Towing Issues: Getting started on private property townig, dmv web, california dmv

Question
QUESTION: Hi Richard,


         I have a fenced in area to store cars and would like to get started doing private property towing.  I think my next step should be to have signs made up to post in lots.  

      What are the best people to business to approach for this?  Apartment complexes, paid parking lots, business lots? I know they are already with towing companies, but perhaps I could show them that I charge lesser rates to the people I tow.  

     Speaking of which, how much can I charge in San Francisco/ California for towing and storage.  

I hope your book is coming along well.
Thanks for the help!


ANSWER: Well, this is kind of a loaded question...

Are you in business as a tow company right now or are you going to start a business to do the towing...

You will need lots of permits, licenses, insurance to do any kind of towing and impound towing while looking like a highly profitable business is very expensive to deal with...

Getting customers, well price on impounds is not really a factor but remember that the parking lot owners or the apartment - condo complex owners do not pay for the tows, the vehicle owner does in 99% of the cases...

Also be prepared for lots of regulations in California for doing this kind of towing... Check out the California DMV web site below and start reading all the rules about towing and parking...

As to charges, well I do not know if rates are regulated locally, but remember you will want to charge enough to make a profit and pay all the expenses you have..
Plus there are lots of vehicles which are never picked up and that means that those vehicles are a "loss"...

Good luck however and I hope this helps


http://www.dmv.ca.gov/pubs/vctop/vc/vc.htm

---------- FOLLOW-UP ----------

QUESTION: Do you know anything more specific about what additional permits I need to do private property?  My lot is 20 minutes outside of San Francsico.  Am I allowed to do SF private property?

Thanks

Answer
I really have no more information than what I gave you for the California DMV web site...

Unfortunately I am in Alabama and while I get a lot of requests for information and laws from California I just can not find all the applicable laws...  

But if I was to bet on it, I would believe the new laws enacted in 2007 regulating towing from private property  will prohibit you from doing the towing in SF as they have a 10 mile distance from the lot to the tow yard...


Best advise is to check with the City of SF and see what they say about permits and stuff like that. Most likely you will need a business license for SF in addition to the City  you are located in.