A business in Grand Traverse County closed its doors after midnight Sunday.
Because of that, the area is now short by one more cab company.
Cherry Capital Cab gave 62,000 rides last year, but the owner says it had to shut down.
After more than 10 years in business, they gave their final ride Saturday night. 9&10 News talked to the owner who says the decision was not an easy one, but the right one.
“Forty-two percent of all the taxi cab companies in Michigan have gone out of business since March of 2017,” says Cherry Capital Cab owner Doug Dornbos.
Sky high insurance rates: that’s what Dornbos says caused the company to close, like many others.
“Our insurance cost would have renewed at about 1,000 percent greater than in 2009.”
He says it costs less for drivers to be insured independently.
“It works kind of backwards from what you would think. You would think if somebody had a fleet they’d be getting a better price, but that’s not necessarily how that works,” he said.
Dornbos says ride services like UBER and Lyft were not the main concern.
Some people we talked to downtown say they’re shocked it closed.
“I was surprised because I’ve seen them driving around quite a bit and I enjoy seeing something that’s local,” Abby Tounge, who lives in Traverse City said.
Marti Johnson, a local UBER driver, says UBER and Lyft are taking off in Traverse City.
“There’s an UBER and Lyft group on Facebook now. I think it’s becoming more popular. There’s people that are doing it for a hobby, for extra income,” says Johnson.
Doug Dornbos says his 25 drivers are out of a job, but is confident they will find other employment.
“The people that I had here, they’re high enough quality that this will not destroy them,” he said.