Auto 007

Some interesting facts & figures in AUTO (TUK TUK) business in Chennai!

(The absolute figures might be approximate but the % is more or less fine)

Number of autos with permit : 40,000

Actual number of autos in chennai : > 1,00,000

Then how’s the difference : Autos from other places like chengalpattu, kancheepuram, NO PERMIT (app 60,000)

 Hmm…bribes help man!

Available permits: NONE – ZERO.

What is the approximate cost of permit in BLACK: Rs 80,000 + Rs 3,250 for name transfer [app]

[Thank God service tax, sales tax, edu cess & other taxes are not applicable - some relief!]

 Ownership of Autos:

 90% not owned by drivers of auto! So, plenty of room for money lenders to play!

Financing:

Hmm…you may think that the trusted govt owned banks would come to the rescue & provide loans! Ok here is the story

Only 65% of cost of auto would be given by bank. [App cost of Auto Rs 2,00,000 and increasing]

So, because of higher initial payment, the buyers go to money lenders! Hmm…you know what is the rate of interest

Fitness Test:

Govt rate or cost for FC is app Rs 500 but the cost acually is Rs 1,400 to Rs 1,700 depending on how many hands to be greased!

Hmm…money money…!!!

So coming to share auto: App Rs 600 is the rent per day and above rules of bribe and loans apply!

Disconnect in rule for share auto:

“6 people are allowed in a share Auto” – City Commissioner

“4 people are allowed in a share Auot” – RTO

“Sorry too less to manage our business - so we take 12″ – Auto driver!

“Ha ha ha…we love these disconnects…time to make money”.. – Mamus!

How business friendly!

Just a thought in H.O.T!

007 series would continue!