11 min read
In Start Your Own Transportation Service, the Staff of Entrepreneur Media explains how you can launch a profitable transportation service, whether you want to start a long-haul operation or an in-town service. In this edited excerpt, the authors briefly discuss 12 ways you can get started in the transportation industry.
The following represent many of the possible types of transportation businesses you could decide to start. It all depends on what your personal interest is and what skills you want to employ in your business.
1. Taxi service
Despite its initial controversy and claims of unfair competition, Uber has staked its claim across the world — in fact, in 400 cities and 65 countries. Uber’s attraction as a small-business opportunity is that you’re an independent contractor and on your own schedule. To sign up as a driver, start by going to Uber’s website, and click on the “Become a Driver” button. A short questionnaire initiates the process.
As a driver, you use your own vehicle, so startup costs are relatively low. Uber handles all the financial aspects of the ride. Payment to the driver is on a weekly basis. As independent contractors, drivers take on overhead costs (gas, maintenance, insurance, etc.) themselves. Financial analytics website SherpaShare says Uber drivers everywhere (except New York City where rates are highest) make in the range of $8.80 to $11 per hour gross before Uber’s percentage is taken.
2. Bicycle rental
Renting bicycles is a thriving business in certain areas. The two key environments where renting bikes is a natural are in recreational tourism areas and cities. In tourism areas, you might look to set up near a large hotel or resort where extended vacations stays create ready customers. In this type of business, you’re going to need a storefront as well as a space to store all your rental bikes.
Another possibility for bicycle rentals is a bicycle-sharing approach like Hubway in Boston. Bicycle stands around the city allow riders to rent a bicycle in one place, ride to their location, and drop the bicycle at a stand near their destination. Hubway offers annual or monthly membership or daily passes. Perhaps your town is ready for a mini version of this business.
3. Limousine service
You could provide limo service to celebrities or to regular people. We’ll focus here on the “regular people” limo service.
Whenever anyone is entrusting you to drive them, a clean reputation is important. But in the case of the personal limo service, typically you’ll be driving a group of people who aren’t paying attention to where you’re going or how you’re driving but are enjoying the ride. The driver needs to be supremely trustworthy, and the vehicle needs to be safe and well -maintained.
You can operate the limo yourself, and your fleet of one limousine will be relatively easy to maintain. You can provide all the service yourself, from scheduling to driving. If you want to expand, just add vehicles