Expanding your driving school

You're an independent driving school, and you've got so much work that you can't take on yourself. You've also decided to take on more staff. Where do you start, and what do you do?

To answer those questions, you will have to consider the following:

  •  Have I got enough work to sustain another instructor?
  •  How will they work for me?
  •  How much do I charge them for the work?
  •  Will I need to supply a Contract of Employment?
  •  Do I take on a PDI or qualified ADI?
  •  Do I supply a training vehicle?
  •  How much extra will it cost me to add another instructor?

Have I got enough work to sustain another instructor?

As has been said in the introduction, there comes a time when you're turning business away or you have a long waiting list of learners who want o start. If you are in this fortunate position, then you will need to seriously consider taking on another trainer. If you do take on another trainer, how much work will you provide them initially? Most expanding schools will build up a new trainers appointments diary, for example, week 1,supplying around 10-15 students drivers, and then gradually "fill their books" over time. If you have taken on a qualified ADI, then they might already have a "client  base" in which to start with.

Another reason for taking on extra staff, is that you may be on the threshold of needing to pay VAT. By taking on another trainer, you can reduce the liability.

How will they work for me?

Nearly all driving school operators do not actually employ their trainers. Most trainers are franchised and work on a self-employment basis.

How much do I charge them for the work?

There are a number of ways.

  • Firstly, you can charge them on an hourly rate on the work you provide;

  • You can have a 'blanket rate', for no matter how many hours they work for you;

  • Finally, (unless you can think of any other method!) to charge them a fee for the amount of business you provide them.

The pitfalls with the first suggestion, is that you will have to rely on the trainer to be honest with the number of hours worked; A blanket rate is favoured by a lot of driving school owners, and overcomes the the previous suggestion; You may be aware, that both the major national driving schools use this method. They use a method of reducing the trainers franchise fee, if the trainer agrees to supply their own business.

Whichever charging method you decide on should include the full cost of supplying a training vehicle if you choose to do this, as well as a portion of your advertising and other costs associated with having the extra staff.

Will  I need to provide a Contract of Employment?

That depends on how much you are willing to trust your staff. A Contract of Employment will set out the ground rules in the way you want your business to be run. One thing must be said, that in court a contract is often useless at trying to stop a trainer from taking the business you have supplied elsewhere, or by restricting your former trainer from operating in your own area.

Do I take on a trainee PDI or qualified ADI?

There are 'pros and cons' for both. For example:

  • You can 'groom' a trainee PDI to your way of running your business, better than a qualified ADI;

  • If you take on a PDI, you may have to sponsor them for the duration of their training;

  • A qualified ADI may likely have some students that they had been training before joining you, so it would be reasonably easy to get them established with your school;

  • You must be prepared to deal with the prospect of losing some or all of the business you have provided them if they decide to leave you.

Whatever you decide, if you treat them 'right' and not treat them badly, they are less likely to want to leave you.

Do I supply a training vehicle?

That is entirely your decision. You will need to ask yourself some questions:

  • If you decide supply a training vehicle, are you willing to fund the initial expense?

  • Will you buy the vehicle or rent it?

  • What contingency plans would you have in place should your trainer leave, bearing in mind, you would still have to meet the finance/rental on the vehicle?

How much extra will it cost me to add another instructor?

As has already been said, if you supply a training car this will be an initial cost. If you decide to supply a car, there will be the expense of insuring and taxing it. You will also have to consider advertising to help build up your trainers diary.