Starting small car rental business - HELP!!

[majade13]

Hi there people of the UK Business Labs.

I recently purchased a car on a long term contract and am looking to give the car out for hire/rental to customers. I am looking to start doing this with several vehicles however I'm not sure what kind of information I need to remember when giving a car out for hire?

So a few bits of advice regarding these questions would be very helpful:

1. What do I need to take off my customers?
2. What do I need to give them?
3. What documents will I need to produce/circulate?

Also, any advice in general regarding giving cars out for hire? What will I need to consider? What are the risks etc.

Thanks for the help.

[Emma]

Hi and welcome. The first thing that comes to mind is; does your contract for the vehicle allow for you to hire out/sub-contract them?

[majade13]

Originally Posted by Emma

Hi and welcome. The first thing that comes to mind is; does your contract for the vehicle allow for you to hire out/sub-contract them?

Oh sorry I forgot to mention.

My method of purchase is not a standard contract purchase, therefore it does allow sub contracting/hiring out.

[Ray Stewart]

is to hire a car yourself for a day and see what happens. You will also get the idea of terms needed in the rental agreement.

Insurance is something you need to look at carefully as most specifically prohibits hiring out.

Initial risk is will they bring the car back? and what will you do if they don't? A tracker would be a worthwile addition.

You definitely need a good lawyer to draw up the rental agreement officially to make it watertight and binding and not breaching any copyrights from the hire company you test rent from.

You need to know what to do about damages, levels of petrol/diesel etc at start and end of each rental. People are generally less careful with hire cars than their own and you need absolutely clear policies in place so everyone knows where they stand legally.

I expect you will also need a tame mechanic to look after the vehicle and keep it legal at all times.

Hope this helps a little.

Best of luck

[promostamper]

check the vehicle with the renter for any scratches etc before hiring and write everything down and keep copies and do the same on return. know people who have hired and no check was made but the car was already scratched and when they returned it they had a hefty bill even though they had received it in that state

[Eliska]

1. You will probably need to register your venture first of all and obtain all the relevant documents to show that the vehicle is in a good condition. Furthermore, you might need to take some form of liability insurance to protect yourself.

2. Regarding your potential clients, you should take some form of guarantee that you get your vehicle back in good condition. This can be done in several ways, background check, credit check, deposit etc.

3. Also you will need to make sure you comply with all relevant laws inherent to this kind of business.

Good luck!!!