figuring cost per mile for quoting charter.
08-24-2009 | 01:01 PM
#1
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From: LJ24 SIC
figuring cost per mile for quoting charter.
can anyone tell me how I could figure an effective formula for quoting charter in a Cessna 182?I was hoping to keep it lower than $1.50 / mi. what do you guys think?
08-24-2009 | 01:10 PM
#2
C21H30O2
Joined: Mar 2008
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From: L/R or workin' the panels!
What is the pilot's cost, fuel, what's the debt service of the a/c, Insurance overhead, Maintainance, engine, prop overhead. All these costs must be factored in/per hour. Then figure for seat mile. Most charter companys usually have price per zones. These zones go out so many hundreds of miles.
08-24-2009 | 05:55 PM
#3
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From: LJ24 SIC
I figured I was going to get an answer like that, not that I don't appreciate it. I was just hoping someone at some point in time before me had figured it out already. Any 182 (or other small cessna) operators out there?
08-24-2009 | 06:23 PM
#4
Gets Weekends Off
Joined: Jun 2008
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From: USAF
I actually had made an excel program for various aircraft we were thinking of putting on a 135.. you plug the numbers in and voilą! I'll see if I can dig it up somewhere around here. Basically it comes down to fixed and variable costs - figure those out per hour on an estimated annual usage, convert a low-average ground speed figure you've had in the past with that airplane from hour/cost to mile/cost and further into seat/mile/cost. Whatever figure you come out with - make it very liberal. It is actually a good bit of work to get a realistic number + profit.
Check out charterhub.com
I think average 182 is around $300-350/hr, which would make it closer to $2.30/mile
Check out charterhub.com
I think average 182 is around $300-350/hr, which would make it closer to $2.30/mile
08-25-2009 | 05:18 AM
#5
Flying Farmer
Joined: Jul 2006
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From: Turbo-props' and John Deere's
$1.50/mile is going to lose you money big time, unless your your fixed costs are cheap!
Like mentioned above, you have to calculate all your expenses, and figure the amount of hours flown per year, etc.. Then figure an average speed per hour, this can't be your cruise speed, you have to factor in variences for t/o and landing, and approaches. Obviously you're going to need to figure that your costs are higher than they actually are, so you can make a solid profit.
Like mentioned above, you have to calculate all your expenses, and figure the amount of hours flown per year, etc.. Then figure an average speed per hour, this can't be your cruise speed, you have to factor in variences for t/o and landing, and approaches. Obviously you're going to need to figure that your costs are higher than they actually are, so you can make a solid profit.
08-25-2009 | 07:35 AM
#6
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From: LJ24 SIC
Thanks guys, that's what I was looking for. Ryan, if you could find that spreadsheet I would really appreciate to see it. Please send me a PM if you do find it.
I actually had made an excel program for various aircraft we were thinking of putting on a 135.. you plug the numbers in and voilą! I'll see if I can dig it up somewhere around here. Basically it comes down to fixed and variable costs - figure those out per hour on an estimated annual usage, convert a low-average ground speed figure you've had in the past with that airplane from hour/cost to mile/cost and further into seat/mile/cost. Whatever figure you come out with - make it very liberal. It is actually a good bit of work to get a realistic number + profit.
Check out charterhub.com
I think average 182 is around $300-350/hr, which would make it closer to $2.30/mile
Check out charterhub.com
I think average 182 is around $300-350/hr, which would make it closer to $2.30/mile
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