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Have you wanted to be at the helm of your own taxi company for a while but aren't sure how to run a successful taxi business? As fewer people decide to purchase cars or rely solely on public transportation, taxis are in an excellent position to fill in the gap, making this business one that could hold strong future potential. There are several variables to juggle when looking to start a taxi business, including handling logistics and finding the right taxi coverage.

Here’s your up-to-date guide to start a taxi business in 2021.

Examine Your Competition Closely To Devise Your Marketing Strategy

While many taxi companies serve customers who flag them down at random, if you want to build your business to the point of becoming a go-to mode of transportation, you’ll have to come up with a marketing strategy. Though the ultimate goal may be to get customers to book your company specifically, the strategies you can take to position yourself well may vary. One way of getting started is to examine your competition closely to see what approaches they take, what their strengths are, and what you have to offer that they might not. That way, you can emphasize your unique offerings!

Figure Out Logistics for Your Transportation, Routes, and Paperwork

A taxi business's ability to effectively handle changing logistics may ultimately help determine its success. Some of the main items you should draw up a plan for include deciding which vehicles to purchase, making sure your drivers know relevant routes, and managing all legalities and paperwork. Be sure to also look into smaller details like:
  • Getting taxi cabs that can accommodate luggage in the trunks
  • Complying with local license and permit regulations
  • Checking taxi meters and keeping up with the latest financial technology
  • Having regular safety inspections for all your vehicles
  • Vetting your drivers, checking licenses, and conducting training as needed

Make Sure You Have Adequate Insurance for Your Situation

It's easy to overlook when you're trying to get all the other variables sorted out, but having quality taxi cab insurance can make a big difference when it matters. Make sure you have regular business liabilities covered as well as some taxi-specific ones. For instance, you may want to get general liability insurance and commercial auto insurance in your policy. Starting up a new taxi company in 2021 may involve a lot of unknowns, but with this quick guide, you'll be prepared to do it right. Whether you see taxis as an exciting business opportunity or you've always dreamed of helming this type of company, following these recommendations, getting great taxi coverage, and preparing can help put you in a strong starting position.

About Amalgamated Specialty Group

Amalgamated Specialty Group, along with its predecessor entities, has provided public auto business owners with coverage for their vehicles and operations since 1938. We provide coverage to taxis, sedans, limousines, ride-sharing vehicles, sightseeing tours, courtesy shuttles, school shuttles, last-mile delivery, and couriers across the Washington, D.C. metro area. Our expertise and experience in the commercial transportation industry allow us to provide our clients solutions that fit their unique risk profiles. To learn more about what we can offer you, call us today at (202) 547-8700.