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(October 26, 2018)--Though taxi services are ubiquitous throughout every city and town around the world, that does not mean that starting one is simple. Even ride-sharing apps are being clamped down with an increasing number of rules and regulations, and ignoring them can result in fines and even incarceration. You need to adhere to all of the rules and regulations, and to follow this guide to start your own taxi company:
Budget for the Startup Costs
There are a few costs you need to take into account when you start your own company. For example, even if you plan on using your own car, you will probably want to get it professionally cleaned before you start, and then periodically throughout the year to keep it sparkling. Then there is the extra insurance cost, the cost of the office, cost of getting the right management programs, and so on. Knowing what you need and budgeting in advance can help you save for it, get a loan, or budget it in.
Get Insured as Required
Operating as a taxi means you must have special insurance to cover both you, your passengers, and your business. The type of insurance you will need will depend on several factors, including the size and type of your vehicle. If you have a minibus, for example, which is great for large groups or for running routes (say, to and from a luxury hotel to the airport), you will need minibus insurance from a company like AcornInsure.co.uk, who have over 30 years of experience. The more vehicles you have in operation, the more advanced your insurance needs will be.
Get Your Taxi License from Your Local Council
Once you are insured and have your business up and ready, you will then need to get your taxi license from your local council. The requirements do vary from council to council and especially in the different countries throughout the UK, but generally you will need:
- Be Medically Certified and Fit to Drive
- Have a Car Fit for Purpose
- Be Insured
- Have a Valid Driving License
- Able to Communicate in English at NVQ/GCSE/O levels or have taken the IELTS
- If Applicable, Take the Knowledge Test
- The Disclosure and Barring Service (DBS) essentially a background check
Market Your Company
Being certified and set up as a company is great, but there is a lot of competition out there meaning you need to go above and beyond to be memorable. Not only do you need to create unique, memorable adverts, you should also try to partner with local businesses so that you are their go-to company. Say you partner with a hotel, then every time their guests need a taxi they can recommend you.
Taxi drivers and private ride shares earn billions in the UK every year. Getting in on this lucrative market, however, is going to be tough. You need to do all you can to provide great service and create a memorable and catchy marketing campaign to keep the calls coming in.