Digital Barker
  • Home
  • Startups
    • News
    • Opportunities
  • Tech
    • Tech Support
  • Videos
No Result
View All Result
Digital Barker
  • Home
  • Startups
    • News
    • Opportunities
  • Tech
    • Tech Support
  • Videos
No Result
View All Result
Digital Barker

Oride, Max, Gokada among Other Bike-Hailing Startups Tasked N25 Million Fees Annually

Nike by Nike
July 25, 2019
0

ORide, Max, Gokada and Safeboda among other bike-hailing startups in Lagos State may soon be mandated to pay N25 million in annual licensing fees. The government is considering a new regulation that will require each bike-hailing startup to pay $70,000 (N25 million) per 1,000 bikes every year and another $83 (N30,000) per bike after the first 1,000 set.

As it stands, Max.ng, Gokada and ORide are the biggest bike-hailing services in Lagos at the moment, and each of them has over 1,000 riders signed up to their services. Meanwhile, many of these startups have raised a lot of money in capital funding from investors around the world. Opera, the parent company for OPay and ORide, recently announced raising $50 million for mobile finance in Nigeria; Max announced raising $7 million in funding and Gokada revealed it raised $5.3 million in funding.

Bike Companies Say Road Safety and Responsible Road Behaviour Is High On Their Priority List

It, however, remains unclear whether the Lagos State government is proposing this annual licensing fee in response to the capital fundings announced by the startups respectively; or if it is to generate state revenue for the new Sanwo-Olu-led administration in Lagos State. It also remains to be seen if the taxation will hobble operations for the bike-hailing startups.

How to use chatGPT to make money

ADVERTISEMENT

The state government informed the startups of the proposed regulations during a series of meetings since the start of the year. A source at the meeting revealed that the government made it clear to the startups that it is not keen on having commercial motorcycles ply the roads in the state given their high rates of accidents and the existing plans to turn Lagos into a mega-city. The startups are however trying to convince the government that they place a high value on safety and responsibility on the roads, with the records of every registered motorcycle in the companies’ databases.

Government Imposes Multiple Taxations, and Union Agents Continue With Further Extortions

It is on record that previous administrations had banned the operations of commercial motorcycles on several major roads in Lagos State. Many Lagos residents do not like this idea, considering that they are able to beat the notorious traffic gridlocks in the state by riding on commercial motorbikes locally known as Okadas.

On the flick side, industry analysts believe that levying the proposed tax on bike-hailing companies will amount to multiple taxations, a situation most business owners complain about in Lagos State. This is not to mention the fact that union agents hassle bike operators for union dues that have also risen in price. So the government imposes additional taxes on the bike-hailing startups in the state, and union agents extort operators for monies that can never be remitted to any official authorities.

ShareTweetPin

More Stories

News

Nigerians Can Now Use Naira Debit Cards For International Transaction After 3-Year Ban

4 days ago
Microsoft Lays Off 9,000 More Employees, Bringing 2025 Total To Over 15,000
Jobs

Microsoft Lays Off 9,000 More Employees, Bringing 2025 Total To Over 15,000

7 days ago
9Mobile Ownership Dispute Deepens as Keystone Bank Joins Court Battle.
News

9Mobile Ownership Dispute Deepens as Keystone Bank Joins Court Battle.

1 week ago

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *


The reCAPTCHA verification period has expired. Please reload the page.

Trending Stories

Flutterwave Expands to Zambia with New Payment Licence

Airtel, MTN Under Investigation for Hidden Mobile Money Charges

Accrue Raises $1.58M to Scale Cross-Border Payments Across Africa

TikTok Faces Ban in the U.S.: What Happened?

Meta Replaces Fact-Checking with Community Notes: Implications for Africa’s Misinformation Battle

New Telecom Tariffs in Nigeria: NCC to Announce Adjustments Amid Rising Costs

AI World Models: The Future of Generative Video, Robotics, and Intelligent Decision-Making

Glovo partners with Chicken Republic to improve online food delivery

MTN Nigeria’s Profits Take a Hit in H1 2023 Amid National Challenges

PalmPay Partners with Jumia to Revolutionize Online Shopping Payments in Nigeria.

  • About
  • Advertise
  • Privacy Policy
  • Contact
  • Jobs

© 2025 Digital Barker

No Result
View All Result
  • Home
  • Startups
    • News
    • Opportunities
  • Tech
    • Tech Support
  • Videos

© 2025 Digital Barker