The bank advice note is the first step in getting a corporate bank account for the purposes of getting a ZIMRA Tax Clearance Certificate. The purpose of the bank advice note is to inform bankers of your company’s name, location, and directors.
The process of getting a bank advice note
1. Register your company
The first step in your new account is to register a company. We can take care of that for you. Contact us here for assistance with company registration. This way you will automatically be able to comply with local regulations and start the process.
Apply for a bank advice note
Apply for a bank advice note. According to Zimbabwean law, you need to have a tax clearance certificate to open a company bank account. Since it’s not possible to get tax clearance without a bank account, the tax authority, therefore, makes a special authorization to the bank that allows for new companies to be able to open a business account without tax clearance. This is what is called a bank advice note or simply a bank opening letter. The process requires your original company papers.
What to do after obtaining a bank advice note?
The next step is to visit your bank account with the bank opening letter or bank advice note and the bank account opening requirements below…
Bank account opening requirements
The requirements for opening a company bank account in Zimbabwe differ from bank to bank but these are the general requirements:
Memorandum and articles of association (applicable to Private Limited Companies only).
Once you have your bank account available, you need to pay the initial deposit in order to activate your account.
Conclusion
There are three main steps in order to set up a new bank account: registering your company, getting a bank advice note, and finally, opening the corporate bank account then a tax clearance certificate. It is important to note that bank accounts can be used for numerous purposes, including purchasing things online without having to pay cash or wait for wire transfers. The steps may seem very different depending on who you speak with or what bank you are with. But if you understand the process behind each one, you should be able to navigate them successfully no matter which bank you might be working with.
Register your company as a Private Limited Company
Register your driving school company as a Private Limited Company by following this link.
Register your driving school and maintain a good reputation from the onset. Don’t take an unnecessary risk by operating without a proper license or even using a motor vehicle that is road-worthy.
You must pass a course that includes both the theory and practice of driving.
Upon passing this test, you become eligible to become an assistant instructor and must then work a 12 month period under the supervision of a qualified instructor.
After this period you may advance to becoming a qualified instructor:
After passing the examination conducted by the Zimbabwe Traffic Safety Board relating to the teaching of subjects set out in the driver instruction and;
After holding a valid driving license for five years.
The two years prior to the date of registration as an instructor should be clear of any traffic offenses. The certificate provided is valid only for two years, and during this period the instructor is subject to sporadic checks by staff at the Zimbabwe Traffic Safety Board to ensure that standards are being maintained.
A license can be revoked at any time should circumstances dictate the necessity for this
Traffic Safety Council of Zimbabwe Requirements
Driver’s license.
Instructor’s ID and certificate.
Driving school premises should not be less than 14 square meters.
Each vehicle used for driving instruction should at least be fitted with an additional adjustable internal rearview mirror, an adjustable driver’s seat; and a handbrake which is positioned so as to be readily operated by the instructor.
The name of the driving school must also be clearly and prominently displayed on the vehicles.
4. Register with ZINARA
Register your driving school with ZINARA for insurance cover and a ZINARA road license disc.
5. Acquire a certificate of vehicle fitness from VID
Acquire a certificate of fitness for all your driving school vehicles, from Vehicle Inspection Department (VID).
6. Register with ZIMRA
Register with ZIMRA taxes or find tax consutantto assist.
7. Register with NEC
Register with the NEC for your industry or get a NEC CONSULTANT to assist.
WHAT YOU NEED
DRIVING SCHOOL BUSINESS PREMISES
You require a small office space where students can come and register for lessons.
You are going to need furniture, desks, a computer and perhaps a simulator which you can use to test the students before they get to do their lessons on the road.
In Harare, driving schools usually rent offices that are on the peripherals of the Central Business District. This is so to reduce costs and also to get able parking space for the driving school vehicles.
DRIVING INSTRUCTORS AND LICENCES
Companies need driving instructors for their driving school business. All their driving instructors should have valid drivers’ licenses, defensive certificates and should have acquired an instructor’s certificate.
All your driving instructors should have enrolled for the Driving school instructor’s courses with the Traffic Safety Council of Zimbabwe.
This certificate shows that your driving instructor has successfully completed a recognized driving course and has the necessary knowledge, skills and attitudes to teach driving.
MOTOR VEHICLE REQUIREMENTS
For driving school owners, it’s important to have a fleet of vehicles. It is vital to the success of a driving school business.
The vehicle will also have to be fitted with two-way brakes. This is required for the vehicle to be driven by learners. Driving school vehicles are required by the law to display L plates. These plates show that a vehicle is being droved by a learner.
The vehicle also needs to have a speedometer, odometer rear-view mirror, a horn, brake lights, stop lights, horn, and windshield wipers.
INSURANCE FOR YOUR DRIVING SCHOOL BUSINESS
You do need business insurance for your driving school business, whether it’s for cars, vans, or other vehicles. The level of protection you need depends on the nature of the work you do. If you’re teaching learners or novices to drive, you probably don’t need the same level of cover as a professional driver.
As a driving school, your business has two main risks:
1. Your vehicles
2. Your customers
MAINTENANCE OF RECORDS
Record progresses made by students, maintain details on lessons, identification, address, hours they have drove and dates. These details will be required when the student goes for the road test.
TARGET MARKET
In Zimbabwe, there is a large market of people looking for driving jobs and even those with a hope to buy a car later in the future. Some college graduates are getting job opportunities that require a driver’s license. Know how to reach out to all the different age groups in order to tap in and have many students enrolling at your driving school.
MARKETING YOUR DRIVING SCHOOL BUSINESS
A driving school is just like any other business, and like any other business, it needs to market itself. Marketing doesn’t have to be expensive. Most driving schools just need to make sure they know what they’re doing.
The first thing you need to do to market your driving school is to make sure you know what you’re doing. You need to understand the market, the demographics, and the drivers.
You also need to make your brand as recognizable as possible. This might mean creating fliers, posters, and even creating a website.
Get a website developed by Zimbabwe’s leading website designers: City Cloud Pvt Ltd.
You can create your own website by following this blog or watch this video:
The biggest part of marketing the business will come through referrals. Make you your service is superb in order to get recommendations from your students. People are different and you may face challenges as some students may be slow learners but it’s important that you stay calm and be patient with all your students..
CAPITAL FOR DRIVING SCHOOL BUSINESS
You need vehicles for your driving school business. The amount of capital you need to start your driving school business will depend on the size of your driving school, and the kind of vehicles you need. There are different classes of motor vehicles. You can offer lessons for all classes. However, if you are starting with little capital, you can concentrate on class 4 driving lessons only. You will require more capital for a class 2 driving school. This is because you will need to purchase lorries which are more expensive.
Buying cars for your driving school business online from Japan is a quick and convenient way to start your driving school business.
For a car used by the driving school, its condition should be good. For example, a car used for driving school should have no scratches and dents, no rust, and no mechanical problems.Beforward is a popular Japanese website where people buy cars from.
Beforward alternatives
You can buy your car for a Driving school from these Beforward alternatives:
The main costs associated with running a driving school are fuel, marketing, rentals, salaries, car servicing, and maintenance. Driving lessons in Zimbabwe for class 4 cost $3-4 per lesson (30 minutes lessons). Getting many customers will ensure that your cars will not lie idle during the day. This is why it is important to have a robust marketing strategy. The driving instructors should be motivated to bring customers to the business. The salary paid to the instructors should be tied to the number of customers they bring to the business, by including a commission component in their remuneration package.
Ensure that you regularly service your vehicles so that they are always in road-worthy condition. Failure to service your cars is a disaster to your driving school business. Students don’t want to train driving in vehicles that are not in a good condition. You will be chasing customers away if you fail to service your vehicles. Also, the life span of your vehicles will be greatly reduced.
You should also offer oral lessons for your driving school. Many students struggle to pass the provisional license. The oral lessons will attract clients to your business, who can then start driving lessons after passing the provisional license test. The profitability of your driving school business will be directly related to the number of students you get.
WHY SHOULD YOU OPEN A DRIVING SCHOOL BUSINESS?
The initial capital costs are manageable and can be minimized. There is a ready market that does not deplete. The law requires a license and there is no shortcut around that. The income stream is also steady especially if you market the business well and get a large clientele base. The business allows flexibility and it is not too demanding. The work pace maybe even more relaxed after the students know what is expected of them and how to drive. Even with a lot of driving schools registered, the market still is open for new instructors and you have a chance to make it in the driving school business.
FINAL THOUGHTS
Should you think of starting a Driving school business, here are key things to consider:
Get a detailed business plan for your driving school. A business plan works as a yardstick on what you must achieve (specific goals, sales, and profits), it gives you a clear picture of who your competitors are, where they’re operating, what are their key strengths and weaknesses.
