What is the procedures in starting a bike taxi company


Dear Sir I started my App based company to provide bike taxi salutation to my city bhopal (M.P.) After putting effort i got collaboration with leading insurance company to provide commercial coverage for my associates & their bikes. Now i am facing problem with RTO department for past 2 months, they gave me surety to provide bike taxi license but form past 2 months my application is moving in RTO departments I have gone through online search & collected to provide legal documents to Bhopal RTO but they are still confused. I have a list of motor vehicle act:- *Motor vehicle act 1989 * section 75 of the Motor Vehicles Act, 1988 (59 of 1988), * rent a motorcycle scheme 1997 & 2015 If anything left please let me know so that i will start my company ASAP with all legal permissions & i also need to know what formalities required to start this business in other cities like Mumbai & NCR Waiting for your valuable response.

Answers (3)


330 votes

Please take note of following -
1. You are required to have a company/LLP/ Partnership being registered for your organization to work on a pan India basis and abroad.
2. You are required to follow the motor vehicles rule and laws of India.
3. You need to have association with insurance companies just like you have in your current setup.
4. You need to comply the Labour and industrial laws to run your setup. Such as registration under minimum wages act, provident fund act, payment of gratuity act, shop and Establishments Act etc are required.
5. You need to comply to the laws of direct and indirect tax laws of India.
Pursue your RTO matter on an offline basis by visiting some officer of that department and asking him/her in person to help you out. I hope this will solve your problem.


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59 votes

We can help . we are worked with many incubators where similar profile startup has been advised on behalf of our incubator and VC. Get in touch with us for detailed discussion. Regarding RTO we have to look your applications a copy and paper work

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194 votes

Bike taxi has been initiated by various companies. However, there are various issues as most of the State Governments have not permitted the plying of Bike Taxis as yet. Haryana is probably one of the few Governments which seems to have allowed the same. Kindly check whether Madhya Pradesh Govt. has allowed the same.

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