Automotive

Thoughts on Turo (Share your car)

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  • Sep 14th, 2018 7:55 am
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Deal Addict
Jun 18, 2008
4687 posts
3340 upvotes
Montreal
angryanglo wrote:
Nov 23rd, 2017 8:41 pm
Hi, I see this thread is old (But still alive) so I will pitch in my own two cents.

I run my own business but also have a side business renting luxury cars on Turo.

I have my own commercial insurance for my business but I've opted to use the insurance provided by Intact as well, my personal / business insurance knows the vehicles I have for my Turo fleet are dedicated to that service.

I don't daily drive the cars I have on Turo, however I do use them as I want, I've set my operation up to be 99% autonomous, I don't have to meet the renter to pickup and drop off my cars. Everything is centralized and automated once booked.

I do well, but I'm also not renting our Toyota Corolla's.

If anyone has any questions, I will answer.
I have questions. Who really owns these luxury cars, a bank, a leasing company, a dealership or you personally? Are they aware of what they are being used for? What kind of luxury cars do you rent? What prices are you getting? Are you covering depreciating on these cars? How much money can you possibly be making from this nonsense?
Newbie
Nov 18, 2017
10 posts
8 upvotes
ottofly wrote:
Nov 23rd, 2017 9:46 pm
I have questions. Who really owns these luxury cars, a bank, a leasing company, a dealership or you personally? Are they aware of what they are being used for? What kind of luxury cars do you rent? What prices are you getting? Are you covering depreciating on these cars? How much money can you possibly be making from this nonsense?
I took money from my business as a shareholder loan to finance the purchase of the cars as the total investment was less than $100,000, however, if one was to finance cars in the traditional sense from a bank, it would not be prohibited to list the car on Turo. If you went with a leasing company, you would have to check the T&C of your lease. So to answer your question, the corporation I opened for this off-shoot is on title for the vehicles.

The debt against them is credit/debits between two related corporations for tax, liability, insurance, capital cost allowance and depreciation purposes.

I went with a fleet of newer German pre-owned vehicles, 3 - 4 years old, I'm not going to list the exact models, makes and years for privacy reasons but Mercedes, BMW sedans and SUV's

Each car has a different price and prices are set lower Monday - Wednesday and higher Thursday - Sunday.

On average, the revenue is $100 - $150/day and most cars are booked 15 - 20 days per month.

After the booking fees from Turo, each car generates $1400 - $2000 per month in gross revenue.

The cars will be depreciated at CRA class 10.1 (30% per year), I made sure to only put vehicles in my fleet which have a purchase price of no more than $30,000 each as to not leave any money on the table with the CRA as $30,000 is the maximum allowed , I will run them until fully depreciated on the books and they will be traded in / sold if a major failure / repair is required where it would not make sense from an ROI perspective to make a repair on the car and keep it in fleet, given the cost of the repair.
Deal Fanatic
Oct 6, 2007
6155 posts
2272 upvotes
Kootenays
What has been your experience with returns? Are the cars reasonably clean when returned? Does it look like clients are abusing them?
Newbie
Nov 18, 2017
10 posts
8 upvotes
smacd wrote:
Nov 24th, 2017 11:27 am
What has been your experience with returns? Are the cars reasonably clean when returned? Does it look like clients are abusing them?
So far so good, the cars go out cleaned inside and out, if they come back dirty, a cleaning charge is applied.

I have photos of everything in and out so it's pretty black and white.

There have been no instances of abuse, one client smoked in one of the cars, our terms and conditions say no smoking, I did not catch it before I closed the trip as the car was booked back to back, I hit the car up with some deodorizer when it was cleaned it out before the next trip and it was not an issue.
Jr. Member
Jun 2, 2017
150 posts
23 upvotes
Anyone have insight on demand/success of leasing out non-luxury sedans on Toronto and if it's worth it?

Cars such as older Camrys/Civics and related classes or even Cars considered point A to B type cars.
Penalty Box
Jan 15, 2006
10049 posts
4818 upvotes
Richmond Hill
CEOofPopeyes wrote:
Apr 7th, 2018 11:11 am
Anyone have insight on demand/success of leasing out non-luxury sedans on Toronto and if it's worth it?

Cars such as older Camrys/Civics and related classes or even Cars considered point A to B type cars.
So you want to rent out beaters? How’s the reliability? Quite frankly you’d have to pay me to drive one, it also defeats the whole purpose of what Turo is about.
Deal Expert
User avatar
Oct 13, 2009
19436 posts
7833 upvotes
Iqaluit, NU
Lol @ turo

I’d rather drive my car into a lake than rent it out to some random. People are animals I pretty much don’t trust anyone.
deleted to keep the site family friendly. Was about copping sick fadez.
Well there's no sick fadez left to be copped now that the regimen cannot be admired in all its glory
RIP sick fadez.
Jr. Member
Jun 2, 2017
150 posts
23 upvotes
EP32k2 wrote:
Apr 7th, 2018 12:56 pm
So you want to rent out beaters? How’s the reliability? Quite frankly you’d have to pay me to drive one, it also defeats the whole purpose of what Turo is about.
No I do not. I get the luxury aspect of Turo.

I figured though that if an economy car rental costs $50 a day lets say and on Toro someone rents out their 'Economy' car (Reliable, a 2013 Camry/Civic as an example) for $25 that it would attract the cost conscious consumer as an alternative. No different then choosing an AirBNB over a Hotel based on cost/value.
Penalty Box
Jan 15, 2006
10049 posts
4818 upvotes
Richmond Hill
CEOofPopeyes wrote:
Apr 7th, 2018 1:36 pm
No I do not. I get the luxury aspect of Turo.

I figured though that if an economy car rental costs $50 a day lets say and on Toro someone rents out their 'Economy' car (Reliable, a 2013 Camry/Civic as an example) for $25 that it would attract the cost conscious consumer as an alternative. No different then choosing an AirBNB over a Hotel based on cost/value.
The whole point of Turo was for people to be able to rent not so common cars, not necessarily luxury cars. There are econoboxes on Turo and they aren't even cheap compared to rental companies. What's the point?
Deal Fanatic
User avatar
Jun 19, 2001
7466 posts
1176 upvotes
CEOofPopeyes wrote:
Apr 7th, 2018 1:36 pm
No I do not. I get the luxury aspect of Turo.

I figured though that if an economy car rental costs $50 a day lets say and on Toro someone rents out their 'Economy' car (Reliable, a 2013 Camry/Civic as an example) for $25 that it would attract the cost conscious consumer as an alternative. No different then choosing an AirBNB over a Hotel based on cost/value.
on the surface that would be right, but...

Even if the difference was that big (and it usually wont be), by the time you account for your credit card providing insurance on a rental vs not on a turo (have to pay more AND have a deductible) the difference is much smaller. Then you account for the rental co wont sweat minor stuff or getting the car dirty vs a turo owner will, the difference evaporates

Then for the owner, gets what, $20? after turos cut. And has to use intact insurance, which if that isn't the cheapest you need to account for the difference before you net anything
Newbie
Dec 20, 2007
2 posts
7 upvotes
Toronto
So I recently rented my car with Turo. An accident occurred and the front wheel was punctured, rim damage, some undercarriage damage to front bumper, and a nasty dent in the quarter panel. I have before and after pictures as well as a mechanic report highlighting the damage. I chose the insurance coverage through Turo however they are declining to cover the damage to the quarter panel citing it's under 3 inches in diameter and thus not covered as it's normal wear and tear... Really a 3 inch dent in your car is normal wear and tear?!!?! Bumper damage they say is not eligible for coverage either because there is no before pic... um the app shows you 6 before and after pics they want...

Additionally they go after the renter with a $500 holder on their credit card while the damage is assessed.

Charging renters for insurance claims and/or denying claims to owners while charging for insurance @ over $5500 a year (it's $15 per day for their insurance option) is frankly outright fraud!

Never list you car or even rent with these guys as both parties get screwed.
Deal Expert
User avatar
Oct 13, 2009
19436 posts
7833 upvotes
Iqaluit, NU
in my opinion you'd have to be insane to rent out your car with Turo or house/condo with airbnb.

People are animals.
deleted to keep the site family friendly. Was about copping sick fadez.
Well there's no sick fadez left to be copped now that the regimen cannot be admired in all its glory
RIP sick fadez.
Deal Expert
User avatar
Oct 13, 2009
19436 posts
7833 upvotes
Iqaluit, NU
I'd rather chauffeur someone around in my own car then rent it out to them/let them drive it.

I don't understand why anyone would rent out their car. Makes no sense to me whatsoever. Making $50 or $100 and having someone potentially destroy your car just doesn't seem like the most logical thing in the world to do.
deleted to keep the site family friendly. Was about copping sick fadez.
Well there's no sick fadez left to be copped now that the regimen cannot be admired in all its glory
RIP sick fadez.
Deal Addict
Jul 6, 2005
3514 posts
894 upvotes
Toronto
interesting.... 1st time poster. Low credibility here, but I can see why you're trying to spread the word.

I've heard the Turo ads on the radio a lot recently, and also thought of this being a horrible idea for a renter. Especially from your own personal insurance... if they ever found out you're doing this, you'd be dropped so fast!

Looking forward to how this thread evolves and opinions from both sides the fence

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