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services for massive parts for the airline industry. This would require special vehicles and special knowledge—it may mean fewer shipping jobs, but each one will be much more lucrative than individual, smaller shipping jobs.
The Storefront
Some transportation-related businesses may require a retail-like storefront—bicycle or car rentals, for instance. Starting and running a retail store of any kind is an animal all its own and one that, according to the Small Business Administration, more than a quarter-million people in the U.S. earn a living doing. The SBA offers the following tips to get you off on the right foot:
Find the right location. Your location needs to be where your target market goes. The SBA recommends making sure to “combine visibility, accessibility, affordability, and commercial lease terms that you can live with.” In the case of car rentals, that might mean being near an airport and offering a pickup and drop-off service. For bicycle rentals, you need to be located near parking for vehicles and in an area where bicycling is safe, fun, or convenient.
Finance your retail venture. In other words, make sure you have the proper financial backing to fund your startup until the business starts to earn income. This is key for any small startup of any kind and one of the main reasons that small business startups do not make it. Chapter 6 walks you through financing. A retail storefront requires you to consider financing for a lease, purchase, improvements, specialized display furnishings, some sort of transaction equipment such as a cash register or point-of-purchase tablet with software, phones, electricity, heat or air conditioning—the whole gamut that any retail business needs to pay for.
stat fact
Small businesses created 108,000 jobs in March of 2015.
—ADP Payroll Services
Business Secrets You Should Know
Here are a few things, according to the Retail Doctor’s Blog (“41 Things No One Told You About Starting a Retail Business” at www.Retaildoc.com) that might surprise you. They were written specifically for retailing, but the following applies to any small business:
As soon as you figure out what your customers want, they will want something totally different.
People in your town will assume you are rich because you have your own business.
Sometimes a Tuesday might be your best day; other times it will be a Friday. In business, there is often no consistency.
The customer is always right.
You will rarely have a for-sure day off again.
Just because someone asks for a discount doesn’t mean they won’t do business with you if you don’t give them one.
Running a business is harder than you think it’ll be, but you won’t really have time to notice.
Determine your business structure. Do you want to head out alone or do you think a partnership of some kind might make it more likely for your business to succeed? If you decide on a partner, choose one who complements your own skill set. Partnerships can sour very easily, but if you do your upfront due diligence, it might end up being the best decision you make for the success of your business. Maybe you are the one doing the behind-the-scenes marketing and bookkeeping for your bicycle rental business while your partner interacts with customers and keeps the bicycles in good repair.
Take care of the regulatory requirements involved in starting and operating a business. The transportation business has some unique and strict regulations that you will want to be sure to know and adhere to.
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Processing payment even if you don’t have a storefront anchored by a cash register is easier than ever before with the advent of devices like the Square swipe and chip readers. They attach to your phone or tablet, are secure, and offer competitive per transaction rates. They can even be used if you are in an area with no signal; swipe anyway, and they process when you are in range.
Transportation Business Options
The following represent many of the possible types of transportation businesses you could decide to start. It all depends on what your personal interest is and what skills you want to employ in your business.
Taxi Service
Despite its initial controversy and claims of unfair competition and lack of licensing requirements from the established medallion-holding taxi companies, San Francisco-based Uber has staked its claim across the world—in fact, in 400 cities and 65 countries (“The Inside Story of Uber’s Radical Rebranding,” Jessi Hempel, www.wired.com, 2/2/16). Uber’s attraction as a small-business opportunity is that you are an independent contractor and on your own schedule. To sign up as a driver, start by going to their website at www.uber.com, and click on the “Become a Driver” button. A short questionnaire initiates the process.
There is no hailing of an Uber cab; Uber’s service is based on the Uber app. When someone needs a ride, they submit a trip request through the app. Uber drivers in the area
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