Taxi Driver Online

topic going on over on fasties

im just curious as to whether anyone can shed light on how a company such as the medium 2 taxi companies in edinburgh would be valued.

some how the way its being worked out over there doesn't seem to hit the mark.imo

anyone with any business acumen.retired surveyor etc

not you dougie

Not claiming to have any business acumen but it will be valued on it's assets and it's profits. Not rocket science really is it

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Note to self: Just because it pops into my head does NOT mean it should come out of my mouth!!

Usually based on a price per cab, and the quality of account work.

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IDFIMH

really,you sure you don't have any business acumen.

because id have never thought of that

anyone have a valid idea,its just that it seems to me taxi companies that are co-ops are in a bit of a funny position as regards getting a true valuation.

the guys that paid £6k seem to think that simply multiplying the price of the last position by the number of cars is how you arrive at a valuation

anyhoo im 100% sure thats not right,to me its the assets actually owned and the annual net profit.

im not even sure if a co-op is a viable business to buy for any investor.
as the customer in these setups is actually the shareholders.

no year end company profit and loss sheet no dividends or bonus's.
kinda says it all really.

yeah but the company as an entity doesn't own the cabs,nor are any of the cabs actually contracted to stay with the company.

and the account work can walk out the door at the drop of a hat.
so surely thats only good will at best.
plus that money goes to the drivers the company doesnt make a bean from that

the only measurable turnover is the money coming in from radio rentals.

and there cant be any profit left over in the profit and loss sheet or a dividend would be paid out yearly.
this has never happened in my time in the trade.

imo opinion it really isnt a viable business.
thats probably why its a co-op

as there is no actual profit.

i can see the sales pitch now


the only ones being daft enough to buy shares being taxi drivers

One and a half tmes turnover, Market share of the 24 million radio jobs quoted by Bill Purnell in last weeks EN, Demand for positons, 355 Taxi's x £10k = £3.55 million.

Just an estimate

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Alway's been about Tightening the Grip!

and like plate values you clearly don't know what you own.
or in this case what has value and what doesn't have value from a buyers point of view.
jobs that the company makes no money from dont have value.
nor would past performance even if they had value to the company from a buyers point of view,which they don't.

the only thing that has value imo is the income from radio dues and the property that is owned by the company.
as this is a co-op it is highly unlikely it would ever be sold off.
but we all know this.
lets face it dougie your just trying to talk up the price because the value of the plate is crashing.


isnt this carpetbagging of a sort

btw i did ask you not to comment

youll have to explain this dougie as am thick.

what do you regard as turnover in city.
is it the radio dues or the jobs given to you over the radio

and why are you basing this figure on turnover

surely it has to be based on profits not turnover

if a company has turnover 0f £1 million but only makes £1 profit after deductions does that then mean its valued at £1.5 mill and someone would pay that for it.

myself id pay £1.50 for it going by your figures

unless im daft enough to try and recoup my £1.5 mill investment over the next 1.5 million years

Surely the price of anything is determined by "Demand". So, if there was huge numbers desperate for a radio position then the price would go up.
For example, if your house had been floundering on the market for some time would you increase the selling price ?. As has been said before the price of "Anything" is what people are prepared to pay.

correct

unless your dougie and think that the current or future value should be based on what you paid ofr it x2,failing that you can always talk up the price by talking bullshit about a subject that none of us including me have any idea on how to value a business.

it kinda sums guys like dougie up all talk and very little substance

ive never quite understood the co-op mentality tbh

why on earth would someone shell out cash to join when they can simply pay an intermediary to do the same job minus the substantial joining fee.

are they just pandering to their own illusion

just like plates
it seems taxi driver love to self inflict wounds upon themselves in the form of debts its madness its a disease

talk about disadvantaging yourself in the market place

As I see it:

Unless they actually "OWN" some Taxis, the only thing they have to sell is their Name & Telephone Number, which is what generates the current volume of business.

One might also chose to buy the Fixtures and Fittings, the Old Radios and Office Desks. The Office will, almost certainly be Rented and many Lease Transfers include a Rent Increase, 10% is usual, so be warned on that one. Also, many Councils use a change of Ownership to increase the Rates!

You will probably need a Licence to Operate, from the Council, so any offer you made would have to be contingent on an Operators Licence being granted.

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Don't dream it ~ Be it.

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Combination

Is that simple enough for you AliT

Oh and i do mention the Word Demand

Re-Wee Eddie

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Alway's been about Tightening the Grip!

quoting yourself now.
is that the only person that agrees with you