If you have ever visited or lived in a large city you have probably seen many forms of public transportation. Taxicabs are one of the ways people get around. Cab companies can be very profitable businesses. People are looking for ways to save money on gas; they also want to avoid driving in rush hour traffic. Depending upon the size of the city where you live, you can operate a very successful cab company. The following steps will show you how to start a cab company.
The first thing you need to do when starting a cab company is purchase a vehicle. You want a vehicle that has good gas mileage and lots of trunk space. You also want a vehicle that is comfortable and has enough leg room for passengers. A lot of cab company owners visit state and county auctions to purchase vehicles. These vehicles are usually in good condition and require little maintenance.
After you purchase your vehicle you will need to get a business license and any additional permits. Because you are opening a “For Hire” company you may need a special operator’s license from the DMV, or a permit from your local police department. These permits usually require a criminal background check.
Once you have acquired all of the necessary licenses and permits to start a cab company you will need to get the vehicle ready to be used as a taxicab. The most recognized cabs are yellow, but you can paint your vehicle a different color to make your company unique. You will also need magnetic signs or magnetic lettering on your car that shows the company’s name and telephone number. If you cannot afford a dispatching radio for your cab you can use a cell phone. Your cab will also need a meter and a top light. This should have the name of your company displayed on it and placed on top of the car. A partition or divider is a great safety feature to add, and so is a lockbox which is attached to the dash for storing cash. If you purchased an old police car from the auction, a bulletproof partition may already be in the car.
Then you need to promote your business. This is extremely important when starting a cab company. Nobody knows who you are. You can make business cards and place ads. You may work more than 12 hours a day until your business grows.
You can start a cab company and be very successful if there is not a lot of competition in your city. Research your local area for the necessary requirements, and you can own a business with unlimited income potential.