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OPPORTUNITIES FOR THE SMALL OWNER.

17th May 1927, Page 48
17th May 1927
Page 48
Page 49
Page 48, 17th May 1927 — OPPORTUNITIES FOR THE SMALL OWNER.
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Which of the following most accurately describes the problem?

Chances that Exist for the Development of the Small Bus and Coach Business, and Considerations That Must Not Be Overlooked.

FROM time to time complaints are voiced of damaging competition by the owners of single buses and coaches, and although nowadays it seems to be supposed that the man with a small business has not much scope in establishing a successful passenger transport undertaking, adequate recognition has never been

accorded the owner-driver who, by reason of his limited resources, is cot/welled to play for safety. This explains why, when he has attempted to exploit easy traffic routes, his presence has often been resented by others, including corporations, already in the field.

That, however, is only one side of

the story. Had it not been for the individual enterprise of single ownerdrivers, many of the large concerns of to-day, especially at the seaside resorts, would not have had such an eventful past on which to look back.

The new-comer into the business to-day, whether he owns a five-seater landaulet, a small coach or a bus, apart from the uncertainty of obtaining a licence, must exercise courage, be watchful of opportunities and not falter about making a plunge when a suitable opening presents itself. The man who is first in the field, provided he keeps pace with the public demand for transport and is able to render the service that it requires, once he is established, is a difficult man to defeat in ordinary competition.

The attitude of licensing authorities to the proprietors of public-hire vehicles is not uniform, and whilst in some instances there is a disposition to restrict competition by refusing licences ostensibly to prevent undue congestion on the roads, others adopt a let-them-come policy, which, by reason of the competition in fares and the distribution of traffic amongst so many vehicles, results in less profitable, if, indeed, profitable at all, results all round.

This is one of the considerations that should weigh with the man who contemplates purchasing his first vehicle. If he can be assured of reasonable freedom in developing his enterprise and can satisfy the local licensing authority of his ability to provide facilities which will meet the requirements of the public, it can be depended' upon that he will command sympathy when, on subsequent occasions, he has to appear before that bodk of men who have it in their power to say yea or nay to any request that may be made.

Owing to the expanding interests of public bus companies in all parts of the country—and these have by no means reached finality—it is open to question whether the small one-man concerns will be able to preserve their independence.

These are the days of amalgamations and absorptions amongst the larger concerns; anything in the nature of haphazard competition does not exist, for the reason that the companies have at least a tacit understanding not to encroach on each other's preserves. Thus, each concern is left free to develop traffic within its own area as best it may.

The small owner, quite apart from the mechanical contingencies for which he must prepare in the operation of his service, is not in a position to strike an average, as can a big company, to ensure a good net result on the year's working. To put the position more clearly, the company operating 15, 20 or more routes —good, bad and indifferent—all of them with promise of development, is generally prepared to retain a hold on an unprofitable journey so as to prevent competitors becoming

established. The loss incurred iscounterbalanced lay good results achieved on the busy routes.

Now, the owner of a single bus must, at the very outset, strike a profitable journey and develop it, if necessary, by acquiring additional vehicles, at the same time building up reserves to enable him to seek new fields of enterprise. Even then he will have to proceed very cautiously, for at such a critical stage losses might have a crippling effect upon his business. In these days, when the bus is looked upon as one of the most popular forms of road passenger

transport, developments have been too great for individuals to keep pace with. Hence, the large number of public bus companies. However, there is no reason whatever why the man in a small way of business, having established a paying route, should not endeavour to extend the sphere of influence exerted by his little concern by enlisting the aid of local public men to interest themselves in providing passenger transport service more worthy of the locality. Bus services now extend over very wide areas and are becoming less and less local. The parochial outlook, so far as these companies are concerned, whilst considered, is given its proper perspective in a bigger scheme of things.

Although local councils in some instances have sought to protect local enterprise against what has been termed the "encroachments of outsiders," yet the service runs of buss have extended farther and farther afield so as to make the real hub of each system, the home town, quite negligible in comparison with the amazing ramifications of big systems, such as the Grosville Co. of Chester, the Midland Reds, Ribble Motor Services, Ltd., and so on.

Nowadays the demand of the public is for more than mere local transport. Much as individuals love their home town, they are glad when the opportunity offers to get away from it, but equally glad to return to it after a respite. This is a fact that the small owner should appreciate in endeavouring to translate into terms -Of accomplishment any ideas of new ventures.

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Locations: Chester