The truth about ridesharing companies like Lyft and Uber

Truth about Uber and Lyft

Truth about Uber and Lyft

Starting out in March of 2009, Uber had an idea. A simple idea really, and that was to connect passengers with drivers using technology that current taxi companies weren’t thinking about and weren’t ready for.

Yes, Uber is a business and the point of any business is to profit and make money but at the same time they created thousands of jobs for people in the process.

Coming back to today

Today in 2016 Uber is still here and still goimg strong along with their biggest competitor which is Lyft. Though both companies operate the same, drivers tend to think that Lyft cares more about their drivers because of the lower percentage they take as commission.

This is where it starts getting confusing, it’s now turning into a battle of which company pays more when in reality they are both great choices.

Are Uber and Lyft drivers expecting too much?

Every day I hear drivers complaining about the pay and the rides and how much money Uber and Lyft take.

The truth is that there are a lot more people that these companies employ that make it all happen. Just like the argument of what are they without us drivers? What are us drivers without them?

As people getting into this business we have to have a business state of mind. We aren’t the ones that created these ideas and brought them to the world so what makes anyone think that they deserve more. Choosing to be self employed means you take risks, you have to deal with the ups and downs. Sometimes you’ll make money sometimes you’ll lose money but in no way are you guaranteed anything. But still, on top of that, Uber and Lyft are good enough to offer guarantees which drivers still complain about.

Before any driver signs up with lyft or uber they make sure that you are well aware of your partnership status. If you accept the terms than that means you agree to work with them under those terms.

Do drivers have a right to complain?

Drivers really have no right to complain and I’ll give to 2 easy scenarios that should make it easy for anyone to understand.

  • Franchisee: really this is no different than a franchise. Let’s say you open a McDonald’s, they give you use of the name, they give you their clientele and technology to make money from. But do they guarantee you will make a certain amount per hour or give you benefits? No, as a business owner it is up to you. That is the risk you take when you agree and sign that contract.
  • Credit: Let’s say you are going to buy a new car or get a new credit card. First of all, nobody is twisting your arm to do so. It is a decision you need to make. You agree to the terms and apr. Do you then have a right to later complain and say it’s too much? Do you have a right to call them crooks? Not at all

If anything, drivers for Uber and Lyft should be happy that they even have an opportunity.

Why has it gotten so ugly?

Unfortunately this easy money attracts a lot of non business type people, these people don’t have a very good understanding how businesses operate and in return think that they are being taken advantage of for some reason. It is what it is, you are self employed. Personally I think the money to be made by driving is still great. It’s the people that were expecting to get rich quick by becoming a driver that bring these ugly rumors and trash talk against Uber and Lyft. When these companies first started the drivers were very few and those few drivers made a lot of money. As the companies grew, so did the number of drivers. Of course this will affect the amount of rides drivers give versus those drivers of a few years back. You just can’t expect the same thing. Times have changed, and now there are a lot more drivers out there. You can still make good money but if you are expecting  5 or 6 thousand a month then you are setting yourself up for disappointment.

Smile and keep driving:

As of right now i still work full time at walgreens, I hate my job so much. Making  $10 an hour in California doesn’t really do much for you. But making as much as I make in 8 hours at my job by giving a 1 hour ride is a dream come true to me.

The point is to be realistic with yourself. If you want guaranteed income that will buy you a house and cars then go to college for 8 years and you will be successful in doing so.

How long will making money with ridesharing last?

Of course Uber and Lyft are both working on self driving vehicles so theoretically drivers will eventually be replaced. I’d say we have a good 5 or 6 years before it takes over so be sure to get out there and make the money while the opportunity is still there. Maybe start a savings account and invest into another type of business that can take your earnings a step above that of Uber and Lyft. Just make sure you have a plan and you’ll be ok.

So stop fighting Uber and Lyft. They are doing more for us than our own government.

Join Uber Eats Today

Make extra side money delivering food instead of people with Uber Eats. Almost any car can qualify.
Sign up to drive today
Sign Up Now