Key facts
- England and Wales
- Taking bookings for payment needs a private hire operator licence[1]
- New South Wales
- Booking service providers must be authorised; penalties up to $110,000[2]
- Toronto
- Private transportation companies such as Uber and Lyft need a city licence[4]
- South Africa
- E-hailing is a recognised public transport mode; apps must register with regulators[5]
What counts as a ride-hailing business?
Two different businesses share the name. A fleet owner supplies cars and sometimes drivers to an existing app and earns rent or a share of fares. A ride-hailing operator runs the booking service itself: the app, the dispatch, the fares and the responsibility the licence brings.
The fleet-owner route is covered in how to start an Uber fleet business; the operator route in how to start an online taxi business.
Do you need a licence to run your own ride-hailing app?
Yes, in every place we checked. In England and Wales you can be prosecuted for taking bookings for payment without an operator licence. New South Wales requires booking service providers to be authorised, Toronto licenses private transportation companies, and South Africa's amended National Land Transport Act requires e-hailing operators to hold operating licences.[1][2][4][5]
How do drivers fit in?
Drivers need their own licences, and how you engage them matters. In Uber BV v Aslam the UK Supreme Court held that the Uber drivers in that case were workers, entitled to the minimum wage and paid leave, so model your costs on the arrangement you can defend.[6]
Should you build an app or use a white-label one?
A local operator rarely needs to build: a white-label passenger app under your name, connected to your dispatch system, gets you to market without a development team. Build only when the software itself is your product.
Costs compared in taxi app development cost; the TaxiDex passenger app is published under your own name on Google Play.
All guides in this section
Frequently asked questions
Is a ride-hailing company the same as a taxi company?
Legally they often fall under the same licensing: in England and Wales an app-based private hire service needs the same operator licence as a phone-booking minicab firm.
Can I start a ride-hailing company with my own car?
Yes, as a driver; but taking your own bookings makes you a booking business in some places. New South Wales, for example, treats drivers who take their own bookings as booking service providers who must be authorised.
Sources
Fees and rules change. Each source is the official page we read, with the date we read it; check it before you apply or pay.
- [1] GOV.UK: Operator licences for private hire vehicles (read 3 Nov 2026)
- [2] NSW Point to Point Transport Commission: Become an authorised service provider (read 3 Nov 2026)
- [3] NSW Point to Point Transport Commission: Do you need to be authorised? (fact sheet) (read 3 Nov 2026)
- [4] City of Toronto: Vehicle-for-hire licensing (read 3 Nov 2026)
- [5] SAnews (South African Government News Agency): Department gazettes Transport Amendment Act, recognising e-hailing (14 September 2025) (read 3 Nov 2026)
- [6] UK Supreme Court: Uber BV v Aslam [2021] UKSC 5, press summary (19 February 2021) (read 3 Nov 2026)