Vista Global CFO Charlotte Colhoun is sticking with the aviation company’s subscription approach as other businesses experiment with new pricing structures. The company, founded in 2004 by Swiss businessman Thomas Flohr, operates a fleet of about 200 airplanes. These aircraft, flown by the company’s own pilots and flight attendants, transport clients ranging from company executives to wealthy individuals.
The privately-held firm is headquartered in Dubai but maintains operational hubs in Malta and Columbus, Ohio. Colhoun said Vista has sought to fill a specific gap in the high-end aviation market. By offering three to five year contracts, the company provides customers with a level of predictability that chartered, one-off flights cannot match.
This contract structure allows companies to treat the cost of plane access as an operating expense. It avoids adding a steep figure to the capital expenditures budget that buying a corporate jet often requires. “Do you want to have a corporate jet on your balance sheet? Perhaps not, and what we offer is ultimately asset light,” Colhoun said in a recent interview.
Maximizing Fleet Utilization
The subscription model does more than offer client predictability; it benefits Vista’s bottom line and provides a competitive edge. Colhoun noted that a high-quality aircraft can cost as much as $80 million. That is a steep price for a company jet that often flies less than 250 hours a year.
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By comparison, Vista’s fleet flies more than 1,000 hours a year. This intense usage means the company spreads its capital costs over a much greater period of time. “You’re four times more efficient in terms of spreading your capital costs on a per hour basis,” she said.
This efficiency allows Vista to pass savings on to its clients. “From a client proposition as well we can also be really competitive…we’re able to pass through that efficiency factor to our clients to enable us to kind of compete effectively,” Colhoun stated.
The ability to convert a massive capital liability into a predictable operating expense is a significant lever for modern corporations. It allows leadership to pivot resources quickly without the burden of selling off physical assets if market conditions shift. This financial agility is often the deciding factor for companies choosing between fractional ownership and subscription models. By removing the asset from the balance sheet, Vista essentially offers the utility of a private jet without the financial drag of ownership.
Tailoring Costs to Travel Patterns
Colhoun declined to specify what the program typically costs clients, though she noted that terms generally run for three to five years. The pricing of the contract depends heavily on where companies need to go globally and whether their travel needs are predictable.
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For instance, a client like a Formula One driver knows their schedule a year in advance. Vista can offer such a client a more competitive rate. Conversely, those with travel that is more erratic might pay more.
The company also builds in protections against market volatility. Vista adjusts pricing annually for inflation. The contracts also allow for monthly adjustments for fuel costs. “We have built in appropriate protections,” she said, noting that transparency with clients has avoided challenges. “I have to say…particularly during periods of volatility is where our business model proves out,” Colhoun added.
Colhoun has been group CFO of Vista Global for over three years. She took the post after serving as the company’s chief investment officer for about one year. She is a chartered accountant who earlier in her career logged eight years with PricewaterhouseCoopers.
Becoming a CFO was not a specific career goal, nor did she anticipate working in the aviation sector. She enjoys the position, including her role in developing a program for internally developing finance talent. This program provides young professionals with experience in the company’s different departments. Serving as a finance chief has “been a whole new challenge, a whole new set of skills to develop and opportunities to explore but that’s probably what I love most about Vista,” she said. “You’re frequently in uncharted territory because we don’t fit directly into one specific kind of sector or industry.”
