I am doing some marketing at the moment and wondered if anyone targets taxi drivers and if so what are the pitfalls if any?
I have been surfing the net today looking for local businesses and when I put in taxis I was suprised at how many came up. Is this a good market to go for?
although taxi drivers accounts are pretty easy they are on hmrc's red list for investigations on the grounds that they are paid almost exclusively in cash. I think they have some kind of formula where they look at the mileage and make an estimate of what the true takings are when they come a knocking!
So would you say not to target the Taxi drivers and maybe go for Plumbers, Electricians etc? I already have an Electrician I do the books for so am familier with that sort of work.
Thats unbeleivable about chip shops, I can imagine its a good way to catch them out.
thanks, Amanda
PS does anyone know the formula, just incase I get a taxi driver?
-- Edited by Amanda on Tuesday 5th of October 2010 10:00:53 AM
I probably wouldn't actively search out taxi drivers but when they have approached me I have taken them on board, I think it's just a question of being a bit wary.
Plumbers , sparkies all good in my book, especially if they are on CIS as at least the income is all verifiable.
How about approaching more 'female' industries as these clients may feel more comfortable with another lady, perhaps childminders (lots of tax breaks here), pre-school clubs, hairdressers?
There are alot of hairdressers round here, infact I was networking in my hairdressers last week as they are all self-employed and one of them may be looking for someone. We have alot of pre-schools rounf here as well. Thanks for the tips, I've just recently lost a customer and not doing quite so many hours as I was doing this time last year (due to the recession), so I am stepping up the marketing now in the hope to get a new client or 2. Its nice when I really busy and love having lots to do, but now I'm abit quieter, its down to the marketing, which is not my strong point!
Who else is on the "red list" ? What are the obvious cash based businesses?
Corner shops, sandwich shops (looking not only at cash but proprietors using goods personally).
I had at one time (long time ago) a list which gave the ratios of turnover to profit was expected of different types of businesses which Inland Revenue (as it was then) used.
I may not actively looking for a taxi driver, but when they approached me, I took them on board, I think this is a problem is a bit worried. Plumbers, sparks are good in my book, especially if they are at least in the CIS all verification of income.
