Within the last 3 years, the Uber business has blossomed. In fact, many people have invested so much in it. Some have resorted to registering their personal cars on Uber, Taxify, and Ocar.
The whole idea is to generate passive income. When a driver completes three to four trips in a day, you may be smiling home with at least N10,000. That’s enough to take care of them for three days. This is just okay for an average Nigerian family.
Undoubtedly, the Uber business has also been a full-time job for drivers. The business has flourished to the extent that fleet companies have emerged. These companies pick-up vehicles from owners, manage those vehicles for them and give them returns weekly.
They register these cars on different hailing platforms, look for drivers who will drive the vehicle. They usually maintain cars and pay drivers’ salaries on a monthly basis. So, the value chain of this sort of transport business is indisputably immense.
Further, another aspect of this business is higher purchase and rental. For higher purchase, a car owner negotiates with the driver on the total amount to be paid for the vehicle and the duration.
The driver usually pays on installments weekly for a particular duration which is usually over one year. The driver takes care of the car and it becomes him after paying off the amount agreed. Violation of the agreement may lead to retrieval of the car from the driver.
However, If it’s on rental, the driver pays the car owner on a weekly basis. The maintenance of the car is usually shared between the car owner and the driver. Expenses within the range of N5,000 is taken care of by the driver, if it’s beyond, then, the car owner takes care of it.
Now, the focus is for those who own a vehicle and looking for a driver who will use it on a rental arrangement. This doesn’t usually come easy because of trust issues. Before you give out your car to any driver for Uber business on rental, there are certain actions you need to take.
Agreement
You need to sign an agreement with a trusted and reliable driver before releasing your car for the Uber business. This agreement must be enforceable by law. The agreement form stipulates the terms and conditions biding the contract. Make sure both of you understand the agreement before signing.
Guarantor
There must be a person or persons who can serve as guarantors to the driver. The guarantor is expected to open his or her signature on the guarantors’ form. The guarantor must understand the terms and the conditions binding the overall contract.
In most cases, the guarantor bears the burden should the case of car theft or accident occur. This kind of clause must be very clear.
Verification
It is imperative to know the residence of your driver and the guarantor. Do your background check to fish out certain information. It is not a wise decision to just speak with the driver’s guarantor on the telephone without going the extra of verifying him. You should do this to avoid negative stories in the long run.
Contract a Lawyer
Even though many are not doing this but it may be a good deal to have a lawyer involved in the agreement. You only pay a token to the lawyer.
Install a Tracker on Your Car
Car tracker can also be a good idea. With a car tracker installed in your car, you can easily monitor the movement of the car. There are certain companies that can help you do this.