Jet It Fractional Provider Files Chapter 7 Bankruptcy

As first reported by Private Jet Card Comparisons, fractional-share provider Jet It filed for Chapter 7 bankruptcy on December 24, which involves liquidation of any nonexempt assets to pay qualifying creditors. However, in the Chapter 7 filing, Jet It checked a box saying, “After any administrative expenses are paid, no funds will be available to unsecured creditors.”

Launched in 2018 by Honda Aircraft alumni Glenn Gonzales and Vishal Hiremath, Jet It targeted buyers seeking lower costs than traditional fractional-share programs, initially operating HondaJets and later adding other types. Jet It shut down operations in May 2023 after fielding 21 HondaJets.

In the Chapter 7 filing, Jet It listed assets of $1,156,638.16 and liabilities of $36,249,727.94. Cash or cash equivalents came to $155,964.22. Jet It’s inventory of ground support and maintenance tools totals $219,825.

Major creditors include a long list of familiar aviation companies, but investor LoJet Holdings is the only one with claims secured by property, at $26.525 million.

Creditors with the largest nonpriority unsecured claims include Carolina GSE ($170,969.65); Embraer CAE Training Services ($116,616); FlightSafety International ($400,981.50); Bank of Utah ($1,575,000); Gogo ($227,775.78); Rocket Fuel Labs ($207,248); and The Dixie Building ($176,244.80). Total claims from fuel providers are nearly $1.5 million. Non-Jet It fleet charter provision was more than $628,000. Another large segment of claims is from maintenance providers, totaling more than $5.4 million.