I am extremely interested in getting into the limo business with 2 other people. We are wanting to purchase 2, 2001 limos and office out of our homes for now. We all live in Houston and have full-time jobs outside of the home. We had thought about being the drivers on the week-ends to save on cost. Of course, we would eventually want to pursue this full-time. How long until we can expect to see a profit? Can three partners make a significant living in this business?(100,000+ each)?
The short answer is, it's possible. Of course they say anything is. But it would likely be a looong time coming.
Profitability and regulated industries don't always seem to go hand-in-hand, and as you will find, the limousine industry is pretty well regulated in most places. That is as compared to many other entreprenuerial endeavours.
Then of course comes service. This is a service industry of the highest caliber: personal service.
So thus far you have two major obstacles to address prior to looking on to profits.
Then comes insurance, licensing, maintenance, training, capitalization, and host of other concerns. Having said that, a few questions for you (and these aren't gag questions, I usually ask them of everybody with the same interest). Be honest:
Why are you (or think you are) so excited to get into the limousine business?
Do you know anything about the limousine business? Or worked anywhere in the limousine industry?
Have you ever been in business?
Have you ever been in a limousine?
Karl
I am particularly interested in your penultimate sentence, how long to make $100.000 each per year. I would work that figure backwards after taking your net income per annum. I am afraid it will be a very long time. But firstly you have to be honest and answer the questions Karl has put forward and they are all very valid, and then consider where you want to be, as against need to be.
Sincerely Dick Hall