Limo companies caught out by SVA issues

My spies tell me that a there are a good number of limo firms out there that have not managed to meet the deadline on the 1st January 2008 to register their business for private hire and there are a number of reasons for this.

There are 3 options for registration, a PHV Licence which is issued by the local councils, a Bus Operators Licence or in the case of London, a PHV Licence issued by the Public Carriage Office. However, all of these organisations require that the limousine have a SVA certificate before they will allow it to be licensed. The problem here is, when many of the limos were imported into the country, an SVA was not necessarily required, but now that the rules have been tightened, it is nigh on impossible for a limo to get a retrospective SVA. So the limo companies are in limbo. They can sell the limo and buy one with an SVA, apply for a voluntary SVA with all of the technical details and vehicle specifications that are required, not to mention the expense. They could operate illegally or simply give up and become a train driver.

Even those who have an SVA or have overcome this obstacle are still not out of the woods. Many limo operators have discovered to their cost, that the process to licence the business, cars and drivers is a long one and each part of the process must be completed in order. So, something that many limo businesses thought would take a few weeks, has often taken months and the result is, that come the 1st January, some companies have still not managed to complete the process. It is difficult not to feel some sympathy for these individuals and companies, but that must be countered by the fact that there has been almost 18 months notice of the change.

It remains to be seen as to how many limo companies will be affected and what their response will be, some may opt for a career change or take a sabbatical whilst waiting for the licenses to come through, but you can bet your bottom dollar that a few will carry on trading.

Good luck if you are looking for a licensed limo in London

Rumours are abound that in January 2008, there are less licensed limo companies in London, than there were last year. Now that may surprise industry pundits, given there was a change to the law which came into force on the 1st January 2008 which required all limo companies to register their business for hire or reward. In London these companies should have registered their businesses with the Public Carriage Office.

So what has happened, have they decided to throw in the towel? Well no.... it seems that many have decided to re-package their limo business, offering limousines for hire on a self-drive hire basis, with the requirement that the customer then employs their own driver, the limo company will have a list of drivers that the hirer can choose from and the customer must pay the driver themselves. Voila! No need to licence with the PCO, no need to employ drivers that have been CRB checked, no need to worry about those enhanced vehicle tests.

Is there anything the PCO enforcement officers can do? Probably not! Can the Department for Transport do anything, yes, they could address the legislation, but they probably won't. So what will happen next? If the unlicensed minicab drivers in London get wind of this, maybe they could also use this tactic to allow them to collect fares legally. They could borrow their mate Harry's car, then go around London picking up customers, all they have to do is get the punter to sign a contract that says they are hiring the car from his mate Harry on a self-drive basis and then they can employ the unlicensed minicab driver to take them to their destination. Ludicrous yes, but why not, if the limo bosses have found a workaround, why not the unlicensed minicabs?

The transport agencies have known about this self-drive hire business for nearly 2 years, it is a pity they didn't consider this when they made the changes to the RTA, once again, the general public are let down by the very people who are entrusted to protect us.

Limo companies outmanoeuvre new private hire legislation

Rather than licence their businesses, limos and drivers, it would appear that many limousine companies have simply decided to opt for the self-drive hire route. Briefly, this is where the customer agrees to hire the limo on a self-drive basis, but "employs" the services of a professional chauffeur to drive the limo. The hirer must pay the chauffeur direct and in some cases, will also be expected to pay for fuel as well. The arguments as to whether or not this is legal have a momentum of their own, but the bottom line is VOSA have done nothing, that tends to speak volumes, or maybe they just can't be bothered.

So despite the best endeavours of the Government to safeguard the travelling with the amendment to the Road Traffic Act, some (maybe many) limo bosses have simply changed the way they operate their business. So it looks like an own goal for the Department for Transport, ironic given it had taken them so long to improve the legislation in the first place.

Pity the poor individuals and companies that have spent their hard earned money to comply with the revised Act, only to find that they may as well spent it on a good holiday and set up a self-drive hire business instead.

Unlicensed limo companies finally outlawed in the UK

From the 1st January 2008, all companies offering stretched limousines for hire must be fully licensed to offer their limousine for hire, the only exception if limousines used exclusively for weddings. This follows amendments made to the Road Traffic Act 2006.

In the past, many limousine companies used the so called “seven day rule” to allow them to operate as a limousine hire company. This was sometimes because the limo company could not be bothered to go through the hassle and expense of licensing their business, vehicles and chauffeurs, but also, and more commonly, as a direct consequence of their local authority either refusing to licence stretched limousines or introducing conditions that made it virtually impossible to comply. Invariably there were neighbouring local authorities that had a completely different interpretation of the rules relating to private hire, in relation to left-hand drive stretched limousines. The Government introduced the amendments to ensure that there was a common framework for limousine companies in relation to private hire and to introduce some regulation to a hitherto unregulated, burgeoning industry.

Fortunately for existing operators, the Government announced a delay to the introduction of the amendments to provide existing operators ample time to make the necessary arrangements to licence their business, vehicles and their chauffeur, in fact, the industry have had close to 18 months notice. Of course some limousine companies may already have ‘voluntarily’ licensed their business for private hire, if their local authority supported such applications and the business owner wanted to operate their business in a regulated and completely legal way.

So, given the industry has known about these changes for nearly 18 months, there is no excuse for any company to be operating an unlicensed limousine business and any that do, should be viewed in exactly the same was as an unlicensed mini-cab operator would be.

Of course those limousine operators that have invested the time and money into becoming licensed can rightly expect swift and decisive action from the enforcement officers against any limousine operators who continue to trade without an appropriate private hire licence. In the past the Police, local authorities and VOSA have failed to have a coordinated approach to this issue. Now, following the change to the Road Traffic Act, the public and the industry is entitled to expect these Government agencies to do their jobs.

No doubt there will still be some operators that whine about the amount of time they have been given to conform, but 18 months is a long time, plenty of notice for an operator to go through the necessary steps to licence their operation, vehicles and chauffeurs. Therefore they deserve no sympathy, if they have not licensed their business, then they are not entitled to trade and if they do, the Government agencies must prosecute all cases with vigour.

Many in the limousine industry have argued for regulation and they now have it, whilst not perfect, it is a good start and you can expect the vast majority of these operators to both welcome and conform to the new requirements. Others may feel that the costs were prohibitive and decided to exit the business; this means there may be less capacity in 2008, however, this is likely to be short lived as the professional operators expand to fill any void. Nonetheless, there will still be a hardcore of operators that consider the law is not for them and fail to licence, these people should be pursued, reported and prosecuted to the full extent of the law until they have all been closed down and until this has been completed, the Government agencies will have failed in their statutory obligations to the public and the private hire industry.

Should I ask a limo agent to find me a limo for hire?

The first and most obvious question is one you must ask yourself. That is, do they add any value, or will I just be paying more for less? There are a number of websites in the UK, that require you to complete a single form, then they will then send this to limousine companies in your area, who will quote you direct, cutting out the middleman. It is also worth remembering that there are more than 20 Limousine Directories focusing on the UK market, each containing a list of limo companies. These are typically categorised by county, city or town, so the task of finding a limousine company is not a daunting one. Finding a good one, may be a little more challenging, therefore, you need to establish exactly what this limo agency will be offering you. Listed below are a series of questions that will provide you with a good starting point.

If they are suggesting or imply that they offer the "best prices" or their "prices can't be beaten", then ask if they are prepared to provide you with a guarantee, after all, if they are as good as they think they are, then this is not really a concession, but an act of confidence.

1. Are they acting on your behalf or the limousine company? - This is an important question given it will provide an indication of whether or not you will be offered the best prices.

2. Do they charge you a booking fee for their services and if so, how much will it be?

3. Do they receive a commission from the limousine company and if so, how much is it? - You
   will want to know whether this is received instead of, or in addition to the booking fee

4. Is the hire contract with them or the limousine company? - This is critical, because you need to know what the terms and conditions are before you book

5. Are they Licensed as a Private Hire Operator? - If the hire contract is booked through an agent or broker, then they should be Licensed as a Private Hire Operator

6. Will they show you the quotes that they have received on your behalf? - You will want to validate that they have indeed offered you the best price and also, that the vehicle and services were equal

7. Can you see images of the actual limousine that you will be offered? - Never be palmed off with generic images, you are hiring a limousine, not a Ford Mondeo and no two limousines are alike

8. Are their sub-contractors subjected to a vetting procedure? - If so, you need to establish what is checked and when was the last time they were vetted

9. Are they prepared to let you know which company will be providing your limousine? -They may not be keen to let you have this information prior to booking, but there is no reason they should not, once the deposit has been paid

10. Do they have a set of terms and conditions? - These are important, because the agent or broker will want to cover themselves if the limousine company does not deliver, somake sure they are fair and equitable. This will be your best indication as to the type of agent or broker you are dealing with

11. Do they provide you with the telephone number of the limousine company? - If something goes wrong on the night, (such as the limo being late) you will want to be able to call the limousine company direct, if you have to go through the agent or broker, then you will need to establish their operating hours

12. What happens if you want to extend the hire? - Nearly a third of all hires are extended, so establish who you will have to pay if this is the case and what the rates will be?

13. Do they confirm the details prior to the hire? - When you are using a third party, there is a real risk of miscommunication over, times, dates etc. You should insist that you are contacted 48 hours or so prior to the hire to confirm the details
    
    

Remember, if you are using a third party to book your limousine hire, you have no way, unless they tell you who the company will be, of completing an internet search see if the limo company has had any poor press. Given you are placing a great deal of faith in the agent or broker to deliver the goods, you should not allow the third party to shirk their responsibility by refusing to accept any liability if something were to go wrong with the hire. After all, they are supposed to be acting on your behalf, you have placed your trust in them and they are earning a fee and/or a commission. Equally, you are flying blind, you want to hire a decent limousine, so you need to have some guarantees with regard to the limousine you are being offered and the company providing the service. Anyone can offer a cheaper hire if the limousine costs £10,000 instead of £60,000, so you must establish that a cheaper hire, does not just mean a cheap limo and a cheap service. It has to be a apples for apples comparison, otherwisw it is just a case of smoke and mirrors.

If you believe the agent or broker can offer you a limousine that is equivalent or better than that offered elsewhere, with a decent, licensed limousine company, for less than you would pay direct, then it sounds like a good deal and you should book with the agent or broker. But remember, it is a much easier to make promises, than it is to deliver on them and the risk will inevitably lie with you.

Limousine Hire Directory

Finding a limousine company in the UK has never been easier thanks to a the Chauffeur Cars & Limousine Hire Directory. From one website, users can locate companies providing chauffeur driven cars, limousine hire and wedding cars anywhere in the UK. There are additional sections for specialist vehicles, such as Fire Engine Limos, Pink Limousines, and prestige vehicles such as Rolls Royce and Bentley Cars.

The Chauffeur Cars & Limousine Directory is categorised by type of hire and county. This allows the users to select from Chauffeur Cars, Wedding Cars, Limousines, Speciality and Events Vehicles and of course, businesses specialising in providing transport to and from the major UK airports. With each company listed there is a brief description of what they offer, a telephone number, website address (where provided) and an email contact address.

The Chauffeur Cars & Limousine Hire Directory includes nearly 300 companies, is free to use and provides a very rapid search.

Event Transport for the Cheltenham Festival

In 2005, the Cheltenham Festival, originally introduced in 1902, was extended to 4 days during which there are 24 races. The racecourse employs 60 full-time staff, which rises to to over 1000 for race meetings and in excess of 5000 for the Cheltenham Festival. This event has now reached a status where more and more individuals, companies and event organisers are demanding quality transport, to and from the evnt and as often as not, for the duration of the day. Requests are received for top of the range people carriers, chauffeur driven cars and stretched limousines.

The Cheltenham Festival is the most prestigious meeting in the National Hunt racing calendar in the United Kingdom and has race prize money during the festival of £3m, making it second only to the Grand National. During the festival, over 180,000 visitors descend on Cheltenham, more than doubling the local population. It is estimated that an average of £1m is bet with course bookies on each of the 24 races. The first Cheltenham Festival meeting took place in 1902 and since then has continued to gain prominence within the racing calendar. The Feature Races include The Champion Hurdle which is run on the Tuesday and is the first showpiece event. This is followed on the Wednesday with the Queen Mother Champion Chase and on Friday with the Cheltenham Gold Cup.

Visitors frequently choose to be chauffeured to the Cheltenham Festival in top of the range chauffeur driven cars, such as a Rolls Royce, Bentley Arnage, or Maybach. Plus the tradition of selecting the best stretched limousines available remains strong. Visitors frequently retain their chauffeur cars or limousines for the duration of their visit, with the chauffeur services companies providing open sided marquees, tables and chairs for their guests.

Cars for Stars is an award winning company offering a wide range of chauffeur driven cars and the very latest stretched limousines. The chauffeur cars available for the Cheltenham Festival include the Rolls Royce Phantom, Maybach 62, Bentley Arnage, the all new Jaguar XJ (LWB), latest Mercedes S Class (LWB), Range Rover Vogue as well as Mercedes people carriers. Stretched limousines for hire are available in different shapes and sizes, in white, black, silver, metallic blue, vanilla white and candy apple red.

Cars for Stars is a franchised business, with offices in major locations throughout the UK and, all Cars for Stars businesses are licensed for private hire by the relevant local authority, in London this is the Public Carriage Office (PCO). This means that all Cars for Stars franchisees are registered for private hire, the limousines are licensed as private hire vehicles and the chauffeurs are licensed to drive the cars and limousines. The chauffeur cars and limousines do not have a private hire plate attached because of a successful application for exemption.

From the 1st January 2008, all limousine companies, that were not previously licensed to offer limousines for hire or reward, will have to be licensed. As with every licensed limousine hire operator, Cars for Stars is open to regular checks and scrutiny by the local authorities, the chauffeur driven cars and limousines offered for hire are also subjected to stringent and regular checks. All chauffeur's have to pass a medical and criminal records bureau check before they can be Licensed. Cars for Stars offers a package for the Cheltenham Festival which includes an open sided marquee, tables and chairs.

Alternative sources for chauffeur cars and limousine hire include: Chauffeur Cars Directory, Chauffeur Cars & Limousine Directory as well as a number of general web directories.

Can I trademark the term Limo Company or Limo Hire?

You can use the term, but you cannot trademark it and even adding the ™ will afford no protection. Similarly, it is not possible to trademark other similar terms such as 'Limo Agent', 'Limo Sales', 'Limo Hire', 'Limo Services', 'Limo Firm' and so on. Why? Because these are everyday, descriptive terms and used to describe a service. The law cannot and will not allow the trade marking of such terms, otherwise the provider of that service would have an unfair advantage over his competitors.

Similarly, you cannot trademark a generic terms, which would describe the general category to which the service or product belongs. For example the word "Limousine" or "Limo" is a generic term for limousine, thus it is afforded no protection in law because they are simply too useful for identifying a particular product range or service, such as "Limousine Hire". Many generic terms may also be descriptive terms. Imagine, if you will, an insurance broker that tried to claim rights for the term 'insurance broker' or the mobile phone manufacturer that attempted to claim the mark 'mobile phone', it is just too silly for words!

It is possible to trademark a distinctive logo that includes these terms. For example, if the individual wanting to use trademark "Limo Sales", produced a unique and distinctive design incorporating those words, it is likely, though never certain, that the mark could be registered. The registration process can be long and quite expensive, whilst you can complete the process yourself, because it is a complex area, there can be some benefit in using specialist solicitors or agents.

The symbol ™ is used to indicate that a word, phrase, logo or design is treated as a trademark by the party. That is, that the party claims rights in the mark, but as alluded to earlier, descriptive and generic terms cannot be trademarked. The symbol ™ is often misused, but this is more likely to be a result of ignorance, rather that any realistic claim to the phrase. Similarly, enforcement of a phrase, simply because it was marked with the symbol ™ would be prone to failure, unless the party could claim some secondary use and have significant resources to employ experts. The trademark must be registered to use the instantly recognisable ® symbol.

Royal Ascot 2008 | Will their be a shortage of limos for hire?

Royal Ascot week will be a little different in 2008 for those who traditionally book a limo to take them to and from the event. This is a direct consequence of changes in the regulations related to the Licensing of limousine companies, their limousines and their chauffeurs. An explanation is provided below. Now that the dates for Royal Ascot 2008 have been announced as the 17th June 2008 through to the 21st June (Ladies Day is the 19th June), then many people will be thinking about booking a stretched limousine. Of course, every year, limousine companies will provide the same advice, which is, if you want to have the best choice of limousines, from the more established operators, then you need to book early. This year, however, the advice is even more relevant!

In the past, it has not been necessary for limousine companies to be Licensed by the Traffic Commissioners or their local District Council, but from the 1st January 2008, this has been changed as a consequence of an amendment contained in The Road Traffic Act 2006. As a consequence, from the 1st January 2008 all companies offering limousines for 'hire or reward' must be licensed either as a Private Hire Vehicle Operator or a Bus Operator, similarly, every limousine offered for hire will have to be pass an appropriate test before it will be Licensed. Similarly, all Chauffeur's will have to be Licensed, which will include a medical and Criminal Records Bureau check. Of course, some limousine companies have been Licensed for years, but there are many more that have not.

To register a limousine for hire or reward, it will have to pass an SVA (many have not), or been registered as a private minibus, alternatively have a Certificate of Initial Fitness. These obligations will be a significant burden on many limousine companies and as a direct consequence, it is highly likely that there will be less limousines available in 2008, than there were ii 2007. In addition, many part-time limousine operators have already decided that they do not wish to go through the process and expense of Licensing. In the past, it has been these operators that have provided much of the additional capacity required for Royal Ascot.

Because Royal Ascot also coincides with many school proms, it also remains the busiest week of the year for limousine companies, therefore with the the added complication of limo companies having to License their business, vehicles and chauffeurs, a shortage is virtually inevitable.

Cars for Stars in London is licensed by the Public Carriage Office (PCO) for private hire and other Cars for Stars branches are licensed through their local authority. Therefore, the businesses are subject to regular assessments to ensure that they comply with all of the regulations, the vehicles must be subjected to regular and very stringent tests, in order that they can retain their private hire vehicle licence and of course the chauffeurs must also be licensed to drive these vehicles. For a chauffeur to obtain and maintain their licence they must be subjected to and pass a medical and will also be subject to a Criminal Records Bureau check. Cars for Stars offer a full complement of chauffeur driven cars and American limousines for hire.

If Cars for Stars cannot assist you, it is worthwhite trying the specialist Chauffeur Cars Directory, the Chauffeur Cars & Limousine Hire Directory or a directory with a large selection of UK chauffeur cars and limousine hire companies.

Looking to hire a limo in the UK, Have you found a Ghost Website?

If you have searched for a limousine to hire recently, you will have undoubtedly come across so called "Ghost Websites". These are websites where the owners have not provided any clear indication of who they are or where they are situated. For example, they have a trading name, but make no mention of what entity 'owns' this trading style, or perhaps, they have not bothered to include their trading address and/or a contact email address. If you have, then hopefully you gave them a wide berth, because any individual, company or organisation that expects you to part with money without telling you who they are or where they trade from, is not deserving of your business. Not only that, but they have breached UK laws as a consequence. It may be through ignorance, not that this is an excuse, but it could also be because they just don't want you to know!

There is an increasing tendency on the internet to come up with a common term and use this as a trading name, this is normally to assist in their search engine rankings, but can also be used to give the impression that they are a local company, when they are not! Another wheeze used by such 'companies' is to use the term "Welcome to XYZ Company .co.uk", this is clearly intended to provide the impression that it is some for of entity, but it is not, unless they follow the rules.

For example: If a company is using the trading style "Limo Hire London" this is perfectly acceptable, provided they make clear that this is a trading style or trading name, rather than a "trading entity". So, for example, if the trading entity was a Limited company called, Newco Limousine Limited, the website must clearly state the relevance or relationship of the trading style or name to the trading entity. In this case, it would be acceptable, to include on the website the following statement "Limo Hire London is the trading name of Newco Limousines Limited", or something similar, provided it is not ambiguous. Similarly, if the trading entity is an individual called John Arthur Smight, then an acceptable statement on the website would be "John Arthur Smight trading as Limo Hire London". This information does not have to be on every page of the website (but why not?), but it must be legible and easy to find.

Why does it matter? Well if something goes wrong, you can't sue Limo Hire London, because is is not a trading entity, it is just 3 words that have been strung together. Similarly, you could not apply and receive a VAT number with the name Limo Hire London, because it is not an entity. So the law states that owners of websites must include this information by statute, it is not an option, and that has to afford the consumer some protection.

But what else constitutes a Ghost Website? Take another look through the limousine websites you visited before and check to see how many actually included their trading address. Why would a genuine trading entity not include their trading address? After all, their website will typically contain a solicitation to trade, because they are advertising their products for hire, so how can they expect you to trust them when they provide such limited information? You wouldn't hand over money to a stranger on the street in the same circumstances, so what is the difference? A pretty internet based shop window, with seductive promises, maybe a few unsubstantiated or outlandish claims, should not provide you with the incentive to deal with them if they have failed to provide a full disclosure of their trading entity and address. Makes sense, doesn't it?

If the trading entity is a Limited company, then they must include the full name of the Limited Company, the Registration Number and the Place of Registration for example: "Newco Limousines Limited is a company registered in England and Wales - Company Registration Number: 012345678"

All of these websites must also include an email address for visitors to make contact, this cannot be the more commonly used web based contact forms.

We are all human and the majority of us are susceptible to a good sales pitch, but we are often less guarded on the internet, because we believe that we are in control. But is that really true? Lets assume that you are looking for a limousine to hire for you and your work colleagues. You will have different priorities, or at least, order of priorities, these may typically include the type of limousine you want, how many passengers can be carried, the price, if it is available and so on. Now, the websites owners know this, so once you have found them they will be quickly trying to establish credibility with you to stop you moving on.

This may be to state that they are based in your area, even if they are not, they will use keywords such as 'leading limousine company', 'largest fleet in the area', 'national service', or they may event go on to promise any limousine you desire.....yeah right! You may even find limo agents and brokers claiming to be limousine hire companies, when they don't own a single vehicle, it is a voyage of discovery. However, there is a risk that the words used to seduce our senses actually start to go to work and before you know it, you are calling or filling in an online form. It doesn't matter though, because you are in control, aren't you? But did you check to see if they had included who they were and where they traded from, did you independently verify any of their statements, did you consider that many of their statements were subjective, therefore impossible to confirm? Probably not, but you are in control, aren't you?

By the time you start to receive your quotes, whether by phone or email, you will almost certainly have forgotten most of what was included (and excluded) on their website. The seduction process has worked, because from 60m people, you are now having a one to one with the limo company! How many of you will ask them to substantiate the claims made on their website? Technically speaking, there is a subtle difference between using exaggerated claims and outright lies, but this may be a clue as to the type of business you intend dealing with and, the clues were directly in front of you. Then, what about the fact that they have not included statutory information on their website, was this an honest mistake, or something more sinister, have they got something to hide? Why is a professional Limousine Company operating a Ghost Website?