Starting your very own limousine hire business can be a quite scary idea. The large costs of buying the limos, insuring them and even trusting your precious vehicles to drivers is almost enough to put you off from the get go. The first question you need to ask yourself is, why am I doing this? Are you trying to support your family, spend more time with your loved ones or just pursuing a passion? If you don’t have an answer, perhaps you should stop reading here. Running a business is tough, and if you don’t have a strong reason to get you through the tough days then it’s probable that you will quit or move onto something easier.
Still reading, you must be serious. Lets get to the main points about starting your limousine hire business.
Let’s be real, limousines are expensive. Especially in Australia, and even more so in Perth. The costs of limousines just like cars vary wildly. For $50,000 you can expect a decent 10-12 seater limousine with a few kilometers on the clock, somewhere between 150,000 to 250,000 km’s. You can expect to find used Chysler’s, Audi’s, Ford’s and Jeeps all around this price. At the more premium end of the limousine range, you will be looking at something closer to $150,000 plus mark. These are likely to be larger, more up to date limo’s. Brands will likely include Hummers, Dream-techs and Range Rover limousines.
There are a few costs to consider when doing the limo business math. The price of insuring your limousines is the first question. Anywhere from $600 to $2000 is an average cost depending on the amount and limousines you have. You also need to ask yourself where are you keeping your limo’s? It’s not like you can park them In your garage. For a reasonable fee ($800/ month) you can find a business district, where you can lease a decent unit to house your limos. Running a business also invariably has cost as well, anything from accounting software to stationary all have costs to consider. And don’t forget marketing, but we will talk about that further into the article.
Limousines are a luxury and as such need to be priced as such. In Perth you can likely expect to pay around $200/hr for a smaller lower end limousine outside of peak hours. If you're looking for something larger, during a peak time, such as school balls etc. The prices can be around $1200/hr. This is a balance you will have to learn to dance with. Take the good times with the bad and remember that making a profit is making a profit.
Thinking of saving money and doing your own marketing? Maybe just hand out a few leaflets on the weekend? Don’t, marketing may seem expensive, but it’s the only thing that will grow your business. Think of marketing as an investment, not a cost. Make sure your marketing on multiple platforms such as social media, search engine optimisation, Google ads, radio ads and even traditional marketing. Each has their own advantages, but also remember that any platform can disappear at any time. An example of a business that has had great marketing success is Perth limo hire business Wicked Limousines. Using a leading digital marketing business (Flaming Kettle), they have flown to second in google rankings for their main keyword “limo hire Perth”. And as such are enjoying a hugely successful period for their business.
Owning and operating your own business is a wild ride. The benefits far outweigh the effort and tears, so strap up and enjoy the ride.
Thanks for reading.