Why are Limos and Airport Transfers so expensive?

So you want to book a Limo for your wedding and the quote comes back as $1250, wow that seems really expensive. My name is Johnny Francis and I have 15 years experience in the Limo industry let me tell you a bit of the behind the scenes so that you can have the best experience and get a good deal on your next Limo rental experience.

First let break down the costs for the Limo company:

2024 Mercedes Sprinter Limo – $150,000

$1.5 Million dollar public liability Insurance per year per vehicle – $14,500

Drivers wages – $25 per hour

Office and dispatch wages – $20 per hour

Cleaning crew – $20 per hour

Mechanic – $60 per hour

Limo office and parking rent – $2400 per month

So there is a list of just some of the costs of having a limo company, so now lets break it down to your individual trip.

Example Trip:

Limo for 8 people picks you up at home 6PM takes you to dinner and a concert that starts at 8:30PM home at midnight.

120 Miles – from office/ garage > your house > restaurant > Concert venue > Your house > Office/ Garage

$150,000 / 120,000 miles = $1.25 per mile X 120 = $150

Fuel $4.50 per gallon @ 15 MPG = $36 in fuel (but its probably twice that with all the time the vehicle is idling

Insurance based on the vehicle being used Friday and Saturday 4 weekends per month. $1,200 per month / 8 trips per = $150

8 Driver Hours – 5:00PM driver arrives at office for pre-trip inspection till 12:45AM when driver is back at office and refueled and cleared out vehicle

8 X $25 = $200

20 minutes of Mechanics time = $20

1 Hour of cleaners = $20

30 minutes of office staff phone/scheduling/billing etc = $10

Limo office contribution based on 100 trips a month = $24

Total = $150 + $36 + $150 + $200 + $20 + $20 + $10 + $24= $610 Cost for 6PM- Midnight

Billed to customer $960

Less cost of trip = $350 Net

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