Air Charter Costs/Pricing ???

[Mark S Conway]

When in the Air Charter Business, How does one calculate their prices?

Scenario= Cessna 402B/C used for on demand charter.
Operational costs per hr / $250.00

Do you charge per NM or by the seat?
Any thoughts are appreciated...

[EDR]

In article <e%Zkc.9102$TD4.968833@attbi_s01>, Mark S Conway
> wrote:

> When in the Air Charter Business, How does one calculate their prices?
> Scenario= Cessna 402B/C used for on demand charter.
> Operational costs per hr / $250.00

Does that include crew? Or just fixed and variable costs?

> Do you charge per NM or by the seat?

Some do one, the other or both.

[Mark S Conway]

Yes, just operational.
But if you know of a crew cost as well, let me know...



"EDR" > wrote in message
...
> In article <e%Zkc.9102$TD4.968833@attbi_s01>, Mark S Conway
> > wrote:
>
> > When in the Air Charter Business, How does one calculate their prices?
> > Scenario= Cessna 402B/C used for on demand charter.
> > Operational costs per hr / $250.00
>
> Does that include crew? Or just fixed and variable costs?
>
> > Do you charge per NM or by the seat?
>
> Some do one, the other or both.

[Robert M. Gary]

"Mark S Conway" > wrote in message news:<e%Zkc.9102$TD4.968833@attbi_s01>...
> When in the Air Charter Business, How does one calculate their prices?
>
> Scenario= Cessna 402B/C used for on demand charter.
> Operational costs per hr / $250.00
>
> Do you charge per NM or by the seat?
> Any thoughts are appreciated...


The 135 shop here quotes based on hours. One rate for flight hours,
one rate for sitting hours. (pilots get full pay for sitting, the
plane does not). I think they pad it a bit and if they go over, they
don't charge. What amazes me are the tips. Some of these charters are
single engine Bonanzas (one of the few places holding a singe engine
135 insurance policy), yet you still see 3 figure tips.

-Robert