Meet Kevin CLICKBAITED by Codie Sanchez on Jets

So, I just came upon this video by Cody

Sanchez. How she bought a private jet

business for $8,000, now worth millions.

Now, I have extreme skepticism towards

this. I have not watched this video yet,

but I happen to own uh a jet and I

happen to fly it as well. Uh so, I am a

jet pilot. That's my actual tail number.

This is the model of my actual plane.

So, I know a little bit about jets uh

and also the charter business. And so at

first glance I'm like, "All right, this

sounds like, you know, nonsense." Like,

you don't buy a private jet business

that's actually making money for $8,000.

You buy an LLC and a name for $8,000.

That's what $8,000 gets you. But this is

like a classic kind of like tease like,

"Oh, it went from $8,000 and now it's

worth millions." Okay. Well, according

to whom? So, you know, I I'm a little

sus so far. One of the So, one of the

first things that I did here, and I have

not watched this video yet, but one of

the first things that I did is I just

look at the website, and I click around

the website. I'm like, "All right, let

me see your private charter jets." So, I

click on it, and I'm scrolling around on

this, and you still have the jot form

now. Create your jot form. It's free.

Built into your flight request,

you know, page here. fill out this form,

comma splice, and one of our aviation

specialists will be in touch within 24

hours. So, I was a little sus when I

kind of still saw that here. And it's

fine. Like, anybody can take these

photos and showcase this because this is

like what NetJets does or whatever. Uh,

like everybody does this. It's not that

big of a deal. Like, obviously private

aviation charters very, very common. You

know, that actually looks This is a

stock photo of a Phenom. Uh, that looks

like a Yeah, that's a Phenom 300E.

That's actually very similar, but it has

no tail number. So, it's a bull crap

photo, right? Here's a stock photo of a

Honda jet. There's no tail number on the

aircraft. So, these are like literally

clip art art photos that were used to

put this website together, you know. So,

then I look and go, okay, Stella Jets

LLC apparently registered as a liability

a limited liability company uh in at the

end of 2021. So they've been around for

two, three, four, coming on their fourth

year basically, right? And so you can

kind of look at like some individual

like press releases that they've done.

Big deal. The photos don't even load.

They want to do empty leg services and

blah blah blah. They talk about how

they're a femaleowned private jet

company from South Lake, Texas. They

apparently have four trust pilot

reviews. Uh enjoyed the flight. Fer

perfect flight. Okay, so you know, maybe

we've done a a few here. We've got four

reviews.

Okay, interesting. Uh, somehow also

Stella Jets was very easy to use within

one week that the LLC was filed, which

is also a little sussy that, you know, 7

days after the LLC was filed.

Apparently, they've already been flying.

It's interesting because you'd have to

be a, you know, 135 operator. This is on

their Yelp page. So, I went to their

Yelp page, and on their Yelp page,

you've got this aircraft right here,

November Triple 1 Hotel Charlie. And if

you look up the aircraft registration

for this, first of all, it's registered

to some Bennett

Matus uh out of Alabama, which is not

where this corporation is based out of.

And it's also a 1976

jet. So probably, you know, pretty OG

steam gauge jet. So I'm a little sus

already by this video, but I'll I'll

I'll give it a chance here. So we'll

briefly chance this and then we'll go,

you know, back to some of the news. But

let's briefly chance this and see what's

going on here. It's going to be some

nice sizzle. I know they're always good

at the sizzle here. Sell things to rich

people, they pay more. Today, I'm

breaking down how the rich buy, why

selling to them is easier than you may

think, and giving you the exact

blueprint to sell arguably the most

luxurious thing on the planet. Do you

want That is not a $12 million plane.

Use a 24 karat plated bathroom. What the

Of course I do. Plus, we'll be

meeting my buddy. We'll look it up. That

looks like Okay, see this? That's a more

expensive plane. We'll look this one up.

That could be like a private jet

brokerage for just $8,000 to learn not

only how to do it, but how to fly in

these things for cheap. But first, you

guys got to see what they There's no

tail number on this. That's very sus.

When there's no tail number on this, you

usually see these at sales events where

they just want to sell you the jet and

somebody like borrowed them for

marketing like that. This seemed Where's

the registration for the plane? This is

like having a car without a license

plate they pick you up in. So, why is

selling to the rich one of the best ways

to make more money? Well, so anybody can

buy one of these Sprinter vans for about

150K. Uh, pretty pretty well decked out

new. Uh, but they sell them used as well

for, you know, sometimes even like low

110s. They want you to sell them some

rent and they buy more than once. The

same

Okay, you put the service together, you

have the business, no money, no

experience. My ass, dude. Nobody with no

experience is going to do a private jet

business. We already revealed that these

are stock photos. This is a, you know,

okay, this is the Southway Lake business

jet. Stella jets is taking off. This is

a random

news article. I saw that as well. That

was this one right here. Local business

use woman uses life-changing news as a

catalyst to create company she always

wanted. The thing is she's getting into

this industry in 2021 when she started

the LLC. The private jet boom was huge

during COVID because nobody wanted to

fly commercial. The problem is a lot of

this is probably just straight up fugazi

because now netjets and wheels up like

wheels up can barely operate profitably.

Like people were worried that wheels up

is going to go bankrupt because the

competition is so intense for these

private jet businesses. But so far I

know nothing about this business

actually getting started or the

fundamentals. But let's hear it on the

bidding site for 80,000, but it was on

auction. So I offered him half of what

he had it listed for. He said no. So I

did the minimum bid and I wanted the

minimum bid. So the first offer is 80K.

Okay. So you made 8K or you paid 8K for

a name in an LLC. You offered like

that's not going to buy you a plane.

That's not going to buy you, you know,

135 licenses. It's not going to buy you

a relationship with pilots. Somebody has

to fly your planes. He says no. So you

say, "Well, I'm just going to wild card

it." $8,000 bucks. $8,000 and you got a

business. How many planes do you own? We

don't own any planes. You talk Exactly.

You don't own any planes. Exactly. Cuz

you have to lease them from other

people. Rich people into letting you use

their jets. Exactly. There's a lot of

planes that aren't flying as much as

they need to. They But they have to be

135

certified, which means you get way more,

you know, inspection, certifications,

blah blah blah. You have to lease them

at a more expensive price from other

companies. Let's see it. Need someone to

sell charters on their aircraft. So

fascinating. So it actually costs them

more money to not charter. Exactly.

This is your least expensive plane that

you have right now. How much would this

thing cost? Goes for about six. How much

would this thing cost me to fly per

hour? $2 to $3,000 per hour. Wa. How

far? Those are reasonable numbers. You

can go from Texas to either coast. It's

a little bit slower than the jets, but

it's the most cost effective and

actually are those are actually really

good planes. Most chartered. What are

your profit margins? Anywhere from 10%

to 30%. Let's talk about the core way

you make money in a jet business.

Chartering the aircraft to businesses,

business owners, and of course our

athletes and celebrity clients. What are

the hidden costs that nobody talks about

with these things? Landing fees, fuel.

For the clients, the hidden costs are if

we have to reposition it. So for us, we

have access to Oh, that's the worst, by

the way. So if you if you Okay, you

don't have 7,000 planes worldwide

because like you said yourself, you

don't own them. You maybe have like a

contact list of people who own planes.

And that's fine. This is very normal.

People do this all the time. The the

question is how do you have enough

business to stay profitable? If you have

to do an empty leg, you're not making

money.

So that's why usually these companies

will have empty leg uh uh tickets that

they'll sell very cheap. You can

actually I think you can go to like

Wheels Up and NetJets and sign up to

their emails for empty legs because what

happens is if somebody in like Camaro,

California wants to fly to San

Francisco, but the closest NetJets

aircraft is in Henderson, Nevada, you

know, the the aircraft company has to

fly that plane from Henderson to Camaro,

not charge for it, and then they have to

charge for the Camaro to San Francisco.

You now lose money on that Henderson

trip. So, you have to have enough

customers filling out your jot form to

cover those empty legs. That's almost

impossible. And for a business that's

brand new like this with four reviews on

Trustpilot, dude, who's going to hire a

charter company that has four reviews on

Trust Pilot and stock photos on your

website with unregistered plane? I don't

know. I I just don't see it. 7,000

aircraft worldwide so we can find the

closest aircraft to where our clients

want to fly out of. That one's just

blurred out. I see the tail number

there. end up paying eating that fee for

those hours. It's good for the pilots.

It's not so good for us. Right now, we

got jet number two. How much is this bad

boy? I said it'll go between 6 and 8

million, but it doesn't have this spinny

thing on the front. Propellers. Spinny

things are back here.

What does this thing cost you? You're

going to be about 4 to 6,000. Okay. So,

about double the price of the other one.

That's cost. That should That shoulder

out for more money than 4 to 6K. Yes.

This one's just faster. Who's the

coolest client you've ever had in this

one? We have a great client that's a

really big pro wrestler. What's the most

insane charter you've ever done? We

actually chartered a plane for a cake.

So, we were flying a celebrity, but it

was going to be his birthday from the

Midwest, and the only cake his wife ever

got him was from New York. So, she

chartered a separate plane to go to New

York, pick up the cake, bring it back to

the plane they were going to be on so

she could surprise him. Okay, tell me

who it is. I can believe stuff like

this. I don't believe this business is

worth millions. I believe it barely I I

I don't think it would have more reviews

than four reviews on Trust Pilot if this

business was worth millions. But I do

believe that somebody would charter a

cake. If when people have enough money,

they don't really care. I can't tell

you.

Steve, what's up, man? Pleasure. Okay,

this $500 depending on the customer and

how big of a pain in the ass they are.

That too that that even goes higher.

Last year we invoiced over 200

airplanes. Tell me the name of your

business. I named the company One Marine

Aircraft Maintenance. Wait, this is a

totally different company now. He's

talking about like now we're chartering

Cessnas. Oh, here's a female. Steve,

you're the man.

Exactly. Wait, D. This is amazing.

Steve, you're the man. I know a D. Okay.

What about this bad boy? How much does

this thing cost? It's about a 10 to12

million plane. And what if I want to

rent it? Not new. It's going to be more.

If you want a new one of these puppies

right now, you're probably about $13

million.

uh chartering this. It's probably I

don't know if you can get it for less

than 10 an hour right now. 5 to7,000 an

hour. Why? That's her cost. That's her

cost for sure. That's her cost. That's

not what you're going to charge the

customer. It's about a 10 to12 million

plane. And what if I want to rent it? 5

to7,000 an hour. Why is it more

expensive? You can fit more people and

go a little bit further really fast. So,

does size really matter? Always.

So, what's the most expensive add-on

you've ever done for one of these? A

helicopter. Oh, sick. Are we going to go

on a helicopter now? Not today, but I

have something else in mind. Yeah, I

like the sound of that.

They really make this like a show. Oh,

okay. Rent a fancy car to pick you up.

Who cares? This is silly. I mean,

really, the jet business, the private

jet business, this is like it's customer

service. You got to bring people their

fancy rentals. You got to bring people

their food. You got to bring people uh

you got to get them at their locations.

This is a really tough business. I

highly doubt somebody who bought this

business for AK again name and LLC is

actually the business is actually worth

millions right now. Highly doubt it.

From the cheapest parts of this jet all

the way to the most expensive, ready to

go. First, we got a $5,000 sink. Then we

got a $100. It's probably honestly more

than $1,000 carpet. The Yes, it probably

is $100,000 for the carpet. Cost

$200,000. Then we've got the wood

paneling. $400,000. We got also likely

these right here. That is $975,000

for the sounds. You do not want to

replace any of this crap because it all

has to be FA certified. It's insane.

Look at that old cockpit, though.

Cockpit. This is a million dollars

because this thing can take us Yeah,

it's a million dollars. And it's kind of

a piece of crap. All the way to Europe,

which apparently is rare. Usually a jet

of this size would cost you how much to

fly for an hour? About $10,000 an hour.

Do you want to use the Yeah, I I I'm

think she's giving us costs here because

you would rent you would rent out a

Falcon for probably closer to 14 an hour

with the right customer service and

company. The 24 karat plated bathroom.

What the Of course they do. In the

breaking. Let's talk business model.

Selling planes. Well, sell a $10 million

plane. I bet they take about a 3%

commission. I bet. Did you not hear it?

Which means you make 300k. That's cool.

But that's a feebased business. Margins

ain't that great. Meaning you don't make

that much money. Chart that's Oh. Oh,

she's guessing on on aircraft sales.

That's aircraft sales versus is what

they do the most of. They let somebody

buy a flight for 20 to 50k. They

probably take home somewhere between 2

and 5K. They can do this many times.

This is cash flow as opposed to onetime

fee. Usually people No, no, no, no. The

amount of labor that's involved in that,

remember, you got to you got to fight.

Listen, it's not just getting the plane

to the location. You also need to get

two pilots to the location. So what if

your pilot is in Florida and Austin,

Texas? You got to fly it out of Camaro.

Now you got to get the aircraft there.

So you got to fly your pilots to, let's

say, Henderson to fly the plane to

Camaro to pick up your customer, to fly

the customer where they want. And then

what? What if they only go one way? It's

not that great of a business, man. This

is a very, very tough business to make

money in. Uh yeah, you want to sell

memberships, but who wants your Stella

Jets membership? You can get a you get a

NetJets membership. You know, that's

that's the cream of the crop jet card.

They're doing it often. But the way we

make sure they're doing it more often is

we turn them into members, which is what

they do here. So for memberships, you

get their flat fee of 10K all the way up

to 100K. That means you get experiences.

This is cool. That's what we just talked

about. These experiences might be a cool

celebrity flight anywhere from 10K to

100K. There's no difference between that

and a charter flight. That's just

branding. is worth and actually I have

Okay, this is me, but I really

appreciate you coming. Enjoy the flight

and I'll see you next. I I like how they

put these two random dudes next to them

just for a cool shot. That means

absolutely nothing. Thanks. Thanks.

Okay, this is

today few not willing to this big too.

So this video it's really to you and to

your future. This I don't know. I I'm

highly skeptical of all of this. I think

that there's no way this business is

worth millions. They gave us no insights

at all into how this business went from

$8,000 to being worth millions. They

told us a little bit about the private

jet charter industry. They gave us some

generic numbers, which I think some of

them were probably quite wrong. We

didn't get anything on profit margins.

They didn't talk to us about pilots.

They didn't talk to us about 135 FAA

fees, inspection fees. They briefly

mentioned empty legs. They didn't go

into detail about the hell of that and

how margin destructive that is. Uh uh

and and how the only way you really make

money is if you're as big as like a

Warren Buffett owned NetJets and you

don't have empty legs. Somebody in the

chat says, "I thought they said 10 to

30% profit margins though." Here's the

thing. You got to be careful when people

say, "Oh yeah, 10 to 30% profit margin."

Maybe on that one flight you've

chartered, you've given me a standard

profit margin for any business. any

business. Apple is a 10 to 30% profit

margin on the phones they sell. Okay?

Microsoft is like a 10 to 30% profit

margin. I mean, they're probably closer

to like 40%. But my point is like 10 to

30% profit margin. Bro, I could go like

this

to any business and say 10 to 30% profit

margin and probably be right.

So, let's be real. You are not making

money if you are covering empty legs.

You were losing money. you are lucky if

you're making a 30% profit margin on an

actually booked out flight on the actual

flight just because it's so damn

expensive to fly. Uh just just fuel and

like warranty and and engine programs

alone. The break even cost of this puppy

is $1,500 an hour. Break even cost.

That's fuel.

Uh it's it's basically think about it as

like $500 an hour or for fuel, $500 an

hour for engine programs. $500 an hour

for all the other bull crap consum you

know whatever

uh tires, brakes, uh whatever other

warranty issues, right? Uh so have you

paid pilots? Have you paid

repositioning? Have you paid the airport

and landing fees? Uh have you paid your

insurance costs? Have have you built in

your profit margin? Have you paid your

customer service hours, you know, in

there? Have you paid, you know, what

about your sales and marketing expenses?

Like none of that was covered in in in

that Cody video. And that's why I'm

like, come on, man. This is th this is

nonsense. We didn't really get anything

out of that. Why not advertise these

things that you told us here? I feel

like nobody else knows about this. We'll

we'll try a little advertising and see

how it goes. Congratulations, man. You

have done so much. People love you.

People look up to you. Kevin Praat

there, financial analyst and YouTuber.

Meet Kevin. Always great to get your

take.