Because of the recent boost in cities across the world setting up UBER and LYFT camps, the local taxi clubs have been taking a hit with the new competition’s prescence. the San Francisco Examiner just reported that a local taxi service – Yellow Cab Co-op, has been losing so much business in San Francisco lately that they are on the brink of going completely bankrupt.
Yellow Cab Co-Op officially reaches out to the San Francisco Examiner & the San Francisco Municipal Transportation Agency that their business is doing fine, regardless of the popularity of UBER and LYFT. But there is a letter floating around that details that the business has been financially challenged with a few “setbacks”, due to uncontrolled challenges and controlled ones. The Examiner suggests that UBER and LYFT are the uncontrolled challenges that Yellow Cab Co-Op is dealing with. Regardlessly, Yellow Cab Co-Op has stated that they have begun filing for a Chapter 11 bankruptcy, but they won’t close after rebuilding the company.
To read the full letter that Yellow Cab Co-Op sent to its members signaling its potential bankruptcy, read the PDF below or you can click here.