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How to Know When to Replace a Business Jet (Part 2)

How to Know When to Replace a Business Jet (Part 2)

NAFA member CFS Jets shares part two of their latest article on when to replace a business jet.

Determining the right time to replace a business aircraft requires balancing operational risks against financial considerations. This article examines how aging jets accumulate downtime and maintenance risks while exploring whether to keep an older aircraft, purchase a newer pre-owned jet, or invest in a factory-new replacement. Through detailed financial modeling and real-world case studies, discover how net operating costs and NPV analysis can guide strategic aircraft replacement decisions.

Previously, we established that a business aircraft should be replaced when its risk profile begins to outweigh the benefit. This inflection point is rarely driven by a single cost, but by the combined effect of rising downtime risk, the growing likelihood of major maintenance events, fuel inefficiency, and growing regulatory and compliance burdens.

As aircraft age, operational volatility grows. More AOG days, longer MRO shop visits, parts constraints, and higher exposure to unplanned disruptions all increase.

When the expected cost of these risks – particularly aircraft downtime that directly impacts the business – approaches or exceeds the capital and financing cost of a replacement aircraft, replacement becomes economically justified.

Read full article here

This article was originally published by CFS Jets on June 10, 2026.