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Friday, July 3, 2009

Three Scenarios a Private Jet Rental Could Bring a Positive ROI

There are occasions when economizing may not bring the returns one would hope. Spending a dollar can actually help one boost the bottom line. In this day and age private jet travel is often considered an extravagance. Indeed, private jets can become unnecessarily expensive in a hurry. But if one was to watch how they acquired a jet (charter is a less expensive option) and how it was used, a net positive return can be found. The following are three possible scenarios one can consider when using a private jet for travel.

Golf Outing
Many business deals are sealed on the golf course. If one does business in the same metropolitan area or even same geographical region as their prospects, it is quite the possibility that the prospects have played the same courses over and over. Though getting out on the links for a weekday may be a welcome respite, how impressive would it be if one could fly them to a top 100 golf course? Augusta anyone? Pebble Beach? Fly in the late morning, play in the afternoon, and be home for a late dinner. Considering that a positive deal could net your company millions, an expenditure on a private jet doesn't seem that extreme. Consider a day trip, round-trip could cost $10,000 but the net profit to the company is one million dollars, that is only a one percent investment to seal the deal.

Multi-city Sales Calls
Time is money is the old business mantra. A private jet saves a lot of time, therefore saving a lot of money. Consider if a salesperson for the company could meet with three prospects, in three cities in a one-day. Meet with one prospect first thing in the early morning, meet another one over lunch, and the final one in the late afternoon; and then be home for before bedtime. With regular commercial airlines one would be limited to probably one per day meaning four one-way fares, plus hotels, per diems, and car rentals. Also, the wasted time traveling. Adding all these expenses and then measuring a one day private jet rental, the jet could actually be saving the company money.

Crowd Of Executives
Are the key executives needed at a retreat, training, or conference? Flying them all first-class on standard commercial aircraft can be expensive. Again, flying all the executives via private jet can net a savings. This is the most often used example of a positive ROI for using a private jet. Additional savings can be found if arrival at the event can happen earlier or departure sooner because the private jet flies at the renter's schedule. Unlike commercial flights where one has to accommodate themselves to the airline's schedule. Potentially saving the expenses of additional room nights and per diems also.

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