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Starting a Taxi Business


How to Start a Taxi Cab Service


Summary: People started using public transportation in a higher rate because of sky rising gas price, unavoidable traffic congestion and growing environment pollution. Current generation has calculated the time and money spent on everyday transportation and decided to leave their car back home or at nearby railway station while commuting to office or downtown. Hence the utilization of taxi cab service has increased over the time.

A taxi business is a potentially profitable venture that you can invest on particularly if you live in the city and there are plenty of people who need the services of cabs. The taxi business is also a good business idea especially nowadays that people are already acknowledging the advantages of using public transportation over driving their own cars.

If you are interested in a taxi business, here are some of the things that you will be interested to know:

The Taxi cab

Taxi cabs are your most important requirement to start a taxi cab business. It will be up to you to decide what car model you will use but it is best to inquire first from your licensing agency because there may be particular types of car that are required for use by taxi businesses. Operators of taxi businesses also have the option in choosing whether they will buy second hand cars or purchase new cars for their taxi business. If you prefer to use new cars for your taxi cab business, it is important that you understand it will require you to have more start up capital. You may, however, check out financing programs that you can avail of when purchasing your taxi business vehicles. Maintenance of taxi cabs will make up a bulk of your taxi business expenses so it will be wise to find a mechanic who can repair and provide maintenance of your taxi cabs on a regular basis.

Other Requirements

You will be required to secure a business permit before you can start the operation of your yellow cab taxi business. Other legal requirements to start a taxi business may vary from one place to another so it is best that you contact your local government agency for the complete list of documents and permits that you need. Operational requirements for a taxi business, however, are the same. You will need a garage for your yellow cab taxi business where you will keep taxi cabs that are not in use. You will also find it helpful to set up a hotline so it will be easier for people to contact your company when they need the services of a taxi cab business. You also need to hire honest and dependable drivers and dispatchers. Make sure that you will be hiring drivers who can take good care of your cars and who have the necessary license to work and drive your taxi cabs. Make sure that you also provide your drivers with the necessary insurance.

37 Responses to "Starting a Taxi Business".

1. khalid alsalmi on 6/13/2008

Dear Sir,
can you provide me with any research on taxi services in the Arabian gulf particular in Oman as the service is very poor even with big demand . khalidalsalmi@hotmail.com

2. yemi ejumudo on 12/5/2008

Hello, where can i get training materials on starting a taxi business?

3. elouise on 1/5/2009 6:50:42 AM

Need any info in starting a taxi service, where do i go for the meter??South Africa. Thank you

4. Marie on 1/19/2009 4:37:40 PM

I want to own a cab company in a small town. I also want to add a service for old people that they can get around to pay their bill. how can i offer both of these services in one. Thank You Marie

5. Ann on 1/21/2009 3:59:12 AM

My friend and I want to start a TAXI BUSINESS, in Philippines around Metro Manila. Is it possible to help me what is the probability of having this business feasible and saleable to Filipinos, knowing the availability of other public transportation like MRT and LRT which are a lot cheaper compare to taxi. Thank you in advance

6. jay omila on 2/9/2009 7:34:42 PM

please give more information on how to start a taxi business, its pros and cons. thank you

7. Joseph Kyama on 2/12/2009 6:23:45 AM

I need a proposal for starting taxi business in Kenya-Nairobi. Bank will be the Financier.

8. rhod coronia on 2/19/2009 4:10:53 PM

kindly give me the agency how can i have a permit to operate taxi. thank you & God bless.

9. fatima iguchi on 2/26/2009 2:25:05 AM

i want to buy 2nd hand taxi but where?please give information on where to buy. thank you very much

10. Onofurho Obor on 3/17/2009 1:35:21 PM

I have longed desired to start a taxi/door 2 door delivery company, in a little state in Nigeria, and i intend to start small and Grow big considering the financial state of the world economy, please can u let me in on the pros and cons. Thanks

11. Serena Lindner on 3/19/2009 8:31:51 AM

We have started a taxi business in a small town 10 miles from a large city. We cater to senior citizens, but we need to get a vehicle for handicap customers. Wheelchairs, scooters. etc. Is there money available for this kind of purchase? Are there grants and funding out there and how do we go about finding it?

12. Suzgo Mhango on 3/27/2009 9:36:11 AM

I want to start a Taxi business in the capital city, Lusaka, Zambia. I need to come up with a Business proposal for the business to convince my investors for this business. How can my proposal be like.

13. Sam on 4/4/2009 3:21:31 AM

Myself (Australian) and another expat (British) have started our own unique taxi company here in Ulaanbaatar, Mongolia. As a developing nation there are many concerns with taking taxis, especially within the expat community eg: overcharging/robberies/dangerous & drunk taxi drivers etc. The community response we have here from both Mongolians and the expats is that we are providing a SAFE taxi service that not only everyone wants but also one that everyone NEEDS. This is the key to our growing success. Now we are looking to sell the idea to others so that they can provide the same unique yet affordable taxi business in their own cities/countries. The overhead costs are small, with the drivers being owner/drivers, which in any developing nation are easy to find - including GOOD drivers, which is what we have here. We will provide the business model, which is then simply adapted to your city. For further information feel free to email me.

14. lee on 4/14/2009 11:50:32 PM

which would be recommendable a new car or second hand? Would you be able to give me some mechanics in controlling the cab business operation or some common concern/problems starting this kind of biz?

15. GEORGE on 4/28/2009 12:42:21 PM

this comment is direct to Sam the Guy in Aussie. I am interested in your note. is there a way i can contact you for the free information on how to own a taxi business.

16. Brandon on 4/28/2009 7:03:47 PM

Do i have to use a meter? or can i have set rates from city to city times the number of people? Also what vehicle would you recommend to brand?

17. Aswell Lufuno Alli on 4/29/2009 7:47:47 AM

How can i get the charter permit where do i go when i want to apply for it because that thing i want for now so that i can be able to get finance please help me if you can as i'm real dieing to be in this business thank you. Yours Aswell Alli

18. Carol Hill on 4/30/2009 4:53:56 AM

I need any info you have on starting cab company also a couple of buses. I don't know much so any help would be appreciated. email chill.37302@yahoo.com

19. Sam on 5/4/2009 6:23:30 AM

George: you can contact me by email at sembawangsam@hotmail.com

20. ashok reddy thontla on 5/9/2009 1:57:47 AM

how to get finance for buying cars and suggest some places to run cabs in Andhrapradesh

21. Olusola Omole on 5/16/2009 8:02:45 AM

I am going into a partnership taxi cab business in Manchester and she has no capital to put in and all the capital has to come from me. She seems passionate enough though. What advise can you give me in terms of start up cost (2 cars and 1 van to start), weekly income, profitability and viability. Many thanks

22. anthea on 5/18/2009 7:48:41 AM

i need to know what i need to start a taxi service. it will basically be funded by contracts. what do i need and where do i start???

23. Heidie on 5/25/2009 3:11:20 AM

I would like to get more details on how to start a cab business and where can a person get assistance.

24. Arnulfo Gonzalez on 6/1/2009 9:32:41 AM

I would like any type of information on requirements to start a taxi company in Texas (Dallas).

25. Maria on 6/4/2009 4:58:00 PM

I would like to start a taxicab- or limo service in Los Angeles and need to know more details and how to start?

26. joaquim carrilho on 6/5/2009 2:25:27 PM

what is needed to start a taxi company in vaal triangle, south africa.

27. refilwe matakule on 6/9/2009 3:35:00 AM

please advice on where i can get funds for starting cab business in gaborone, botswana

28. goodman on 6/12/2009 12:13:56 PM

I AM DISPRATELY LOOKING FOR A PUBLICATIONS OR DOCUMENTATION FOR TRAINING TAXI DRIVERS AND TAXI AGENCIES ON HOW TO OPERATE A TAXI CAB BUSINESS IN MY COUNTRY {LIBYA} PLEASE HELP..THANKS

29. shivdattsinh on 6/15/2009 12:25:12 PM

can you please provide all your experience and help, as i want to start cab business in Ahmadabad. contact no:9913186436

30. kencho wangdi on 6/18/2009 10:32:50 AM

i want to buy Maruti suzuki wagnoR, is good or not. Some people said C P joint is problem but i don't know, can you solve me this is true or not sir/madam

31. jonathan bangayan on 6/20/2009 1:27:18 AM

may i ask how much will i be needing to start up a taxi business. i'm from manila, philippines. i need your expertise to guide me or maybe give me some pointers on how to run a taxi business. thanks so much

32. Robert Stephens on 6/22/2009 5:27:43 AM

Can anyone help on starting a taxi business in maryborough Qld, Australia. thank you Rob

33. Erard on 7/2/2009 9:47:58 AM

Can you please send me some information on how to start a taxi business in South Africa - Where to register, how to register and also training for Taxi driver and where to resister him. Thanks Erard

34. David on 7/3/2009 8:45:27 AM

Can you send some information on starting a taxi service company.

35. Maish on 7/3/2009 10:53:12 AM

I am establishing a tour company in Kenya and you all guys can play a big role in marketing my company in America, Europe, Australia, Asia and Africa. Kenya is very famous in all these places. We can share profit on every booking you send to my company. Any one interested, My email is tours.safaris@yahoo.com

36. VIJAY GUPTA on 7/3/2009 3:04:01 PM

Dear Sir/ Madam, Your assistance is requested. I am interested for Business in Taxi Business Class in Melborn or Brisbon. Please let me know about procedure in details and investment involved in Australian Dollar. An early response will be appriciated. With Kind Regards, For Azzieon Impex Pvt. Ltd. Vijay Gupta Director. +91-93176-11945 Website: www.azzieon.in

37. VIJAY GUPTA on 7/3/2009 3:04:45 PM

Dear Sir/ Madam, Your assistance is requested. I am interested for Business in Taxi Business Class in Melborn or Brisbon. Please let me know about procedure in details and investment involved in Australian Dollar. An early response will be appriciated. With Kind Regards, For Azzieon Impex Pvt. Ltd. Vijay Gupta Director. +91-93176-11945 Website: www.azzieon.in

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