in the old cartoon they had transformers that turned into cassette tapes. you can pretty much be anything you want.
The places you could go with this technology. <img src="/ubbthreads/images/graemlins/grin.gif" alt="" />
The other drawback on the jet would be fueling. It's not like you could just pull into the Velero, grab it, gas it, and go. You'd probably have to have your own JP-5 depot and set up some sort of logistical detail to have fuel brought to you.
Being a jet would be cool, but I imagine you'd have to have a competent support team.