companies that offer private aircraft charter.

Among some of the other interesting data points, Thursday is the most popular day for flying privately, followed by Wednesday and Friday. Also, nine of the 10 busiest days were Thursdays, the exception being Friday before President’s Day.

Overall, private aviation activity increased five out of six months with flights rising by 3.1 percent, and flight hours up by 2.7 percent, meaning shorter flights, a possible reflection that the biggest times savings of flying privately are on shorter flights where when flying commercially a disproportionate amount of time is wasted getting in and out of the airport.

ARGUS is also bullish for the next three months, projecting a 3.4 percent increase in flights for the August to October period.

Departures January to June 2016:

State Departures
1 Florida 135,338
2 Texas 129,458
3 California 129,220
4 New Jersey 48,124
5 Georgia 47,644
6 Colorado 42,472
7 New York 40,523
8 Illinois 38,955
9 North Carolina 35,943
10 Ohio 32,478
11 Arizona 31,466
12 Tennessee 30,449
13 Virginia/DC 28,723
14 Pennsylvania 27,685
15 Michigan 26,012
16 Missouri 23,660
17 Nevada 23,560
18 Louisiana 21,723
19 Minnesota 21,720
20 Massachusetts 21,371
21 South Carolina 21,297
22 Indiana 20,886
23 Kansas 20,406
24 Alabama 20,353
25 Wisconsin 19,575
26 Washington 18,340
27 Arkansas 16,447
28 Oklahoma 16,310
29 Oregon 15,063
30 Maryland 14,316
31 Nebraska 13,761
32 Utah 13,527
33 Kentucky 13,382
34 New Mexico 13,090
35 Iowa 12,458
36 Mississippi 12,209
37 Montana 11,198
38 Alaska 10,882
39 South Dakota 10,649
40 Idaho 9,895
41 Wyoming 9,183
42 North Dakota 8,591
43 Connecticut 7,580
44 Hawaii 6,082
45 New Hampshire 4,865
46 West Virginia 4,740
47 Maine 4,258
48 Delaware 3,226
49 Rhode Island 2,248
50 Vermont 2,007

See the article at Forbes.com
by Doug Gollan, contributor

Charter Operator Jet Edge International Posts Soaring Numbers

Charter operator Jet Edge International, an industry specialist in long-range and large-cabin private jet charters, announced key business performance indicators that highlight the company’s success, according to a company press release.

“Five years post acquisition, Jet Edge has gained significant distinction by climbing to the top in the business aviation industry and surpassing prominent veteran operators in overall flight hours, safety policies, fleet size, and charter flight activity”

Jet Edge LogoAccording to the company, by total hours flown, Jet Edge is ranked eighth in Aviation Research Group’s “Top US Part 135 Operators” mid-year report, 2016. With nearly 9,000 charter hours flown on-fleet by the midpoint of the year, this ranking establishes Jet Edge within the top 1 percent of more than 1,000 charter operators globally. Last month, Jet Edge ranked first by a magnitude greater than 10 percent when calculating average distance per flight segment, or cycle, on the company’s large-cabin fleet with 1,198 nautical miles per flight segment.

Earlier this year, Jet Edge reached another key milestone by ranking within the top ten domestic charter operators of 2015 by charter hours flown throughout last year. In 2016, the company is on track to move within the top six domestic charter operators by total charter hours flown.

The entire Jet Edge fleet and operator details are available ONLY in FlightList PRO.

Since its acquisition in late 2011, Jet Edge has grown by double digits in nearly every business metric year-over-year, including revenue, staff members, and fleet size. Jet Edge has already added 13 charter jets to the company’s charter fleet in 2016, with another eight in the pipeline for delivery later this year. In June 2016 , Jet Edge announced that it had reached the coveted fifty aircraft milestone, positioning the fleet as the sixth largest charter company by fleet size and second largest exclusively large-cabin fleet in the U.S.

Noted by the company as contributing to its increases are key partnerships they established this year, as well as the company’s existing partnership with Asia Jet in Hong Kong. Additionally, newly established strategic marketing partnerships and large-volume supplemental lift agreements have increased the company’s flight activity by more than 40 percent this year, providing consistent charter revenue to both the company and Jet Edge’s aircraft owners, according to the release.
“Five years post acquisition, Jet Edge has gained significant distinction by climbing to the top in the business aviation industry and surpassing prominent veteran operators in overall flight hours, safety policies, fleet size, and charter flight activity,” said Bill Papariella, chief executive officer of Jet Edge.

Jet Edge also added several new key personnel in management, flight operations, and sales this year.

“As our company grows, we’re reminded of the outstanding contributions that every member of our staff brings to Jet Edge, further ensuring our success,” added Geoff Makely, executive vice president and general manager for Jet Edge. “The company absolutely embodies the modern workplace by providing an environment that welcomes new ideas from every staff member, invests in cutting edge resources across every department, and fosters both employee and client loyalty.”

Source:  Company Press Release

Bliss Jet Launches Individually-Ticketed Private Jet Passenger Service New York To London

Bliss JetBliss Jet announced yesterday the first individually-ticketed private jet flights between New York and London on a regular schedule, according to a press release from the company. This new service offers sophisticated travelers an ultra-exclusive transatlantic travel experience that is significantly more efficient, convenient and secure than the airlines’ first and business class products.

Pre-screened travelers, who are accustomed to flying private or in premium cabins, can begin taking advantage of Bliss Jet’s new class of service between New York’s Westchester County Airport and London’s Biggin Hill Airport in September. Bliss Jet is now accepting reservations.

According to the Bliss Jet website, the leadership team consists of David Rimmer, Toni Drummond, Omar Diaz and other familiar names in the U.S. jet charter industry.

“Bliss Jet is for people who schedule time in minutes, not hours,” says President and CEO David Rimmer. “We will cater to discerning, intercontinental travelers who seek a unique, private jet experience that is superior to any scheduled premium cabin service, yet far more cost-effective than bespoke private jet charter.”

Bliss Jet’s premier service will enable busy travelers to circumvent the hassles of flying from congested major airports. According to the company, Bliss Jet passengers can expect to:

• Arrive at the airport only 30 minutes before departure
• Board an aircraft just a few steps from the private terminal
• Benefit from discreet, highly professional security
• Avoid lengthy airport and flight delays
• Proceed rapidly through boarding, deplaning and customs
• Arrive faster at their final destination with immediate baggage retrieval and ground
transfers

“We are offering all the advantages of a private jet experience on optimally-scheduled flights that bypass the inefficiencies of business class travel,” Rimmer says. “Not since the days of the Concorde has a door-to-door journey between New York and London been this fast or refined.”

Bliss Jet passengers will be able to choose custom meals from an extensive menu, access a variety of inflight entertainment options, and connect to worldwide Wi-Fi. Upon request, Bliss Concierge services will arrange ground or helicopter transportation, or private charters for passengers flying to another location.

Bliss Jet flights will depart from New York on Sunday nights so that passengers will arrive at London’s uncrowded Biggin Hill Airport refreshed, relaxed, and ready for a productive work week. Return flights depart from London after lunch on Friday so passengers can schedule morning meetings and arrive back in the United States for a family dinner or a Broadway play. Travelers accustomed to private jet charter will appreciate that Bliss Jet provides virtually the same amenities at a fraction of the cost. Seats on the 14-passenger jets will cost $11,995 each way. Unlike crowded business class sections, Bliss Jet will limit seat sales well below the maximum aircraft’s capacity for extra comfort.

“Bliss Jet security will be supervised by top global firms in New York and London to ensure the safety and security of everyone on board,” Rimmer says. “Our security team, complemented by high-level security intelligence, will provide comprehensive, discreet coverage that far exceeds regulatory requirements and the industry’s best practices.”

Every flight will be operated by a highly-experienced carrier and crew on aircraft judged superior by respected third-party safety audit standards such as Wyvern Wingman, ARGUS Platinum ISBAO and the Air Charter Safety Foundation. The initial schedule of flights will be operated for Bliss Jet by Jet Access Aviation under a Public Charter approval from the U.S. Department of Transportation.

Bliss Jet CEO David Rimmer is an experienced premium air travel and charter industry innovator. He will lead a seasoned team of private jet professionals who will ensure Bliss Jet passengers receive the highest level of customer service. A pioneer with more than 15 years of private aviation leadership experience, Rimmer has created exponential growth and generated significant success in the private aviation market by championing industry-leading safety standards and business practices.

“Throughout our careers in private aviation, the Bliss Jet team and I have catered to the needs of the world’s most prominent and successful people, including CEOs, heads of state, royalty, film and music superstars, and ultra-high net worth individuals, all of whom have very high expectations when they travel,” Rimmer explains. “Bliss Jet will capitalize on that priceless insight to meet, and exceed, the expectations of these discriminating passengers.”

Source:  company press release

Start-Ups Selling Seats on Private Jets Don’t Always Make It

Dannel Schwartz was agonizing over his wife’s 60th birthday gift when she proposed an idea herself.

“She said, ‘You know, I don’t want to wait on another T.S.A. line. I want a private plane,’” said Mr. Schwartz, a retired rabbi who splits time between Florida and Maine. “We laughed. Then comes this email about how it would cost $4 a flight.”

Intrigued by the all-you-can-fly model offered by BlackJet, the couple in March paid $15,000 for a membership that would allow them cheap seats on private jets with empty spots, scheduling their first trip for the weekend of April 30.

But it quickly became clear that the Schwartzes would not be making the flight to New York. The company stalled when Mr. Schwartz tried to confirm the flight a few days before it was scheduled.

A few days later came even worse news in an email from BlackJet.

“It is with great regret and personal disappointment that I need to report the following,” wrote the company’s chief executive, Dean Rotchin. “Recent events have resulted in abruptly ceasing BlackJet operations.”

The Schwartzes’ $15,000 was gone. They said they had wired the money to the company, which told the couple it was no longer accepting credit cards.

“Not even one trip,” said Mr. Schwartz, 70. “It’s embarrassing to go through this.”

Dannel Schwartz at the former location of BlackJet, a private jet broker in West Palm Beach, Fla.  Mr. Schwartz lost a $15,000 membership fee when the company shut down. Credit Scott McIntyre for The New York Times

The Schwartzes’ experience is a warning to travelers considering start-ups that offer relatively inexpensive access to private jets, once out of reach to the average customer. New companies pop up frequently, many with apps that allow travelers to book seats in minutes. But not all of them will survive.

BlackJet was founded in 2012 and aimed to apply the Uber model to private jets. It was backed by a founder of Uber, Garrett Camp, and celebrities like Ashton Kutcher. But about a year after it began, it laid off staff and suspended service. It later shifted to the membership model, which allowed customers to find unused seats on nearby jets. That is what enticed the Schwartzes, who found that travelers who join can be on the line for thousands of dollars.

In his email to clients last month, Mr. Rotchin said “inaccurate bad press” had caused BlackJet’s sudden closing, a reference to a TechCrunch article in April that incorrectly reported that the company had expired, which dented membership sales. He also blamed delays in short-term and long-term financing.

But in an interview late last month, he said the collapse happened mainly because a BlackJet official who was crucial to operations left the company, though he would not name the executive.

Mr. Rotchin acknowledged that the private jet business was inherently risky and said that the company stopped accepting credit cards late last year because of high fees.

“Everybody knew when they signed up that there would be no refunds,” he said. “There is some risk when you pay upfront for anything.”

Another company, Beacon, shut down this year after finding that its membership-based, all-you-can-fly model for private flights between New York and Boston was not sustainable.

The BlackJet app provided information on available seats on private jets.CreditBlackJet, via PR Newswire

For travelers looking into private jet services, Robert Mann, an airline industry analyst and consultant, suggests considering companies that have a history and own their own planes, as opposed to BlackJet, which acted as a broker, matching travelers with empty seats. Several major or developing players — some of which have evolved since their founding — have their own fleets, including the 10-year-old XOJet and the 2013 start-up Surf Air.

Too many start-ups are playing fast and loose with both safety and finances, said Mr. Mann, citing the 2005 crash of a Platinum Jet plane at Teterboro Airport in New Jersey. Federal authorities said the accident, which led to several felony convictions, illustrated the need for better oversight of charter companies.

“It really is the Wild West,” Mr. Mann said, referring to recent charter jet accidents in Massachusetts and Ohio.

Executives who have tried — and sometimes failed — to “democratize” private aviation are not giving up. Mr. Rotchin first tried out the plane-hailing concept with Greenjets, which fell into financial trouble and reorganized, becoming BlackJet. He is now considering his next move, but he said he realized that failures like these raise investors’ skepticism and make it more difficult for start-ups to raise money.

A founder of Beacon, Wade Eyerly, is now at Wheels Up, which counts the tennis star Serena Williams and the sports broadcaster Erin Andrews among its members. Mr. Eyerly, Wheels Up’s managing director, acknowledged that Beacon had miscalculated the demand for flights between New York and Boston.

“Beacon was a failure to execute,” he said. “There’s no way to sugarcoat that.”

But he remains optimistic about consumers’ desire for private air travel, he said. Wheels Up, he noted, is offering a range of memberships and more destinations, and it operates its own fleet through contractors. He also advised consumers to conduct thorough research before choosing a company.

“In a technology-driven world, little companies and big companies can look similar,” said Mr. Eyerly, who also helped start Surf Air.

With so many competitors in the private aviation world, travelers can have difficulty telling the difference between stable and shaky companies. Mr. Schwartz, for example, said he looked into BlackJet before buying a membership, but nothing he found indicated that the company would crumble so suddenly.

“Red flags should have gone up, but they didn’t,” he said, adding that he should have looked deeper into the company before paying.

Those kinds of failures threaten to erode trust in the industry, said Alex Wilcox, chief executive of JetSuite, a seven-year-old jet charter company based in California with its own fleet.

“We’re all going to be painted with the same brush,” he said. “But I think people understand the difference between Spirit Airlines and Singapore Airlines. Hopefully, we can distinguish ourselves in the same way.”

Mr. Wilcox, Mr. Eyerly and others in the industry said potential customers should look as closely as possible at a company’s financial backing before paying. Talk to the executives and ask tough questions, they said, which is more easily accomplished at small start-ups.

A lot of newer companies just do not have a chance of surviving because the cost of operating jets is so high, said Sergey Petrossov, the founder and chief executive of JetSmarter, which several industry insiders said was a successful example of an aviation start-up, allows members to reserve seats on charters and other private planes using an Uber-like app. Although it allowed nonmembers to book seats until last week, only members may use the service now.

“This industry as a whole really operates in an unsophisticated way,” he said. “Anyone who isn’t implementing sophisticated math and yield management isn’t going to survive.”

Source:  New York Times online article 6/13/16
Full article here:  Start-Ups Selling Seats on Private Jets Don’t Always Make It

Private Jet Service New Flight Charters Is Awarded A+ Rating From Better Business Bureau

Jet Charter Company Also Awarded BBB Accreditation, Affirming It Meets And Will Abide By Certain Standards of Practice and Ethics.

private jet charter flightsU.S. air charter industry leader New Flight Charters announces the Better Business Bureau (BBB) has awarded it an A+ rating, according to a company press release.

The BBB has been tracking New Flight Charters since 2011, and the rating is based on 13 different factors revolving around customer satisfaction.  According to the BBB, factors that raised the rating for New Flight Charters include length of time in business (12 years) along with no complaints filed.

In addition, as of 2016 the BBB has determined that New Flight Charters is now a BBB Accredited Business, affirming that it meets and will continue to abide by the following BBB standards;  Build Trust, Advertise Honestly, Tell the Truth, Be Transparent, Honor Promises, Be Responsive, Safeguard Privacy and Embody Integrity.

Details on each of these and New Flight Charters Accreditation are available at the BBB review of New Flight Charters.

According to the BBB, their New Flight Charters Business Review includes background, licensing, consumer experience and other information, such as governmental actions, that is known to BBB. These reviews are provided for businesses that are BBB accredited and also for businesses that are not BBB accredited.

Source; company press release

Why Are Some Private Jet Startups Failing, With Commercial Airlines Soaring?

— Private jet charters Blackjet, Blue Star Jets and Beacon, among others, have ended operations in recent months, citing funding difficulties as well as problems securing planes, among other issues. —

With commercial airlines soaring, why have some private jet start-ups failed?

By Hugo Martin, Los Angeles Times, May 21, 2016

The nation’s commercial airlines are reporting soaring profit margins and enough revenue to invest billions of dollars in new planes, airport lounges and even designer-made employee uniforms.

So why hasn’t that success extended to the fleet of private jet start-ups that launched in the last few years?

Private jet charters Blackjet, Blue Star Jets and Beacon, among others, have ended operations in recent months, citing funding difficulties as well as problems securing planes, among other issues.

Many of the new jet charter businesses have tried to jump on the popularity of the “shared economy,” with some comparing themselves to the ride-hailing business Uber. The private jet businesses have also promoted themselves as a way to avoid long airport security lines.

SurfAir

Captain Chris Pimentel, right, waits for passengers to board the SurfAir airplane at the Hawthorne Municipal Airport in Hawthorne last year. SurfAir is an all-you-can-fly membership airline. (Genaro Molina/Los Angeles Times)

“There was this feeling that we have this unmet demand,” said Brad Stewart, chief executive and president of XOJET, a San Francisco-based charter jet business.

But according to industry experts, too many of the charters either overestimated the demand or underestimated the funding needed to keep the businesses in the air.

Commercial airlines can squeeze more seats into each cabin and use each jet as extensively as possible to keep costs down, but private charter jets don’t have that option, said Seth Kaplan, managing partner at the trade magazine Airline Weekly.

“The economics of small private jets are not the same as the economics of commercial carriers,” he said.

The most publicized failure was the sudden closure of Florida-based BlackJet, which was backed by tech executives and Hollywood celebrities including Ashton Kutcher, Jay-Z and Will Smith. It collected annual membership fees of $3,000 and up plus fares starting at about $950 to share a ride on other people’s jets.

BlackJet Chief Executive Dean Rotchin wrote a letter to members of the business May 5, saying he was “abruptly ceasing Blackjet operations,” citing “bad press,” the departure of a “critical team member” and finance problems.

Source:  Los Angeles Times

JetSuite Expands With L.A.-Las Vegas Regional Jet Public Charters

Service begins May 26 with service between Burbank and Las Vegas daily- Sunday though Thursday.  Seats are priced at $129 each way if booked in advance.

web1_jetsuite.jpg

Photo: JetSuiteX (Facebook)

The nation’s fourth largest public charter operator, Jet Suite, will offer a new luxury travel option with scheduled service between Las Vegas and California later this month.

JetSuiteX will offer the advantage of boarding and arriving at private air terminals. The company will operate from the Atlantic Aviation terminal just off Tropicana Avenue and will fly to and from Burbank, California’s Bob Hope International Airport and the JSX Terminal in Concord, California.

Service begins May 26 with service between Burbank and Las Vegas daily- Sunday though Thursday.  Tickets are priced at $129 each way if booked in advance.

“Airport congestion and worsening security delays have made short-haul air travel sometimes more of a hassle than it’s worth,” said JetSuite CEO Alex Wilcox. “In fact, between 2000 and 2014, LA-to-Las Vegas air travel lost more than 1 million enplanements to the freeways. After all, who wants to spend more time in the airport than in the air? JetSuiteX was created for people who prefer to fly but want to avoid crowded airport terminals and long security lines.”

 

A former executive with JetBlue Airways who opened that airline’s route between Las Vegas and Long Beach, California, Wilcox said airline consolidation has driven up airfare prices.

“There’s plenty of air service between Southern California and Las Vegas, but this is a much different experience,” he said.

Because public charters operate under a different security system, passengers won’t have to wade through long lines at the main terminal. The Transportation Security Administration still maintains security checks, but instead of hundreds of passengers going to dozens of flights at the main terminal, it’s 30 passengers going out on one flight in the private terminal.

Wilcox said JetSuiteX is acquiring its jets, once used by American Eagle Airlines, through Brazilian manufacturer Embraer. The company plans to continue to offer its private charter service as well, an opportunity for University of Nevada, Las Vegas sports boosters to reserve private charters to follow teams when they play in California, Arizona or Utah.

Based in Irvine, California, near John Wayne International Airport in Orange County, JetSuiteX now has 200 employees, more than half of them pilots.

Wilcox said the airline’s jet experience will have a private jet feel. The company currently has two 30-passenger, twin-engine Embraer 135 jets configured three across with a single seat, an aisle and two seats. Seat sizes are comparable to domestic air carriers’ business class seats.

 

Wilcox said the airline would have 10 of the jets by the end of 2017.


Source:  Las Vegas Review-Journal

Other Charter Alerts about JetSuite public charter service:
JetSuite Launches Public Charter Service, Adds Regional Jets

First Ever FAA Charter Industry Report Released & Available

2016 report includes information and analysis on Part 135 operators – aircraft – revenues – utilization – safety – passengers – airports.

For the first time the U.S. FAA has fully quantified the Part 135 industry, providing a baseline to track its contribution to the economy and the effect of rulemakings on air charter operators. The agency released the long-awaited congressionally mandated FAA Charter Industry Report, finding that 2,155 U.S. charter companies operate 10,655 aircraft to more than 3,000 airports. The companies average 19 employees, have only a couple of aircraft and report less than $2.5 million in annual revenues. Business jets account for 30 percent of the fleet, with the remainder made up of pistons, turboprops and helicopters.

Review of charter operators

FAA Charter Industry report 2016

“In requesting this report, Congress recognized the importance of the air charter industry to the aviation sector and the fact that a full understanding of this segment’s importance to the national economy requires information culled from a number of disparate sources,” said NATA president and CEO Tom Hendricks. The report illustrates the vital role charter operators play in the economy, reaching five times as many communities as schedule airlines, he said.

The FAA’s study also “underscores the folly” of assessing user fees on that segment of general aviation, considering that most on-demand operators are small businesses, Hendricks added. Noting the report depicted a reduction in the number of charter certificates, he said, “Why would we want to make that harder by allowing an airline-dominated air traffic control corporation to become the de facto economic regulator of small businesses providing the only air service to thousands of communities across this nation?”

Source: AINonline

Texas Aviation Start-Up Rise Adds Crowd Sourcing of Private Flights

By Mary Grady, Robb Report, May 10, 2016AdTech Ad

The private-flight service Rise, based in Dallas and launched last year, does not own any airplanes but has created a system to help travelers “crowd source” a charter flight aboard eight-seat Beechcraft King Air 350 twin turboprops.

A Rise Beechcraft King Air 350

With Rise, users pay a $750 deposit and a monthly fee starting at $1,650 for unlimited flights between five Texas cities. The flights are reserved online and scheduled on demand. Multiple users filling up the empty seats on the private plane effectively crowd source each trip and lower the cost compared to a traditional whole-aircraft charter. The company estimates that each private flight saves a traveler 3 hours round-trip compared to commercial flying or driving. Passengers board minutes before takeoff at general-aviation terminals equipped with free Wi-Fi, snacks, a comfortable lobby, free parking, and a bespoke concierge—saving time and energy compared to the main passenger terminals.

8-passenger interior of Rise’s Beechcraft King Air 350 aircraft

To date, Rise operates 60 flights per week between the Dallas, Houston, Austin, and Midland airports, but the company says they will expand to six more cities, in Texas and beyond, this year. The company also recently added a new feature, Rise Anywhere, that enables members to crowd source a flight to select destinations including New Orleans, Aspen, and Telluride.

Rise partners with charter flight companies to ensure members will have access to planes, pilots and flights.  The Rise-branded King Air is operated by Monarch Air, a Part 135 charter operator based at Dallas’ Addison Airport.

Source: Article in Robb Report online

Other Charter Alerts about Rise:
All-You-Can-Fly ‘Rise’ Startup Nearly Doubles Texas Flights – Expands Cities
Texas’ All-you-can fly Rise Adds More to Fly
Private Jet Membership Set To Take Off In 2016

Charter Operators Say Business Booming: “This is a tremendous time to be in aviation”

Tradewind Aviation

Tradewind Aviation

– A chorus of charter executives in the private aviation industry say business is booming due to several factors –  “This is a tremendous time to be in aviation,” according to Cory Rossi, who, with his wife, Shari, owns Eagle Air, a charter operator based at Westchester County Airport (HPN) in White Plains.

By Dave Donelson, Westchester Magazine, 5/10/16

“It’s a very large business in this area,” says Linda Schiavone, charter sales manager for White Cloud Charter, which is also based at HPN. “Just think about the number of major corporations and wealthy individuals; this is the area for it.” According to Rossi, HPN is the third-busiest airport in the country in terms of non-airline flights. Only Teterboro Airport in New Jersey and Van Nuys Airport in California boast more private traffic.

According to the FAA, there were about 125,000 charter, air taxi, and private flights at HPN in 2014, which represented 82 percent of the total takeoffs and landings there. What’s more, they carried more passengers than did the scheduled airlines.

It’s not hard to see why private aviation is growing in popularity: Anyone who suffers the agitation of flying commercial from LaGuardia Airport (LGA)—which Vice President Joseph Biden once described as reminiscent of something in a Third World country—could attest to that. Much the same holds true for JFK and Newark. “The all-day hassle with a two-hour flight in-between is becoming more and more common,” Rossi points out. “Our clientele recognizes this and says: ‘First class isn’t at the level it once was.’”

Eagle’s customers, like those of other charter companies we spoke with, experience something entirely different. Rossi describes the charter experience like this: “Let’s say you live within a 20-minute drive to Westchester airport. Your car drives right on the tarmac to the aircraft; the red carpet is rolled out; your catering is on board; and you have WiFi on the plane. The ground crew will handle your bags and park your car, and the plane will depart within 10 minutes of boarding. At your destination, you will have the same experience on the ground.” Sure, it costs more, but what is your time and comfort worth?

The private-aviation business isn’t monolithic. Some companies, like White Cloud, charter only their own planes, which are also at the (occasional) call of the company’s corporate parent, Conair Corporation. Others, like Aircraft Services Group, operate and manage planes owned by others, providing everything from crews to maintenance, as well as charter service for the aircraft, much like a vacation-home owner who rents out a condo when they’re not using it. Eagle Air does both, as does Tradewind Aviation, which is based in Oxford, Connecticut, but offers flights from HPN.

Eagle Air

Then, there are strictly private planes owned by individuals and corporations for their own use. They, along with the charter operators, support another big part of the business, fixed-base operators. FBOs, as they are known, provide hangars, fuel, and on-site maintenance, as well as ground amenities like passenger lobbies, parking, and rental cars, to planes going and coming through the airport. HPN has five FBO facilities.

Tradewind, meanwhile, serves yet another part of the market. “We’re best known for our Nantucket shuttle,” explains Tradewind president Eric Zipkin. “It is a shared charter, where people buy individual seats on the flights.” The service started with Friday-through-Sunday flights only but has grown to seven days a week. They fly a similar service to Boston and Martha’s Vineyard. The scheduled service is a good business on its own, Zipkin says, but it also serves another purpose: “Our shuttle service is a good marketing concept because people learn about us, then come back and charter individual flights.”

Tradewind operates 18 aircraft, up from 12 just two years ago. The company owns 11 planes, with the balance owned by others. “Our business was up almost 30 percent in 2015, and it’s full steam ahead for this year,” Zipkin says. “Margins in this business run the gamut. Boutique aircraft management companies like ours are in the 20- to 30-percent range. It’s also a high-risk business: If you lose management of an aircraft or two, there goes your profit.”

White Plains-based Wings Air Helicopters represents yet another variety of local private aviation: helicopter service. Wings’ president, Javier Diaz, says his five helicopters serve three distinct markets, including personal travel. “We do up to seven flights a day to the Hamptons,” he says, adding that Saratoga Springs and other locations upstate are popular, too. “We also have a strong business with the Atlantic City casinos, as well as Mohegan Sun and Foxwoods.”

Business travelers take advantage of the versatility and convenience of helicopter service, especially out of Manhattan. “If you want to fly from NYC to Pittsburgh,” Diaz points out, “all you have to do is go to one of the heliports, and you’ll be in the air 90 minutes before you could even get on an airplane from LGA.” About 65 percent of his passengers fly from one of the three heliports in Manhattan. Then there is the aerial-movie-and-photography business, which is so good, Diaz is a member of the Screen Actors Guild.

“As people become busier and wealthier,” Diaz says, “their time becomes more valuable. They need to get to places ‘now,’ and that’s why the demand [for private aviation] is good. The demand will be there for the foreseeable future.”

Speaking of the future, does it hold tailwinds or headwinds for the private-aviation industry? Not surprisingly, regulation and technology may well be the determining factors. Google “air charter Westchester,” and you’ll get about 154,000 results. Almost all of them are for charter brokers—unregulated companies that don’t own, fly, or manage planes and may not even have an office. Brokers aren’t new, but their numbers mushroomed as instant worldwide communication enabled anyone with a cell phone and email address to open shop. Good ones, who can be reached 24/7 and have strong relationships with the charter companies, add value to the experience for both their customers and the airplane owners—but it pays to shop around.

A wave of new private-air-service concepts is rising along with demand in the market. As with anything new, some succeed and others don’t. Beacon Air debuted a Netflix-like subscription service in which passengers paid a flat monthly fee for unlimited flights from HPN to Boston last year, but it has already ceased operations.

ImagineAir, headquartered in Atlanta, started service in 2007 and entered the Westchester market two years ago. Its concept? On-demand private jet service at sharply reduced rates. Its service is aimed at business travelers who might be tempted to drive to their destinations. “We basically turn a three- to eight-hour drive into a one- to two-hour flight,” says President and CEO Ben Hamilton, who adds, “Our average price point is around $1,200, whereas a private jet might be $7,500.”

ImagineAir is able to offer the service because they fly a fleet of Cirrus SR22s, a three-passenger craft that’s very efficient, Hamilton explains. “We do mostly business trips, and the majority of them are three people or fewer. We have enough scale in our fleet of 11 aircraft to mix and match flights and fill dead legs, passing those savings on to the customer.” The company also handles bookings online rather than through a call center and, like a scheduled airline, uses demand-pricing models. “Our average customer books about four days in advance. You can book the same day if it’s available, but the price gets a little more expensive as the time gets closer,” Hamilton explains.

Any number of companies have been hailed as the “Uber of private aviation,” although none have (or probably will) been able to get past the FAA prohibition against selling seats in personal planes flown by amateur pilots. The safety requirements that charter operators have to meet are a major factor. That’s not to say there aren’t companies getting closer. “There are companies who have partnered to market empty seats,” White Cloud’s Schiavone points out. “If you’re in Chicago and want to get back to White Plains, there’s an app for that now. If there’s an aircraft flying empty on a leg, it just makes sense.”

Blue Star Jets, a NYC-based jet broker, recently launched an app that includes 24/7 personal telephone contact, to follow-up on the booking you make on your smartphone. Their business is designed to fill the 30 percent of business aircraft they estimate fly empty to or from their charter destination. The company claims that within four hours of booking a flight, you’ll be in the air.

Still, the industry does face some headwinds. “The uncertainty of the regulatory environment is a long-term obstacle,” Zipkin explains. Potential changes in security procedures, for example, could put a crimp in the private-aircraft experience. “We have internal security, but not the stand-in-line, take-your-shoes-off type of thing,” he says.

Another problem area is a shortage of pilots, according to Zipkin. “The FAA changed the rules for airline requirements for copilots, and that has had a ripple effect throughout the industry,” he says. “We used to pay twice what an entry-level airline pilot would make, because we wanted to attract the best candidates. The airline had trouble filling those seats, so they started raising their pay, which has set off a sort of race.”

Rossi adds one more industry-wide threat: budget constraints on air-traffic control. “The federal government has threatened to shut down operations at a number of small airports around the country,” he says. The ability of private-flight passengers to land at small airports, like Hilton Head Island Airport instead of Savannah International, is a big attraction for the business. “I’d hate to see that becoming a limiting factor on growth of the industry,” Rossi notes.

Overall, however, the private-aviation business in Westchester is strong. As Zipkin says, “The challenges we face are those faced by any business that’s growing. Our product has been very well received, and the market is growing here, so it’s onward and upward.”

Source:  Article in Westchester Magazine online

Broker and Membership Company BlackJet “Abruptly” Ceasing Operations

 

Fortune.com May 5, 2016:

BlackJet, an on-demand private jet service created by Uber co-founder and chairman Garrett Camp, yesterday informed members that it is “abruptly” ceasing operations.

The Florida-based company was launched in 2012, with the financial backing of venture capital firms (including First Round Capital and CrunchFund), tech executives (including Mark Benioff and Matt Mullenweg) and celebrities (including Ashton Kutcher, Jay-Z, and Will Smith).

The idea was basically to be Uber for the jet-set, eventually settling into a membership model whereby people paid an annual fee in exchange for access to a network of private jets on which they could book seats. But there were numerous hiccups (including layoffs and a prior service suspension), largely due to capital constraints that seem to have persisted. During the reorganization, Camp was among those who moved on (and gave up his investment).

In fact, TechCrunch inaccurately reported last month that the company had shut down, an incident that BlackJet CEO Dean Rotchin appears to have cited among the reasons for today’s decision (the story was later updated with a correction). A bigger one, however, was financing.

“We probably did more with less than anyone but it’s a critical mass business… There’s a reason why ‘critical’ is part of ‘critical mass,’” Rotchin tells Fortune. “The members were super supportive, the VCs wanted to see our progress continue over a longer period prior to jumping in. There are some aggressive interesting models out there today, someone will make this work.”

Below is Rotchin’s full email to members:

Dear Member:

It is with great regret and personal disappointment that I need to report the following.
Recent events have resulted in abruptly ceasing BlackJet operations.

In the last few days, there was some inaccurate bad press that stunted membership sales, a critical team member stepped down unexpectedly, near-term and longer term financing opportunities were delayed, and it became impossible to continue.

I personally appreciate the amazing support from most of our members. Perhaps I did not do a good enough job of reinforcing the fact that the membership was the key to the ability to deliver the service. Some members were so supportive, and I feel it is important to highlight this aspect because it became evident how most members tried to be as helpful, flexible and cooperative as possible. This was and is very much appreciated.

We are widely considered the pioneers in this field, and we know someone will leverage our learning and crack the code for making the private airfields and private jet fleet affordable and accessible as a part of the US transportation system. Your vision and involvement as early adopters helped to progress this ideal closer to fruition.

Please accept my thanks for your support, and also my sincere apologies for the inconvenience and disappointment this causes.

Sincerely,
Dean

Source:  Fortune online article May 5, 2016