Good Afternoon All,
If you've seen one "Limousine Start Up" thread, you've seen them all. Typically, it's delusional individuals who believe they can become rich quick by driving around rich men. Fortunately, I'm aware the business doesn't work that way and there is a HIGH failure rate in this business. My situation has a bit more variables that I'll include in order to get more accurate information. If anyone is willing to take the time out and offer some advice I'd really appreciate it. Here is my deal:
I'm a 24 y.o from New York. My father owns a small taxi company here, I've been driving/managing for roughly 6 years now. Summers are very profitable since we do business in the Hamptons, but business during the year is so-so (I figure it's somewhat the same in the Limousine industry in Spring/Summer seasons). I'm a Legal Assistant in Long Island as well, so this isn't my primary occupation. I did it while in college for some extra money and have done it mainly because of that, for extra money. The Limousine industry became something I wanted to pursue because I have reliable networking options in New York City and I have very strong marketing skills, so the advertising perspective of the business really intrigued me. My experience in the taxi industry also has improved my customer service skills with clients and potential clients. There are a few other aspects that has me motivated to start a Limousine business but I'll save you all of the boredom and get down to business.
Financing a Limousine business and obtaining affordable insurance are two areas I have concerns about due to financial history I had in college. Long story short, I was young and irresponsible which could probably come and bite me in the ass now. My credit isn't too great, when I was 20 I had my checking account shut down for insufficient funds (which I did pay the bank back years ago). During that time (18-20 years old) I also had about four bills go into collections (which I have also paid all off). My credit has improved since then but I'm sure you all can see how it's still damaged. A year later (age 21), I had three speeding violations in a 6 month time frame which in New York results in a suspended license for six month. Again, I have since got my license back and now I'm currently trying to start a Limo service with all these obstacles of my past coming back to haunt me.
So with the bad credit and a revoked license in the past, I am FULLY aware that I am already at a huge disadvantage in starting a Limousine company. The bad credit will lead to higher interest rates when attempting to finance a business (if I could even get any loans at all) and the revoked license I got in the past will make my insurance premiums sky-high. These are things I am aware of.
The information I am trying to get from the Limousine community is what are some ways I can finance a company, in an affordable fashion, even with these past obstacles in my way? Also, what suggestions do you have in terms of what I should be doing to resolve this issue before starting the company? Thank you for helps in advance.