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Things to consider when setting up a chauffeur car service business

Here are some things you should consider when setting up a chauffeur car service business.

Making the decision to set up a car service business is an exciting one but there are many things to be aware of and consider before taking the plunge. Not only do you need a good head for business but the experience of working with the general public may also come in handy.

Here are some things you should consider when setting up a chauffeur car service business.

Vehicles

To keep up with initial demand, you will most likely need a few vehicles running from the outset so it’s important to consider this when calculating your start-up costs. Vehicle leasing is probably the most realistic option in the first instance. Starting small and building up a portfolio is a wise move. This will give you time to assess supply and demand and make an informed decision about the potential long-term growth of your business. 

Insurance

As well as commercial car insurance you will also need public liability insurance. Shop around for the most competitive quotes and read the small print in detail. Your company must be fully covered for every eventuality so do not cut corners. It could cost you more in the long run.

Drivers

Whilst you may only need to hire a couple of drivers in the first instance it is important to make the right choice of employee. Whilst driving experience and a good knowledge of the local area is essential, experience in working with the general public is too. Your drivers and their demeanor could make or break your company. Whether you are striving to be the best LAX car service company or want to make an impact in D.C, make sure your employees are well-mannered and appreciate how paramount customer service is. Put an ongoing training program in place and regularly assess staff performance. Ensure your drivers know the best and quickest routes within their working radius.

Rates and competition

If you don’t charge the right prices for your service, it’s unlikely your business will thrive. Make sure when calculating client quotations that you are taking cognizes of all associated costs. As well as the cost of fuel and staff time, you should also be mindful of running costs and apportion those accordingly. 

Never underestimate your service value and try to remain competitive. Carry out regularly competitor analyses to ensure that you are charging similar to the competition. When necessary, re-negotiate fuel costs with suppliers. The bigger your company gets, the more fuel you will be buying. This will give you more leverage to agree reduced costs which will make a difference to your bottom line. 

Customer service

Happy customers are what every business should strive for. As with most public service industries, recommendations can mean a huge increase in business. Provide a good service and you are likely to see repeat and new custom, provide a bad one and it could prove detrimental. Where possible, obtain feedback by way of customer surveys. Feedback of any kind is crucial to drive your business forward.

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