General Terms And Conditions For Bike Rental Business

by SpeedLux
bike renting

You will need to make sure that the bike that you give on rent to the hirer comes back to you, assuming that you do not have an unending supply of money to replace lost or stolen bikes every day. For this you will need to plan your business well and formulate a few terms and conditions for renting bikes according to the law of the state. 

If you are unsure as to what to include and want not to, take help of the internet and find a proper template for that matter. 

Start by knowing the different commonly used definitions and terms. These are:

  • Bikes: The cycle or e-bike or any other item that comprises the vehicle and mentioned in the contract
  • Customer: The person or legal entity hiring the bike or ‘purchasing’ the bike rental service from you
  • Company: This is you, the company offering the bike rental and tour services according to the terms and conditions
  • Rider: This refers to the person riding the bike actually.

The contract should be in writing in easy to understand language or may be electronic as well. This contract is applicable to the company as well as the customers for bike rental and tours. The terms and conditions of bike rental should include all accessories such as child seats and helmets.

Offer and agreement

All agreements include two parts, an offer and an acceptance or agreement. The written or oral offer is made by the company as per the wishes of the customer. This offer must contain:

  • The name of the company as well as the type of service offered
  • The rental duration and 
  • The price including the type of deposit if any as well as the manner of payment. 

It must also mention the opening and closing hours of the business along with the telephone number of the company.

The contract is established and comes to force when the customers when the customer accepts the offer from the company and signs on it agreeing to rent a bike New York city. However, the ownership of the bike as well as its accessories will be retained by the company at all times.

Price and duration

There are a few dos and don’ts when it comes to bike rental prices, duration and return policy. 

  • A customer may not be allowed to return the rented bike after the date and time that is stated in the contract. While returning the bikes it must be to the same branch during the business hours or o any other designated place as mentioned by the company in the contract.
  • As per the duration each day will be calculated as 24 hours and for additional keeps it will be calculated as a part thereof.
  • The bike rental company is not obliged to pay any refund if the rented bike is returned before the end of the contract and duration.
  • It depends on the company as to how much they will charge a customer for each hour by which the contract rental period is exceeded. Usually, it is 20% of the daily rental price in addition to the actual rental price. There may be a maximum charge for 5 hours for the first day of delay and subsequently it can be much higher.

However, if the customer does not return the bike after the contract period expires and does not intimate the bike rental company the reason for delay, the company may take back the bike immediately.

The cancellation policy

Since the customer can cancel a booking due to unavoidable situations, the contract must also include cancellation clauses as well. It must include the following:

  • The time till which the company will not charge any money for cancellation, for example 4 days before the tour starts
  • The time and rate of charge for cancellation within 1 to 4 days and less than 1 day as per the above example and 
  • Also the countdown time as per the local standard time.

Ideally, the contract must also include clauses and processes of cancellations of bikes outside of the business hours.

Payment and deposit

Payment and deposit for the bike rental is an important aspect to consider by both the customer as well as the bike rental company. The most common clauses that should be included in a bike rental contract are:

  • The payments to be made in advance or in parts
  • The deposits to be made on the type of bikes hired and 
  • How the deposit will be paid back to the customer along with the deduction clauses for any damages caused to the bike with clear explanations of different scenarios

A contract may also include the documents to be attached in case of deposits which may include a photocopy of a valid ID and credit card.

The customer obligations 

While hiring a bike, there are a few obligations for the customers which must also be mentioned in the contract. Such obligations include:

  • Customer must treat the bike well 
  • Use it in accordance to the actual purpose
  • Return it in its original condition
  • Any changes made must be undone

It is also required that the customer declares that he or she is able to ride a bicycle and is in good physical condition so that it does not affect the riding ability. According to the rule, it is at the discretion of the bike rental company to determine the capacities and abilities of a rider before renting the bike. 

In addition to that the riders must at all times obey all traffic laws as well as the instructions provided by the bike rental company and its staff. According to the contract, the rider is not allowed to sublet the bike, give it to another person, ride more person on it and take it outside the predetermined geo-limit.

Lastly, in case of an accident or any damages caused to the vehicle, the company must be informed by the customer first along with the explanation of the causes of such damages to the bike.

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SpeedLux is a high-authority automotive blog providing the latest automotive news and reviews. SpeedLux covers everything related to cars, bikes, and motorcycles, from news and reviews, to troubleshooting guides, tips and tricks, and more. SpeedLux was born in 2009 and we have over 20,000 articles published on our blog. We thank all our readers, as well as our partners, without whom we could not have reached this level.


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