How to Start a Successful Vehicle Recovery Business In The UK

For those wondering how to set up or start a vehicle recovery or towing business in the UK, this guide outlines the essential steps and requirements. A vehicle recovery business can be a profitable venture but requires careful planning and understanding of legal obligations.

Vehicle Requirements

Recovery vehicles must meet specific legal definitions under the Vehicle Excise and Registration Act 1994. A recovery vehicle must be constructed or permanently adapted primarily for lifting, towing, and transporting disabled vehicles. This could range from a heavy recovery vehicle to a flatbed with ramps and winch, or a transit van with a tow dolly.

Your recovery vehicle must be fitted with an amber warning beacon and appropriate equipment for safe recovery operations. The law requires that you cannot carry or transport any load other than a broken-down vehicle, though you can carry tools and equipment needed for recovery operations.

According to DVLA guidance, recovery vehicles can transport up to two broken-down vehicles at a time. The vehicles being recovered can include the original driver and any passengers who were in the vehicle when it broke down.

Licenses and Regulations

Starting a vehicle recovery business requires understanding several key regulations:

Driver Licensing: Drivers need the appropriate license category for the size of recovery vehicle they’re operating. For vehicles up to 3,500 kg, a standard Category B license is sufficient. For larger vehicles, drivers will need Category C or C1 licenses.

Vehicle Testing: Since May 2018, recovery vehicles are no longer exempt from annual testing requirements. Your vehicles will need regular MOT tests appropriate to their size and category.

Speed Restrictions: When carrying or towing a broken-down vehicle, recovery vehicles must observe specific speed limits:

• 40mph on motorways
• 30mph on dual carriageways
• 30mph on other roads

Insurance and Safety

Business vehicle insurance is crucial for any vehicle recovery business. Your coverage should include:

• Recovery operator’s insurance
• Public liability insurance
• Employer’s liability insurance (if employing staff)
• Goods in transit insurance

Safety equipment is paramount. Your vehicles should carry:

• Warning triangles
• High-visibility clothing
• First aid kits
• Fire extinguishers
• Appropriate recovery equipment, including straps, chains and secure devices

Training

While there’s no legal requirement for specific recovery operator qualifications, investing in professional training is highly recommended. Organisations like the Association of Vehicle Recovery Operators (AVRO) offer industry-recognised training programs. It’s important that you undertake some form of spill control training.

Health and Safety data from HSE shows that the haulage and distribution industry, which includes recovery operations, has a higher rate of workplace accidents than construction or agriculture. This emphasises the importance of proper training and safety procedures.

Local Authority Requirements

Check with your local authority about any specific requirements for operating a recovery business in your area. You’ll need appropriate planning permission if you’re establishing a depot or storage yard. Some local authorities may have additional requirements regarding noise levels and operating hours.

Building Your Business

Consider joining professional organisations like AVRO or the Road Haulage Association (RHA). These organisations can provide valuable guidance, networking opportunities, and updates on industry regulations.

Develop relationships with local garages, dealerships, and breakdown organizations. Many recovery operators start by working as contractors for larger breakdown organisations before building their own client base.

Cost Considerations

Initial startup costs can be substantial. A new recovery truck can cost anywhere from £30,000 to over £100,000 depending on size and specifications. Many operators start with quality used vehicles to reduce initial costs. Factor in ongoing costs such as fuel, vehicle maintenance, insurance, and staff wages when planning your business model.

By carefully considering these aspects and ensuring compliance with all relevant regulations, you’ll be well-positioned to establish a professional vehicle recovery business. Remember that regulations can change, so it’s important to stay updated through industry organisations and government guidance.

Starting a vehicle recovery business requires significant planning and investment, but with the right approach and understanding of the requirements, it can become a successful enterprise. Be sure to conduct thorough research and seek professional advice where needed to ensure your business meets all necessary standards and regulations.