Taxi company fails in business Corona-related industry first in Osaka May 13 19:19
On the 13th, a company operating in Osaka city, which owns and operates about 100 taxis, filed for bankruptcy on the 13th, when the new coronavirus drastically reduced the number of passengers and deteriorated its business.
The one who filed for bankruptcy was Fureai Kotsu, a taxi company in Hirano-ku, Osaka.
According to the lawyer of the agent, the taxi company started the general taxi business in 2006.
With approximately 100 taxis, and focusing on transportation services for hospitals and nursing facilities, last year's annual sales amounted to approximately 550 million yen.
However, recently, when the taxi occupancy rate declined due to a lack of drivers and earnings were sluggish, the number of passengers drastically decreased due to the spread of the new coronavirus infection.
Last month's sales were down 80% from the previous year.
On September 13, the company filed for bankruptcy with the Osaka District Court and decided to start bankruptcy proceedings because it did not have enough cash on hand.
The taxi company's bankruptcy seems to be the first for coronavirus related issues.
According to the lawyer, the total debt is 130 million yen.
The company laid off 81 of its 111 employees, including general taxi drivers and office workers.
It is said that the hospitals and nursing care businesses that had been profitable will continue to operate for the time being under the control of the trustee.