With the deregulation of intercity bus travel taking place across the country and Greyhound Canada shutting down and no longer operating, there is increased demand and opportunity for growth in bus passenger services in Canada.
This leaves the door wide open for new entrants and smaller players to enter the market or existing companies to grow their services. Our experts at Capital Hands can help guide you through your financing options to meet the new opportunities in this growing industry.
What’s Happening in the Industry
The passing of Bill 213 in Ontario in July dissolved the Ontario Highway Transport Board and ended the regulation of intercity bus service within the province. That system of rules and regulations had been around since the 1920s. This means there is now less red tape and more opportunity for carriers to access markets.
Over the last few years, Greyhound Canada has been reducing its services. The company cut most of its routes running in western Canada in 2018 and put its remaining routes on pause in May 2020 during the first wave of COVID-19. Greyhound Canada officially shut down all of their routes permanently in May 2021, leaving a void in passenger bus services across the country.
With an increase in car ownership and cheap flights connecting major centres, it’s easy to believe that bus transportation is outdated. However, buses still matter. Many people rely on intercity bus transportation for employment and medical and personal appointments, and with increasing concern about climate change, more people are turning towards public transportation options. Transportation accounts for 28 per cent of Canada’s greenhouse gas emissions, and environmentally conscious travellers and commuters are looking for viable alternatives to flying.
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The changes bring new opportunities. As Terence Johnson, national president of Transport Action Canada, told the CBC, he sees the bounce-back period following the pandemic as a moment to transform and improve Canada’s transportation system. He also said that Greyhound’s departure from passenger bus services could be the catalyst needed for a new coast-to-coast bus network created by connecting a group of regional bus companies — provided the federal government is ready to help.
Because of these opportunities, you may be looking to enter the market or grow your existing fleet of buses. Here, we will explore your options and discuss how Capital Hands can help.
How Capital Hands Can Help
Capital Hands offers transportation financing options for various industries and vehicles. Our experts are ready to work with you to provide a business equipment loan, leases, or other financing solutions for your transportation financing needs. Whether you’re looking for new or used, a single unit or an entire fleet, we’ll work with you to come up with a customized solution. We can also help with financing major repairs and maintenance.
With a shortage of equipment continuing to cause disruptions in many industries, including transportation, it can be challenging to get your hands on new vehicles, so you may want to opt for used vehicles. It can also make sense financially to turn to used buses. With our years of experience across a wide range of industries, we don’t just provide financing solutions. We also have partnerships across various sectors with sellers and brokers to get you the equipment you need.
As one of the leading asset based lending companies, Capital Hands uses a holistic consultative approach to come up with the best solution for you and your business. We don’t use cookie-cutter methods or products here. We work to understand the strategic financing needs of your business and take into account your budget, equipment usage, and other factors.
As opportunity grows in intercity bus passenger services, don’t be left behind because you’re worried about financing or unsure if you qualify. We feel privileged to be able to work with you and play a role in empowering businesses to operate at their best. Call us today to talk to our experienced, knowledgeable finance experts to come up with a solution that meets your specific needs.