• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

New Type of Business?

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

masono

Junior Member
What is the name of your state (only U.S. law)?

Washington State

Hi, I have a question about a new type of business. I was wondering if it was possible to get the effects of a business without it actually becoming an official business. I was wondering if it was possible to run a taxi service without being taxed for it.

Picture yourself reading an advertisement similar to this one in the paper:

Hi, is anyone looking for a free ride? Just wondering because I have some time and a car so if anyone needs it maybe I could come pick you up and drive you around to wherever you want to go. Keep in mind that I might not be able to or I might not want to, but if you want to try then call me at (xxx) xxx-xxxx. Maybe we can work something out.

Seems like a good deal, right?

What I want to know is this: can I advertise this without being taxed for it? It is essentially a nonprofit taxi service, however there is no guarantee that I will drive anyone around. It is my choice whether I will give you a free ride or not. You can call, but if for any reason I decide I don't want to drive you around then I will not.

To put it differently, it is not really a SERVICE, just an advertisement that I am a nice person and if you call and if I want to then I will drive you around. Like a friend.

What I want to know is this: is this an official business or not?
 


CraigFL

Member
Usually, taxi services are well regulated by local areas because of the potential fraud involved. Taxi companies are also very protective of their services and potential competition. I think you will be in for legal trouble if you try to start a business like this without using the roper methods.
 

FlyingRon

Senior Member
In most places just the act of offering transportation services (regardless of how or if you charge) is regulated.
 

irsos

Member
What is the name of your state (only U.S. law)?

Washington State

Hi, I have a question about a new type of business. I was wondering if it was possible to get the effects of a business without it actually becoming an official business. I was wondering if it was possible to run a taxi service without being taxed for it.

Picture yourself reading an advertisement similar to this one in the paper:

Hi, is anyone looking for a free ride? Just wondering because I have some time and a car so if anyone needs it maybe I could come pick you up and drive you around to wherever you want to go. Keep in mind that I might not be able to or I might not want to, but if you want to try then call me at (xxx) xxx-xxxx. Maybe we can work something out.

Seems like a good deal, right?

What I want to know is this: can I advertise this without being taxed for it? It is essentially a nonprofit taxi service, however there is no guarantee that I will drive anyone around. It is my choice whether I will give you a free ride or not. You can call, but if for any reason I decide I don't want to drive you around then I will not.

To put it differently, it is not really a SERVICE, just an advertisement that I am a nice person and if you call and if I want to then I will drive you around. Like a friend.

What I want to know is this: is this an official business or not?
I am sure there are many charities you could volunteer for to drive people around to help them complete basic daily errands. Is the point to help people or make sure everyone knows what a wonderful person you are?
 

masono

Junior Member
Usually, taxi services are well regulated by local areas because of the potential fraud involved. Taxi companies are also very protective of their services and potential competition. I think you will be in for legal trouble if you try to start a business like this without using the roper methods.
Like I said if all goes well this is not really a taxi service and therefore cannot be regulated. I'm not advertising a service like giving away something for free, I am advertising my number, my friendship, and the nice things I sometimes do for my friends. If you are my friend, I will drive you around because I do not want my friends to suffer in the coming economic downturn. If you are not my friend you will ignore the advertisement. The purpose of the advertisement is only to provide a way for people to contact me in case they want to be my friend. My service is I will be your friend if you call me and convince me to become your friend. The part about the free ride is separate from the service, it is simply information about who I am as a person. I am describing myself as someone who likes to drive his friends around for free.

The advertisement is simply this: I am this type of person, but I'm not promising ANYTHING. Here's my number.
 

masono

Junior Member
Usually, taxi services are well regulated by local areas because of the potential fraud involved. Taxi companies are also very protective of their services and potential competition. I think you will be in for legal trouble if you try to start a business like this without using the roper methods.
In most places just the act of offering transportation services (regardless of how or if you charge) is regulated.
I'm not offering anything, I'm just giving information. I want to know if there's any difference between offering something for free and simply giving information about who I am: my phone number, my whereabouts, my personality, etc.. If I put an add in the paper that told everyone about my lifestyle, would that count as a service? If in my description of my lifestyle I talked of my activities, including driving my friends around for free, does that imply I will drive anyone around? Is that a service or is it just factual information about who I am and what I do?
 

masono

Junior Member
I am sure there are many charities you could volunteer for to drive people around to help them complete basic daily errands. Is the point to help people or make sure everyone knows what a wonderful person you are?
The point is so everyone knows what a wonderful person I am. I can't volunteer because I have no time or services to offer. However I do drive my friends around a lot though and so I thought: if everyone was my friend there would be no problem. Everyone would just call me and I'd pick them up like a true friend, but not everyone knows my number or the fact that I am such a nice person. If I tell them they'll know. What do you think? Is that a service, or is that just me wanting to tell people: this is who I am?
 

FlyingRon

Senior Member
You can try to weasel word your way around this, but you're not going to escape the answer I gave you.

Your strawman advertisement is an OFFER to provide transportation. It's not just "information" as you claim. People who have not CHARGED at all, operating it as a purely charitable act have run into problems with this. Holding out a service to the public means that they ought to be able to expect certain assurances of safety.
 

irsos

Member
The point is so everyone knows what a wonderful person I am. I can't volunteer because I have no time or services to offer. However I do drive my friends around a lot though and so I thought: if everyone was my friend there would be no problem. Everyone would just call me and I'd pick them up like a true friend, but not everyone knows my number or the fact that I am such a nice person. If I tell them they'll know. What do you think? Is that a service, or is that just me wanting to tell people: this is who I am?
You are a very disturbed person and do not need to be carry people around. Besides, i doubt you will be able to convince many people to be your friend. From your attitude, you do not seem like a very likeable person. Perhaps that is why you feel a need to bribe people. I suggest you tie a pork chop around your neck and let a hungry dog be your friend.
 

anteater

Senior Member
"We've known each other many years, but this is the first time you ever came to me for counsel or for help. I can't remember the last time that you invited me to take a ride...."

"Be my friend... Godfather"

"Someday, and that day may never come, I'll call upon you to give me a ride."
 

masono

Junior Member
You can try to weasel word your way around this, but you're not going to escape the answer I gave you.

Your strawman advertisement is an OFFER to provide transportation. It's not just "information" as you claim. People who have not CHARGED at all, operating it as a purely charitable act have run into problems with this. Holding out a service to the public means that they ought to be able to expect certain assurances of safety.
I can weasel word my way out of it if the law says I can. I do not believe that politicians can do whatever they want, I do not believe they can regulate whatever they want.

I can change the wording of the advertisement if I must but the fact is I am not holding out a service to the public. The public cannot hold me responsible for a service I did not say I would provide. If you saw something in the paper that said this person eats out some days at x restaurant, is that promising that anyone can just drop by at x restaurant and EXPECT to see that person eating there? I can provide factual information that says I sometimes drive my friends around for free and not expect anyone to call me expecting a free ride. That doesn't make any sense and so this is about freedom of speech. You cannot say I am implying a service when I make no mention of one. This is not a charity, this is like Myspace. This is a way to make friends, a way for me to provide people with information about who I am. There is no assurance of safety and I do not expect people to come to my house just because I like to drive my friends around sometimes. Do you assure your friend of his safety when he asks for a favor? Like I said, the information of driving friends around is completely unrelated to the purpose of the add. I did not promise anything, I merely told people about my activities. I do not expect anyone to come around asking for a service I did not say I would provide, that is saying that because I sometimes do something for my friends I have to do it for everyone. I said I might be your friend, that's it. I didn't say that I will do anything for my friends. My advertisement is about the past, and it is completely unconnected to the future. You cannot expect any service from me, that was never my intention. You can call me and be my friend, but anyone can do that anytime. This advertisement is just so that more people will know who I am and so more people will want to be my friend. It doesn't mean anything about what I will do once you're my friend, it's just information.

If you are standing on the side of the road and someone next to you says he drives some people around, does that mean you can expect that person to drive you around? This is the same thing. It's not advertising, it's a fact. There's no reason I'm telling people what I sometimes do, I just am. I'm not offering anything and I do not expect anyone to ask for a ride because that is not what I am trying to do. I am just trying to let everyone know who I am. The advertisement is my friendship, and no one can expect me to be everyone's friends just because I advertised that I might be your friend. Friendship cannot be regulated. You cannot make someone be someone's friend because that person put an add in the paper saying that person might be your friend if you ask.

I can change the wording but there is no offer, there is only fact. I will tell you what I sometimes do and I will tell you my number so that we can be friends, but there is no offer and no assurance of safety for a service I am not obligated to provide. If you want to be friends with someone like me, call me. That's the purpose of the add. Obviously in order to decide you need information about who that person is. That's where the "free ride" comes in, but that's just information.
 

masono

Junior Member
You are a very disturbed person and do not need to be carry people around. Besides, i doubt you will be able to convince many people to be your friend. From your attitude, you do not seem like a very likeable person. Perhaps that is why you feel a need to bribe people. I suggest you tie a pork chop around your neck and let a hungry dog be your friend.
I don't think you know my attitude because I want to know whether something is legal or not. This is hypothetical, I'm not actually considering it. I want to know what kind of person makes a judgment like this based on almost no information.
 

masono

Junior Member
You are a very disturbed person and do not need to be carry people around. Besides, i doubt you will be able to convince many people to be your friend. From your attitude, you do not seem like a very likeable person. Perhaps that is why you feel a need to bribe people. I suggest you tie a pork chop around your neck and let a hungry dog be your friend.
When did I say I was bribing people? I don't think your a very nice person and I would have expected more from an adult who has supposedly developed a sense of respect.
 

masono

Junior Member
You are a very disturbed person and do not need to be carry people around. Besides, i doubt you will be able to convince many people to be your friend. From your attitude, you do not seem like a very likeable person. Perhaps that is why you feel a need to bribe people. I suggest you tie a pork chop around your neck and let a hungry dog be your friend.
I'd like to hear your thoughts on the legality of this issue if that's too much to ask.
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top