Taxi business plan manila

Photo by illustir Commuting around the Metro With the increasing population in Metro Manila of roughly 13 million, commuting around the region can be a real pain. Not to mention the hundreds of thousands of students and workers from the neighboring provinces that travel in and out the region, expect the public buses, jeeps, taxis, and the MRTs and LRTs to be on their full capacities especially during rush hours.

Taxi business plan manila

As with most other types of businesses, the exact costs of starting a taxi business will largely taxi business plan manila on the area where your business is located.

However, during the financial planning process of starting your taxi service, there are a number of important things you must consider.

Business Idea To Explore: Taxi Cab Business in the Philippines | Rich Money Hacks

Carefully evaluating these tasks can help you to determine the overall startup costs of opening a taxi business, as well as assist you in forecasting future expenses. Vehicle Cost For most taxi businesses, the single greatest startup cost is the vehicles.

Buying used vehicles can save you money on the initial purchase, but be careful about what you buy, since repairs can quickly put a dent in your finances. Taxi Top Light Whether you buy new or used vehicles, you will still need to paint them, or have some form of logo attached to identify your taxi company.

Costs for this will vary, but often, decals are cheaper than a professional paint job, and usually can be attached yourself if you are careful. Note that in some areas, this may be a regulatory requirement, and you must display certain identifying information, so check with your local licensing agency prior to purchasing top lights.

Taxi Meter Meters must be purchased and installed in each vehicle -- you are often required to have the meters installed by a professional meter shop approved by your local Department of Weights and Measures. You will also need some form of radio or cellphone communications system, so your dispatcher can contact drivers and vice versa.

Again, costs are dependent upon your area and the system you choose, but expect to spend another couple hundred dollars upfront, as well as a monthly charge if you use mobile phones. Licensing Fees Some areas allow you to open a taxi service with just a general county or city business license, which is available from the local clerk's office.

Most towns and cities, however, have some form of regulatory agency that oversees and licenses taxi businesses, and the fees for procuring a license to operate may be slightly higher to cover the costs of inspections. Many larger cities have what is called a medallion system for taxis.

Generally, a limited number of medallions are issued each year or every other year, allowing only a certain number of companies to provide taxi services in that city, and there is often a waiting list of applicants. Under this system, fees can run from a couple hundred to thousands of dollars, even when going directly through the licensing agency.

However, most cities will allow the owner of a medallion to sell it, if desired -- meaning that you may not necessarily have to wait if you have enough money to make the best offer.

Required Insurance According to the laws of most states, any vehicle on the road must be adequately insured. This goes double for taxicabs. Most states leave it to local taxi service licensing agencies to set the insurance minimums required to obtain a license, but even if there is no required level of coverage, it is in your best interest to purchase a policy beyond the bare bones minimum.

Additionally, consider unemployment or self-employment insurance, medical insurance and life insurance, especially if you will have employees. This coverage can raise your monthly premiums, but may be worth it in the long run to keep drivers healthy, happy and productive.

taxi business plan manila

Gas Cost While you won't technically be using any gas until you receive your first client, it is a significant cost that should be factored into your financial planning at startup. Evaluate the gas mileage your vehicles get and the area your taxi service will operate in to prepare a rough estimate of how far you can go on one tank of gas.

The Alternative Commuting Experience

Factor a buffer into your startup budget to pay for at least two or three tanks of gas per vehicle for the first month or two, based on the current gas prices in your location. Other Incidentals You should also be prepared in advance for repairs, regular mechanical maintenance and cosmetic maintenance, such as washing, waxing and vacuuming, on your vehicles.

While you don't necessarily need to have cash on hand, you should at least have a plan for obtaining any funds you might need, such as a small business loan or line of credit. Depending on your resources and how big you want to start, you may also choose to invest in renting or purchasing a garage in addition to your business office -- not only will your cars remain in better condition when stored indoors, but you may also be able to hire an in-house mechanic to perform maintenance and repairs at significantly less cost.Aug 18,  · I also want to know the logistics needed in putting up the taxi business; like mechanics duty, the ideal garage, office personnel and the franchising costs/requirements, bank financing.

MANILA, Philippines (UPDATED) – Traditional taxi companies may soon face increased competition, as the government on Monday, May 11, announced the introduction of 4 new transport categories. Metro Manila (CNN Philippines) — The Land Transportation Franchising and Regulatory Board (LTFRB) shared a draft of its guidelines for private firms who would want to operate a premium taxi.

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Since a lot of workers have credit cards together with the increased demand of hassle free transportation, an Uber business will be a good business in the Philippines especially in the crowded Metro Manila. A taxi business is a very interesting business, you get to meet a lot of interesting people and of course, the not-so-interesting ones, you get to go places and most importantly, you get to make money.

Oct 07,  · Uber Philippines did open a lot of business opportunities to the Filipinos and majority in the business are operators having fleet of cars. We have asked some of the operators for a tip for those who are eager to be a part of the ride share community.

Commuting around the Metro. With the increasing population in Metro Manila of roughly 13 million, commuting around the region can be a real pain. The Safe Taxi Company, a members-only prepaid taxi service operating in Ulaanbaatar, Mongolia is looking to sell our unique taxi service business plan to any interested parties. Full ongoing support will be provided, and the name Safe Taxi will also be available as part of the package. A taxi business is a very interesting business, you get to meet a lot of interesting people and of course, the not-so-interesting ones, you get to go places and most importantly, you get to make money.
Starting a Taxi or Cab Company – Sample Business Plan Template | ProfitableVenture