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Renting Out Private Hire - Questions
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Author:  fraz1975 [ Tue May 22, 2007 5:59 pm ]
Post subject:  Renting Out Private Hire - Questions
Hi guys, been offered a contract outwith the old driving game and am considering renting out my PH vehicle. Just looking for a wee bit of advice.

What is normally covered by the rental of the car, I know the mechanical upkeep of the car, servicing and so on but what is the situation with tyres, screenwash and all other consumable bits n bobs, is that up to me or the driver that hires from me ?

Also can I let them sort their own insurance out or does that need to be through me.

Cheers in advance
Author:  TDO [ Tue May 22, 2007 7:36 pm ]
Post subject: 
As usual it depends on the individual contract, there are no hard and fast rules.

But clearly the more expenses you're bearing, the more you'll charge in rental.

The simplest way is obviously to bear all expenses yourself and charge accordingly. If you want the driver to bear the expense of consumables then make sure you are both aware of what's what - it's like a warranty claim situation, when the dividing line between consumables and things covered by the warranty isn't always clear. For example, if the clutch went then that would normally be a consumable and thus you'd have to fork out, but could the clutch have been faulty or excessive wear caused by the driver?

There may well be a standard practice in your area, thus that would show you the way to go. :)
Author:  grandad [ Tue May 22, 2007 11:30 pm ]
Post subject: 
I would sort out the insurance. If they do it there is nothing to stop them cancelling it as soon as they have the keys.
Author:  Skippy71 [ Tue May 22, 2007 11:36 pm ]
Post subject: 
Having rented PH's - I'd personally advise against it; agree a 50's term instead as you have greater control of the vehicle; but LO's have a far greater influence and the office is also a condiseration.
Author:  fraz1975 [ Wed May 23, 2007 5:40 pm ]
Post subject: 
OK cheers for the advice, esp about insurance situation grandad (never thought of that one)

Skippy what is a 50s term ?
Author:  gusmac [ Wed May 23, 2007 5:46 pm ]
Post subject: 
fraz1975 wrote:
OK cheers for the advice, esp about insurance situation grandad (never thought of that one)

Skippy what is a 50s term ?


Your LA may insist on the car, insurance and plate all being in the same name. Be careful, insurance may be invalid if not in the same name as plate
Author:  grandad [ Wed May 23, 2007 6:35 pm ]
Post subject: 
I rent out the cars to the drivers. The plate is in the company name and the insurance is in the company name (fleet policy) with the person who is hiring the car as a named driver.
Author:  Skippy71 [ Wed May 23, 2007 11:43 pm ]
Post subject: 
50's is what is common around here! Basically you own a cab and rent it out on a 50/50 basis ie you get 50% of the take and in return you pay 50 % of the fuel! So basically you drive your car from 6am to 6pm the have a 50/50 driver work it at night - so you get half of their take less half of the fuel for no increase in radio rent etc as they use your ball number etc. The driver is happy cos he is earning and your cab is earning you money whilst you sleep! Everyone does this don't they?
Author:  grandad [ Thu May 24, 2007 7:05 am ]
Post subject: 
Any kind of shared bag always bothers me. It is so open to abuse. The driver does 30 jobs but only 15 are recorded so you get ripped off.
Author:  broxibear [ Thu May 24, 2007 10:05 am ]
Post subject: 
grandad wrote:
Any kind of shared bag always bothers me. It is so open to abuse. The driver does 30 jobs but only 15 are recorded so you get ripped off.


You can keep this down by constantly keeping an eye on meter readings and mileage checks, annoying but has to be done. To me every driver skins a bit but to me(tin hat on here) as long as its a sausage supper or packet of fags i let it go, i have tried to be strict about this in the past and ended up with a car sitting in the driveway with no driver or me working 16 hour shifts 7 days a week which we all know is unsafe and unhealthy. A driver skinning £30 a shift is a goner but a £5 a shift?
Author:  skippy41 [ Thu May 24, 2007 2:42 pm ]
Post subject: 
And don't forget, If you own the cab who ever you get to drive it will be an employee in the eyes of the tax man, and will be entitled to the minimum wage. :shock: ( lighting blue touch paper and standing back)
Author:  grandad [ Thu May 24, 2007 4:06 pm ]
Post subject: 
skippy41 wrote:
And don't forget, If you own the cab who ever you get to drive it will be an employee in the eyes of the tax man, and will be entitled to the minimum wage. :shock: ( lighting blue touch paper and standing back)


Wrong
Author:  gusmac [ Thu May 24, 2007 4:14 pm ]
Post subject: 
grandad wrote:
skippy41 wrote:
And don't forget, If you own the cab who ever you get to drive it will be an employee in the eyes of the tax man, and will be entitled to the minimum wage. :shock: ( lighting blue touch paper and standing back)


Wrong


I think the taxman would view him as a subcontractor
Author:  TDO [ Thu May 24, 2007 6:00 pm ]
Post subject: 
Legally it depends on many factors, not least the degree of control over the driver, but I suspect that if every individual driver was looked at then the relationship would be reclassified.

But in the vast majority of cases the taxman merely accepts the classification as put forward by the owner and driver.
Author:  skippy41 [ Thu May 24, 2007 7:52 pm ]
Post subject: 
Wrong[/quote]



Grandad If the owner of the cab dictates when the driver is required to work then he is an employee, if that driver says up yours I'm having a night off what could you do as you say he is self employed.
What happens on a school day when you have contracts to complete and he says I'm off to the pub
So in a nut shell if you decide what hours and when he has to work, he is an employee without question.
And don't forget the main issue here YOU advertised for a driver or gave him the job of driving your cab after he came to ask if there was any jobs going.
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