When most people think of business aviation, they imagine a large private aircraft used by a well-known conglomerate, filled with business people in suits making deals. But here’s a surprising fact: Smaller businesses, not the Fortune 500 giants, operate the majority of business aircraft. Specifically, a large majority (85%) of companies who own and operate business aircraft are small and midsized businesses (SMBs); the largest corporations operate only 3% of the U.S. business aircraft fleet.
Bizav is big among SMBs
Why is bizav so popular among SMBs? Many of the smaller U.S. businesses operate in markets across the country where commercial airlines have reduced or even eliminated services, leaving the private jet market to pick up the slack.
Owners of SMBs also realize that they get the same competitive advantage that larger companies do by investing in a business jet. A business aircraft allows them to compete efficiently and fosters productivity among their employees. Business owners with a business aircraft can quickly travel to more places — often visiting two or three places in a single day. And their aircraft are equipped with the latest communications technologies, enabling owners and executives to stay connected with their associates on the ground. Studies consistently prove that companies that operate business aircraft are more competitive, more productive, and earn greater profits than those that don’t.
A smart investment
Sure, the initial cost of an aircraft can be daunting for smaller businesses, but comparison studies show that when the costs of commercial airfare are combined with overnight expenses for food and hotels and car rentals, they typically exceed a private aircraft’s costs. Add to those overhead costs and the loss of time for traveling executives who are disconnected from the rest of the company while in the air — especially if their destination is not close to a major airline hub — and the benefits of a private jet really begin to shine.
In the fall of 2010, a study by NEXA Advisors and the NBAA found that the investment in a private aircraft was a smart one for many U.S. SMBs. Companies using business aircraft produced better financial results, posted greater top-line growth, and achieved better customer access, improving customer retention and securing new sources of revenue.
Private jets offer the same benefits to all businesses, regardless of their size. If your company leadership and sales employees travel frequently, take a few minutes to add up all their travel costs. You may find that a pre-owned private jet, combined with today’s lower fuel costs, could save your small or mid-sized business a significant amount of money.
Contact L & L International if you need assistance in purchasing or selling a private jet.
You can reach our sales specialists today at sales@L-Lint.com, call us any time at +1.305.754.3313, or visit us online.