Jet It — the Greensboro-based fractional operator that once sold low-cost HondaJet hours and grew rapidly — has formally asked a bankruptcy court to liquidate. The company filed a 111-page Chapter 7 petition in the U.S. Bankruptcy Court for the District of Delaware on Dec. 24, 2025, marking the final legal step after it stopped flying in 2023.
A rapid rise, an abrupt landing
Launched in 2018, Jet It was built around a headline-friendly value pitch: HondaJet fractional ownership and hourly pricing often promoted at $1,600 per flight hour (not including management or ownership costs). That approach helped the company expand quickly — by 2022 it was the 12th-largest U.S. private jet operator by combined charter and fractional hours, with roughly 18,500 flight hours that year and service into Canada and Europe.
But the growth proved fragile. Jet It grounded operations in 2023, and the bankruptcy filing now discloses the scale of the fallout: $36.2 million in liabilities against just about $1.16 million in listed assets.
Numbers that matter
The petition breaks down the math in stark terms:
- Total liabilities: $36.2 million
- Unsecured claims: about $9.7 million
- Cash and cash equivalents: $155,964
- CARES Act credits (from 2021) listed at $874,172
- Total assets reported: $1.16 million
- World Fuel Services: $735,695
- American Express: more than $600,000
- Honeywell (maintenance and parts): $607,687
- FlightSafety (pilot training): $400,981
- JSSI (engine programs): $227,748
- Gogo (aircraft Wi‑Fi): $227,775
LoJet Holdings, LLC — a New York investor — is listed as the sole secured creditor and is owed roughly $26.5 million. Company founders and investors are named in the filing: co-founder Glenn Gonzalez is shown with a 26.8% interest, Vishal Hiremath 20.1%, and smaller stakes held by others.
The filing also lists a potential breach-of-contract claim against Honda Aircraft Company that Jet It values at up to $100 million. The petition notes, however, that an earlier settlement may limit or eliminate pursuit of that claim.
Who's on the losing end
More than 200 unsecured creditors appear on the schedule. Some of the larger and more illustrative entries include:
Beyond big names, the list reads like a who's who of the support chain private operators rely on: FBOs, maintenance shops, parts suppliers, charter operators that flew off-fleet legs for Jet It, and marketing firms owed six-figure sums. Several small charter operators are listed with unpaid balances for off-fleet flights, and even airport authorities and hangar landlords appear among the creditors.
Why this matters for customers and the market
A Chapter 7 filing signals liquidation rather than reorganization. For fractional owners, jet card customers or anyone with deposits, recovery prospects depend on where their claims fall in the creditor pecking order and whether funds or recoverable assets exist — which, here, look thin.
Jet It’s story also echoes other 2025 private-aviation losses. Some start-ups that pushed low-price models and rapid expansion faced similar fates this year; earlier Chapter 7 filings for other small operators and the winding down of some HondaJet programs point to broader stress in niche private-aviation segments where operating costs, reliability, and capital needs collide with ambitious pricing strategies.
The operational and regulatory aftermath
The petition confirms what had been clear on the ground: Jet It hasn’t flown since 2023, and its air operator’s certificate was revoked earlier this month. With a Chapter 7 trustee expected to inventory assets and satisfy creditor claims as law allows, the company’s aircraft, contracts, and any actionable claims (including the disputed Honda matter) will be evaluated for value — and possibly sold.
For vendors and small service providers, the filing is a reminder of the counterparty risk in aviation: unpaid fuel bills, maintenance invoices and training contracts now join a long list of claims in this liquidation.
Not the end of the conversation
Liquidation closes Jet It’s corporate chapter, but it leaves open practical questions for owners and the broader sector: how deposits and fractional interests are protected (or not), what lessons low-cost fractional startups should take about fleet reliability and spares, and how OEM support affects operator viability when aircraft types face outsized ground-time and maintenance burdens.
The bankruptcy papers provide a blunt snapshot of a company that expanded fast and then ran out of runway. For anyone with skin in private aviation — customers, vendors, investors — the filing is one more case study in the delicate economics of small-scale flight operations.
If you hold deposits, fractional hours or other claims with a defunct operator, consult your legal and financial advisers about how best to register and pursue your claim in bankruptcy proceedings.