How to Start a Car Lift Business in Dubai

 

Hi! Thanks for stopping by.

I want to talk a little bit about my experience, as well as derive some lessons of how to start up a car lift business in Dubai. I can tell you it is not an easy process because I have been through it, but it is rewarding. Grab your cup of coffee and be ready to look into the deep end of car lifts in a busy city as Dubai!

K Legal Considerations in Setting up a Car Lift Business in Dubai

Since we all agree on the establishment of a car lift business in Dubai, let us begin with the bottom line legal requirements first. I know, I know, it’s not the most fun part, but believe me when I say that this is the area you want to get right from the very first day.

The Framework of RTA and DED

When I started to find this business, there were more than enough syllables and the letters behind them to take coke as my head was really aching. But don't worry, I've got you covered! The two main players you need to know about are the Roads and Transport Authority (RTA) and the Department of Economic Development (DED).

In terms of transport, RTA is akin to a top Authority concerned with such processes in Dubai. RTA is the one to give you the most important car lift license. In contrast, the DED is best known as the institution where you apply for your company registration.

In order to obtain a car lift license in Dubai, the following must be put into practice:

1. Respond to the RTA’s Notice of Intention.
2. Request approval of your application from the RTA
3. Provide a business registration
4. Certify that your cars are RTA compliant
5. Settle other necessary charges

Notice a lot of people tend to remember how difficult it is to go to the RTA website and making sure all the paperwork is all right. It is a bit of a hassle, but it is something that must be done.

Company Registration Requirements

Let us now cement the notion of forming your company. At this point, the DED will come into play. It is now time to register particulars on the actual organization of the company business form – will it be sole proprietorship or an LLC set up? I opted to create an LLC because it was more defendable, but your decision might be different based on your situation.

So here is a brief essence of the steps that follow:

1. Think of your business name (make it impacting!)
2. Put your intentions about the business
3. Indicate the type of business industries you would engage in
4. Film the documents send them in
5. Clean the balances and pick your license

When I took my first trade license I experienced a tinge of satisfaction since I was like, “wow, we are in this for real.”

Take Off Permit and Vehicle Registration

Wow, so you have already established your business, but are not yet ready for the roads as yet. There are specific authorized permits one needs to run as a commercial car lift in Dubai. This is also inclusive of the registration of your cars for commercial purposes.

In this context, I found it quite nice the way RTA explained the whole story to me. They also have a spectrum of the appropriate vehicles being used, so this one check it out before buying any exotics cars motors.

Insurance and Safety Regulations

Let’s shift the discussion to what is very critical- Insurance and safety. Wrong doing in business is unavoidable and it is reasonable to have safety measures that will take care of everything from the vehicle, driver to passengers. I was very impressed with the fact that there were mandatory insurance coverage requirements to be met by all the players. I have learnt it the hard way, but good insurance is worth its weight in gold.

Safety is quite important as well. Moreover, you have to conduct routine checks on the vehicles as well as shun certain drivers. I happen to be one of those people who get cars inspected every thirty days regardless of the regulations which I think are a bit loose. There is a certain level of satisfaction I get from it, and my customers do as well.

Market Research and Competition in Dubai: Where the Competition is and Where there Exist Potential Markets

Alright, now that we have got the legal angle out of the way, let us get down to the juicy part, which is determining the market.

Assessing the Need for Car Lift Services

Car lift services from companies were something I could not believe was in such huge demand while I was there for business. As the city continues to grow at an exponential rate and because efforts are being intensified to reduce traffic jams, the need for good modes of transport is real.

Those who directed my marketing efforts for example meet ups are:

• Business people going to and coming back from offices
• Adults wanting appropriate transportation for their children going to educational institutions.
• Groups of corporate clients requiring timely and repetitive transport services

Competitive Analysis: Uber, Careem, Local Services

Now, let us address the big dog in the room: the uncomfortable subject of competition. Yes, there will be established competitors such as Uber and Careem. But do not be put off! It’s just about the right size for more personal customized services.

I remember the feeling of fear at the beginning stage, however, later it dawned on me that my small stature was not a disadvantage. I was in a better position to provide a more customer oriented service that the big guys were not able to offer.

One caveat that one can suggests is to avoid car lift services that are illegal. The fines are massive, and it is a high price to pay for nothing.

Identifying Your Niche Market

Finding your niche is a must. For me, I settled for corporate car lift services. I started calling the companies and wanted to organize dedicated transport for their personnel. It worked! The companies enjoyed the convenience and the fact that their employees did not waste time during the transport, but rather were able to work.

The other good niche is school transport. Every parent understands the importance of getting kids to school in a safe and dependable manner. If you can give them such a solution, it is a ready market for you.

Costs and Investments in a Car Lift Business

So let’s discuss the cabbage. To begin with, an investment in setting up car lift business in Dubai will not come cheap, but with structured planning it has quite appealing prospects.

Total Investment and Cost of Vehicles

Most of the costs that you are to incur on getting in to business are vehicle costs. For example, when I was starting out, I made a choice to lease my first few cars. It was a bit more expensive in the long run, but it meant I could start with less capital.

This breakdown is very out. It is meant to just give you an idea.

• Vehicle purchase/lease – AED 50,000 – 150,000 per vehicle
• Business setup fees – AED 15,000 – 30,000
• Capital for acquiring licenses and permits – AED 10,000 – 20,000
• Comprehensive insurance coverage – AED 5,000 – 10,000 per vehicle

Licensing, Permits and Other Legal Expenditure

Do not forget to consider legal fees, which must be estimated. The amount will reflect the nature of the business you want to start, as well as the number of vehicles you intend to use to start the next business.

Operating Expenses

A car lift business involves more than just providing a capital investment. You have to consider operating costs as well. These include:

• Oil
• Service cost
• Payment for drivers
• Promotion costs

Personally, I realized that fuels have been one of the recurrent expenditure. Hence, I looked for more economical car lift prices considering the environmental factor as well as the cost! I can be able to make a profit sorry for the loss incurred by the company.

The Variety of Car Lift Services Which You Multiple Provide to The Customers

Now, let us try to think outside the box and discuss the various ways in which you are able to render services.

Private Vs Shared Car Lift Services

When I got on board, I had private car lift services and shared car lift services. The private services were well suited for corporate clients or any other clients who want to keep things private. The shared services on the other hand were much cheaper and therefore catered mainly for daily public transport users.

Corporate and School Transportation

Like I said before, corporate and school transportation can be really good niches. From experience, I would say that there were more reliable long term contracts if those services were provided to such target groups.

There were things that I provided for corporate clients for example things like Wi-Fi services in the cars and branding of the cars with the corporate logo. And as for the school runs, I made sure that the drivers were patient, friendly and most importantly the cars had extra safety features.

Environmental Concerns in Car Lift Installations and Design

The possibilities are vast, one of which I am actually excited about - ecological car lifts! Recently I have started introducing more and more electric cars into the fleet. And yes, they are costlier than other vehicles, their fuel efficiency saves money in the long run. Besides, all of the clients support that idea of less carbon emissions.

Technology and Car Lift Apps in Dubai

The Presence and Relevance of a Car Lift Mobile App

The first time I wanted to do am app, I did not have one. That was a major blunder! It dawned on me how customers looked forward to booking through their phones. Therefore, I developed a simple subjection app but effective.

Important design elements to have:

• Service for finding a taxi in real time
• Ability to keep passengers updated
• Location reservation with one person booking
• Easy payment for service
• After Care, Improvement of the Service
• Driver and passenger careers rating services

Ride-Sharing Technology is Inclusion

For all the passengers you will offer rides sharing, you will have to include ride sharing equipment. This would enable you to offer rides to people going to the same destinations thus making your service less costly and more efficient.

Working with Existing Ride-Hailing Services

Now this is what you may want to consider - working with already running ride-hailing services. I entered into a contract with one local ride-hailing application and this also increased my clientele. I believe such opportunities should be pursued.

Marketing And Growing a Car Lift Business In Dubai

Alright you’ve got everything sorted out and now how do you draw people to your business. Well lets us discuss marketing.

Digital Marketing Tools That Can Be Useful For Car Lift Services

For the first time in the Dubai real estate market it is very important to have a robust internet presence. I have had success listing my services:

• SEO Optimized Website
• Social media Platforms
• Ads through google
• Collaborating with affiliates

Never forget the power of mouth too. Anyone appreciating my work is always encouraged to leave comments and recommend friends.

Working With Corporates and Institutions

Do you remember those niche markets we discussed? Go directly to them! For me, it has been fruitful to call hordes of human resource managers at large firms and their proportions of school administrations I would continually approach them with some form of experiments - after they have tried your patience and dullness out of the way; they would join.

Discounts and other retention policies

Attracting consumers is not the only task that has to be done, equally important is retaining them. I have used a retention policy where about 5 rides for loyal customers are awarded at a discount. This is one of the best strategies I have used to built relationships with customers.

Hurdles In Car Lift Business Dubai

Now running such a business have its pros and cons. You might wonder why i have left the good bits till now; because I just wanted to put those useful comments really at the end.

Legal Limitations and Penalties

As I have said before, the RTA implements proper verification of the car lift regulations and it is serious in enforcing the compliance with the regulations. I can never stop seeking any changes in the laws because they must have other implications. It’s better to be cautious and not to rush into new things.

Competition with Ride-Hailing Giants

It is like a poem competition amongst school children; all the brands are trying to out-do one another with their marketing skills. I’ve realized that if you give it a personal touch and focus on smaller markets, you can do quite a bit of business. Remember, you are not trying to become Uber – you are doing something else entirely.

Managing High Operational Costs

With everything involved, like fuel, maintenance, and even the driver’s salary, it can be expensive in the long run. I am always seeking opportunities to find more efficiency in my operations. For example, I install fuel consumption monitoring devices on the vehicles so as to minimize on fuel wastage and cut down on unnecessary costs.

Sustainability and Environmental Impact of Car Lift Services

Last but not the least, we ought to address sustainability. Sustainability is rapidly becoming a buzzword in Dubai and this is one issue that I am very much interested in.

Importance of Carpooling in Traffic Decongestion

By using shared rides, we are also able to handle the traffic conditions in Dubai on our part. This is not just the right thing to do from a business perspective too, it is a wholesome outlook for the city.

Promoting Eco-Friendly Car Lift Services

In fact, as I already mentioned, I have begun to add electric vehicles to my fleet. This really helped especially for an environmentally conscious clientele and businesses trying to be as carbon neutral as possible.

Wrapping Up

Wow! I must say, we have done so much of work, am I right? Although commencing a car lift business in Dubai is for sure a very tough ordeal, there’s also a whole lot of excitement that comes along with it. From going through the necessary legal steps in setting up a business to adapting to new areas, making use of technology and considering into the green movement, it’s all fun fun and fun.

On the other hand, it is important to note that such writing did not appear overnight. It took me quite some time before I settled into my groove in business, but with determination and being open to changes, I have managed to build a business I can brag about. And I am sure, you can too!

Supposing you are nursing the idea of establishing a car lift business in Dubai, I hope my guide has been of great assistance. Please do not hesitate to ask me important questions, as I would be very glad to speak with you. All the best, and who knows, perhaps in the near future you will be driving on the roads of Dubai and we will meet again!