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Thread: Hello! New guy from Cleveland , Ohio

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    Junior Member slobodan600's Avatar
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    Default Hello! New guy from Cleveland , Ohio

    Hello everyone I came across this forum while gathering info on starting a limo/sedan service. My friend and I are hoping to get everything together and start by prom season. I'm an EMT and only work 3 days a week so I will have plenty of time to dedicate to this. We are hoping to start with one 120" stretch and a sedan for airport runs. Any suggestions/advice on starting up and first year of service would be greatly appreciated.

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    Senior Member Cedar Mill Limousine's Avatar
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    Quote Originally Posted by slobodan600 View Post
    so I will have plenty of time to dedicate to this. We are hoping to start with one 120" stretch and a sedan for airport runs. Any suggestions/advice on starting up and first year of service would be greatly appreciated.
    You will need more time if you are going to have a profit. I would get it in gear and legal 3 months before prom as to get out your advertising or you will be behind the 8-ball all year. Chances are AP runs do not create much profit at all, so you need the proms to put some money aside. Make sure you have plenty of working capital when starting the business. Odds are very high that the first 5 years your revenue will only be a fraction of what you are planning on. I am assuming you already have a business plan and have researched on what all licensing you need. Find a good lawyer and accountant.
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    Senior Member junehhan's Avatar
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    Yes, I agree that you should definately do some good research and find out what kinds of permits you will need. It will also depend on whether you will never need interstate operating authority as well. For me in Cincinnati, it is a must since our airport is across the river in Kentucky. If you need interstate authority or will want it soon, you want to get on it as quick as possible since the DOT is really dragging their asses on that at this time. I applied for it in the first week of November and still do not have approval. Whenever I call, NOONE ever answers the frickin phone and my emails have been going unanswered. Depending on how many your limo with seat, there are a whole slew of regulations that you have to comply with that differ from vehicle classification to vehicle classifcation.

    Especially make sure what kinds of permits you'll need to do business in Cleveland since they are probably a highly regulated city like Cincinnati or Columbus for limo operators. If they require a public vehicle license to pick up passengers in the city, that could be much harder than you anticipate.

    Since you are going to need insurance, I would also start coming up with a business plan right now as new startups are generally not insured without a solid plan of operations. You can contact Phil Brun here on the forums as he is one of the best livery insurance brokers around. He goes by Limo Insurance King.

    Since I am getting ready to startup, I will just tell you this. Make sure you have enough money to cover licensing, marketing, and operating expenses for at least 8 months because you are going to be running very deeply in the red for a long time to come.
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  4. #4

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    Airport runs will not make you much money ! You need to do all the other events too like, bachelor, bachelorette partys, nights out, weddings, proms, etc. The most important thing in this business is have good advertisement, in different ways.

  5. #5

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    You'll need state of Ohio PUCO authority, 1.5 million dollars insurance on each vehicle, drug tests on all drivers, PUCO Ohio tells me that log books for every run and drug tests are required by all Ohio operators weather you are DOT or not, you'll probably need DOT authority from what the PUCO lady said to me wether you cross state lines or not from the way Ohio PUCO is going. If you want to be licensed by the airport its $1100 per year by the airport per pass per car. Oh and all this before you even start to operate!
    Last edited by First Class Limos; January 26th, 2012 at 02:20 PM.
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    Quote Originally Posted by First Class Limos View Post
    You'll need state of Ohio PUCO authority, 1.5 million dollars insurance on each vehicle, drug tests on all drivers, PUCO Ohio tells me that log books for every run and drug tests are required by all Ohio operators weather you are DOT or not and if you wanto be licensed by the airport its $1100 per year by the airport per pass per car. Oh and all this before you even start to operate!
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    Junior Member slobodan600's Avatar
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    Quote Originally Posted by First Class Limos View Post
    You'll need state of Ohio PUCO authority, 1.5 million dollars insurance on each vehicle, drug tests on all drivers, PUCO Ohio tells me that log books for every run and drug tests are required by all Ohio operators weather you are DOT or not, you'll probably need DOT authority from what the PUCO lady said to me wether you cross state lines or not from the way Ohio PUCO is going. If you want to be licensed by the airport its $1100 per year by the airport per pass per car. Oh and all this before you even start to operate!
    I'm not sure what PUCO is but the info that I'm getting from the ODPS website states otherwise if the limo is 9 or less passengers (which is what ill be getting). http://bmv.ohio.gov/sp_limo.stm

    Do you have to be licensed by the airport to drop off?

    And I want to clarify I will be using the sedan for the airport runs and the stretch for prom,wedding,parties etc.

    I don't plan on transporting out of state and probably wont have any employees for a while.

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    Junior Member slobodan600's Avatar
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    I wonder why my last post is not showing up? Anyways lets try again.

    Quote Originally Posted by First Class Limos View Post
    You'll need state of Ohio PUCO authority, 1.5 million dollars insurance on each vehicle, drug tests on all drivers, PUCO Ohio tells me that log books for every run and drug tests are required by all Ohio operators weather you are DOT or not, you'll probably need DOT authority from what the PUCO lady said to me wether you cross state lines or not from the way Ohio PUCO is going. If you want to be licensed by the airport its $1100 per year by the airport per pass per car. Oh and all this before you even start to operate!
    Well the info I'm getting from ODPS/BMV states nothing about Ohio PUCO authority for limos with 9 or less passengers (which is what im looking for). And to be honest I have no clue what PUCO has to do with limos?

    http://bmv.ohio.gov/faq_livery_issuance.stm#tog
    http://bmv.ohio.gov/sp_limo.stm

    And just to clarify I will be using the sedan for the airport runs and the stretch for prom,weddings,parties etc.

    And do I need an airport permit to drop off also?

    I probably wont have any employees for a while and will not be going out of state for runs.
    Last edited by slobodan600; January 26th, 2012 at 05:17 PM.

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    Junior Member slobodan600's Avatar
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    I wonder why my posts are not showing up? I tried posting a few times 2 days ago and it wont show up.
    Last edited by slobodan600; January 29th, 2012 at 02:39 PM.

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    Junior Member slobodan600's Avatar
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    Quote Originally Posted by First Class Limos View Post
    You'll need state of Ohio PUCO authority, 1.5 million dollars insurance on each vehicle, drug tests on all drivers, PUCO Ohio tells me that log books for every run and drug tests are required by all Ohio operators weather you are DOT or not, you'll probably need DOT authority from what the PUCO lady said to me wether you cross state lines or not from the way Ohio PUCO is going. If you want to be licensed by the airport its $1100 per year by the airport per pass per car. Oh and all this before you even start to operate!
    Where do I get more info about the airport licensing? And from what I saw on the Ohio BMV site about registering a livery vehicle with 9 or less passengers it states that only 300,000 insurance is required. So I don't understand why PUCO would require 1.5mil? Is it for limos with more then 10 passengers or buses?

    And I want to clarify I will be using the sedan for airport transport and the stretch for proms, weddings, parties etc.

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    Senior Member Party Bus Andy's Avatar
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    The BMV website is out-of-date. Any vehicle transporting passengers for hire is required to have 1.5 mil for up to 15 passengers and 5 mil for 16 or more passengers.

    For airport licensing, contact each airport you plan to service. CMH requires a general liability policy of 500k on top of your auto policy of 1.5 mil.
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    Junior Member slobodan600's Avatar
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    Quote Originally Posted by Party Bus Andy View Post
    The BMV website is out-of-date. Any vehicle transporting passengers for hire is required to have 1.5 mil for up to 15 passengers and 5 mil for 16 or more passengers.

    For airport licensing, contact each airport you plan to service. CMH requires a general liability policy of 500k on top of your auto policy of 1.5 mil.
    Where could I find more in depth info on this? I have been searching on the PUCO website and cant find any rules/regulations for limousine or taxi service.

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    Senior Member Party Bus Andy's Avatar
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    Passenger transportation falls under bus rules. Best thing you can do is call PUCO (Motor carrier division) in the morning.

    The PUCO adopted the FMCSA rules for insurance minimums in February 2010 I believe.
    Andy
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  14. #14
    Junior Member slobodan600's Avatar
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    Are the laws same for vehicles with capacity less then 9 passengers? I have seen a few threads on here about that but they are saying 9-15 total seating capacity - $1.5m and 16+ total seating capacity - $5m. No one is mentioning vehicles with seating capacity less then 9.

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    From 1 to 15 including driver is now 1.5 mil. 16 & up is now 5 mil. Nine passengers or less requires a Livery License Plate, over 9 passengers requires a Bus Plate . You may have to convince the BMV that that is correct. They will just give any plate they can to get you done . I am sure First Class will help you on most of what you need to do to be legal

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