Renting a car - Is that a good business in 2022?

There are nowadays many apps and sites that offer passive income by renting our cars. It's a popular source of passive income in my country because here the % of personal car ownership is very low. S people like to hire/rent cars when they need them. Side by side Uber is making a huge market cap out of it.

It sure can not be one's only source of income but can provide a good return compared to banks or other businesses. To be honest, I gave it thought if I should invest in this line. But some pros and cons are holding me back.

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I personally believe, this business mostly depends on the cultural background of a country. Because it's almost impossible here to not take a huge headache, sit back, and earn. Rather I have seen people go through a lot compared to other businesses like stock in this renting line.

I can give you one example.

Recently, a close friend of mine got himself into a huge mess by renting his car. He rented his car by a site with a monthly contract. Everything was going fine until a month ago his car driver got arrested with a huge amount of drugs. He was obviously not involved with anything but had a pay a huge bail fee to free the driver. His car is still confiscated by the police.

This is just an example. There are many other risks like accidents, signal violations, etc. The problem is, all this will go under the name of the owner of the car though he might not be involved in any of this. I don't what's the policy over there in your country but here this is how it is.

However, car business is profitable because we don't have to put extra effort. Also, the return we will get monthly will soon go beyond the price of the car. My thought we should think about trustable websites or apps that ensure owner safety, give legal support to the owner, and help/support in any other cases. This is in my head for a long time. Probably in a few years, I will invest in renting cars.

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