Aviation entrepreneur Manav Singh, who owns Club One which offers aircraft on fractional ownership, and Uttam Kumar Bose, former CEO of Air Sahara, today launched Air Car, the country's first low-cost air charter, with Delhi as a base. Initially, the charters will fly out of Delhi and service cities within a 500 km radius. Said Manav Singh, the chairman, "Air Car is 50 per cent cheaper than any available air charter service currently operating for similar distances and is priced competitively to a business class ticket of an airline."

While a business class traveller of an airline has to pay around Rs 10,000 for a journey from Delhi to Chandigarh and back , he can charter a three-seater aircraft at Air Car for Rs 60,000 for three people, which amounts to him paying the same fare per passenger. Additionally, Singh adds, the passenger saves on journey time, as he is not constrained to the scheduled flights run by airlines. Air Car now has two Cirrus SR-22 GTS aircraft and has placed orders for another 10 such carriers. It plans to add two to three aircraft every quarter and expand operations to all state capitals and major towns/cities by 2013. After Delhi, the company plans to launch operations in Maharashtra.