Starting a Car Rental Business From Scratch

During 1993 I rightly or wrongly decided to start acomplexities and agendas of all the travelling public.
car hire business from scratch. To make it reallyWith both the staff and the customers, of course
easy I decided to do it in one of the mostninety percent were good to do business with
competitive areas in Australia, the Gold Coast! Inand some even became friends and repeat
addition to that, I knew absolutely nothing aboutcustomers over many years. However as usual,
the business and my sole employee was equallyit's the vocal few with their own ideas about life
ignorant. However I was a Licensed Motor Dealerwho unfortunately constitute the bulk of the
and as I was going to start with used cars, verymemories.
used cars, this was a big advantage.One area that took me ages to get used to was
The first challenge was to find suitable premises.stolen and damaged cars from accidents. I
Fortunately, after a little foot slogging I was ableremember working late one Saturday night
to find a suitable spot and at a reasonable rent.detailing a car for the next morning's booking, only
Further challenges followed in short order. Next Ito come in on Sunday morning to find that I had
had to nominate an opening date in order to havedone such a good job that someone had stolen
a goal to work towards. I then commencedthe car. Usually the stolen cars were recovered
collecting an assortment of used cars, havingand the accidents were sorted one way or the
them roadworthied, painted if necessary andother, but it was a long time before I could roll
registered for rental.with those punches. One customer actually blew
Whilst all this was happening, I had to tackle all thehis brains in one of the cars and a "friend" saw fit
marketing of the business in order to gain someto comment, "gee I didn't know your cars were
customers as soon as possible to help me paythat bad" ha ha. It cost more than the car was
the rent. Before that could start, I needed toworth to have it professionally cleaned, as it was
register a business name, procure some phonerequired by law.
numbers and have all the stationery printed. ThatAnyway I am proud to say that we opened on
included a plagiarized rental agreement, artworktime and made money from week one! An
and a logo for the business.achievement that is very unusual for a start up
Of course office furniture also had to be boughtbusiness. I will always remember the look on our
and the office sign written.faces when we received the first phone call,
Now, back to the marketing. Yellow pages had tositting on the office floor (waiting for the desk to
be booked as early as possible so that we werebe delivered) looking at each other and hoping the
present in the next issue. Brochures had to beother would answer it. Car rental is a world wide
designed and distributed. The distribution companybusiness, but try to find out from anyone,
had to be coerced into doing some sort ofanywhere, what are some of the benchmarks of
distribution as their brochure racks were full andthe business and I have to confess it was a
they had a long waiting list, especially for carmission impossible for me. Therefore procedures
rental. As well as that there were four traveland policies had to be made up as we went.
magazines that had to be contacted, deals done,Some were ok, some were downright stupid and
advertisements placed, artwork done and copysome just needed some tweaking. Nevertheless,
supplied.with the help of some great staff and valued
At the same time I also had to place ancustomers, no one got killed or maimed,
advertisement for staff. This was and is eveneveryone got paid and I can still live in this great
more so today, a very time consuming function.country, somewhat the wiser.
Over the 17yrs or so that I operated thatThere are numerous, unbelievable anecdotes from
business, finding and retaining good staff wasthose years and I could not begin to relate them
probably the biggest challenge and could fill manyhere. Suffice to say that it was an in creditable
books with entertaining excerpts. In the end I hadexperience and I seriously wonder, with hindsight,
three branches, 200 cars and twenty five staff.would I choose to do it all again. Fortunately that's
Second only to staff was the incrediblenot a decision that I have to make.