FOLLOW US

Long after its aircraft were grounded and hangars fell silent, Jet It has formally landed in bankruptcy court. More than two-and-a-half years after shutting down operations, the once fast-rising private jet operator has filed for Chapter 7 liquidation, closing the book on a growth story that burned bright — and fast.

Jet It’s 111-page bankruptcy petition was filed Dec. 24, 2025, in the U.S. Bankruptcy Court for the District of Delaware. The filing lays bare a company weighed down by $36.2 million in liabilities, including $9.7 million in unsecured claims.

From Disruptor to Debtor

Founded in 2018, Jet It launched with a fractional ownership program centered on the HondaJet, marketing headline-grabbing rates of $1,600 per flight hour — a figure that excluded monthly management fees and ownership costs.

The low-price model fueled rapid expansion. By 2022, Jet It ranked as the 12th-largest private jet operator in the United States based on charter and fractional flight hours, up from 21st place just a year earlier. Flight hours surged from 11,290 in 2021 to 18,500, and the company expanded beyond U.S. borders into Canada and Europe.

But the growth proved fragile. Jet It ultimately ceased operations, becoming the second former top-15 U.S. operator this year to file for Chapter 7.

An Industry Pattern Emerges

In October, Verijet — another operator built around aggressive pricing — also sought Chapter 7 protection. The Cirrus SF50 operator peaked in 2023 as the nation’s 13th-largest charter and fractional provider.

Other aviation startups have stumbled as well. Volato, founded in 2021, exited its HondaJet fractional and jet card programs last year after ranking 16th nationally following a 137% year-over-year increase in flight hours. Volato continues operating its Vaunt empty-leg program, though it has a pending deal to sell that and other assets to FlyExclusive. Its third-quarter financials showed $300,000 in jet card liabilities, down sharply from $4.1 million at the end of the prior quarter.

Creditors Line Up

Jet It’s bankruptcy filing lists more than 200 unsecured creditors, ranging from fuel providers and maintenance firms to software vendors and charter operators.

American Express is owed more than $600,000. World Fuel Services claims $735,695 for jet fuel, while EPIC Card Services LLC is owed $526,568 and Jetex Flight Services $150,487. Berkshire Hathaway subsidiary FlightSafety is listed with an unpaid $400,981 bill for pilot training.

Maintenance and parts creditors include Honeywell at $607,687, Aero Star at $122,208, Cutter Aviation at $62,366, Des Moines Flying at $138,029, Rockwell Collins at $128,185, and Keystone Aviation — now part of Elevate Aviation Group — at $143,911.

Additional debts span aircraft insurance, software, storage, and connectivity services. Gogo is owed $227,775 for inflight WiFi, Agile Premium Finance $245,768 for insurance, and DGDean $394,923 for business software. Allegheny County Airport Authority is listed for $15,386 in unpaid storage fees.

Both Gulfstream and Embraer are owed more than $200,000 each, while JSSI claims $227,748 for engine programs.

Charter Partners Left Holding the Bill

Numerous charter operators that flew passengers for Jet It are also listed as creditors. Among them: American Jet at $56,798, BellAir at $24,602, Brazos Valley Air Charter at $20,508, Business Jet Manager at $43,500, Century Jets at $33,900, Premier Private Jets at $27,893, Red Wing Aviation at $16,500, and Sawyer Aviation at $29,788.

Magellan Jets is owed a $40,000 refund for charter flights that were paid for but never flown, while Stratos Jet Charters lists $15,580 outstanding.

Jet It’s business model relied on chartering its fractional fleet when owners were not flying, a strategy that amplified exposure when operations unraveled.

Assets, Fines, and a Legal Wild Card

Jet It reports $1.16 million in assets, including accounts receivable, $155,964 in cash and equivalents, and $874,172 in CARES Act credits from 2021. It also discloses an unpaid $24,000 fine owed to the Federal Aviation Administration.

Notably, the filing lists a potential breach-of-contract claim against Honda Aircraft Company valued at up to $100 million. In a November 2022 letter to fractional owners, co-founder and CEO Glenn Gonzalez criticized the reliability of the HondaJet, saying it cost the company more than $20 million in off-fleet expenses. However, the bankruptcy filing cautions that a prior settlement “may prevent legal pursuit of claim.”

Ownership and Secured Debt

New York-based LoJet Holdings LLC is listed as the sole secured creditor, holding a 44.3% ownership stake and owed $26.5 million. Gonzalez retained 26.8%, while Vishal Hiremath held 20.1%. Lockstep Ventures Fund I owned 5.5%, with Microrapter LLC and Wyandanch Partners LP each holding 2.75%.

As the liquidation process unfolds, Jet It’s story stands as a cautionary tale — a reminder that in aviation, as in flight, rapid ascent without sufficient lift can end in a hard landing.