Uber in Chile: a profitable business?
Be a driving partner of Uber in Chile it can generate very good income. The use of this transport application is very popular in the country, even more than ordinary taxis. However, it has not been without controversy that includes the discussion of the Uber Law. In Hispanic Entrepreneurs We delve into this topic and give you some information so that you can evaluate whether it is profitable or not.
What is Uber?
Before we move on, let's familiarize ourselves with the concept. Uber is an application that connects drivers with users looking for a fast and safe transportation service.
Drivers who work with the platform are known as driving partners. They are contractors, since the company does not have a fleet of vehicles, but the driver uses one of their own.
The idea of Uber emerged as a solution to the problem of transportation in large cities, where it is difficult to access an efficient taxi service.
This startup began operating in 2010 in San Francisco, United States. Today it has spread to more than 50 countries and is valued at $ 68 billion.
Despite the fact that users have seen the platform as a great alternative to solve transportation problems, Uber's path has not been easy. On the contrary, it has been full of controversy, regulations and even expulsion from countries.
How does the platform work?
Accessing the Uber service in Chile is very simple. To begin, you have to download the application on your mobile phone and register as a user. During the process, you must register a credit card to which the cost of the service will be charged.
Once registered, the user can request the taxi service when needed from the app. The GPS will identify the user's location and, by indicating the destination address, it will calculate the rate.
The user will see the driver's information, including photo, model and license plate.
At the end of the tour, the cost of the service is charged to the card. Uber keeps 25% as commission and the rest goes to the driver.
After the end of the service, both the user and the driver have the option to rate the other in the application.
Is Uber profitable in Chile?
Being an Uber driver partner can be a full-time job or an alternative to earn extra money. As you are not an employee of the company, you can work in a laundry business and in your free time being an Uber driver.
Among the advantages of undertaking in Uber is that you do not have work hours and neither exclusivity. But how much an Uber earns in Chile? To calculate it, it must be taken into account that the company keeps 25% of each service as commission and the driver's payment is made every week to his bank account.
On the other hand, the formula used by the app to calculate the cost of the service takes into account the distance, time and type of vehicle requested. Depending on your dedication and availability, the company may grant you extra bonuses. Similarly, if you bring referred drivers you can increase your earnings.
According to data from Cursando.cl, an Uber driver in Santiago can earn $ 200.000 a week working full time. In the regions, the figure is between $ 100.000 and $ 200.000.
There are ways to increase profits. For example, identifying the places and times with the highest demand and when there are special events.
It must also be taken into account that the costs of fuel, maintenance and fines are the responsibility of the driver. However, Uber reimburses the parts for illicit passenger transport because these applications are not yet regulated.
Part of Uber's commission goes to promoting the business.
How to start with Uber in Chile?
If you would like to work for Uber in Chile you have to meet the requirements:
- Be over 21 years.
- No criminal record.
- Valid A or B driver's license.
- Circulation permit.
The minimum requirements of the vehicle include a maximum of 10 years old, have four doors, have a radio, a seat belt, among others. Depending on the type of service you are going to offer, other requirements for the car will be required.
If you meet the requirements, verify that the service is available in your city and proceed to register as a driver partner.
Uber Law
Before we mentioned that the history of Uber has not been without controversy. The problems include lawsuits from drivers, who have been declared employees in various cities. The taxi drivers union has also protested in different countries claiming that drivers do not meet the requirements to offer the service.
Debates about the service have also been presented in Chile, where the Uber Law is discussed. A project that seeks to regulate this and others applications like Uber in Chile to ensure fair competition and quality service.
Among the regulations that will be implemented is requiring a professional driver's license from drivers. So, if you plan to become an Uber partner in Chile, evaluate what the project says so you don't get a surprise later.