When you apply for an operator licence, the traffic commissioner needs proof that your money is real, stable, and available for use. Not all funds qualify. The key rule is simple. You must have full control over the money at all times.
Accessibility of Funds
Acceptable funds must be easy to access. They should support your daily operations without delay. This applies to every operator licence application, including a pco operator licence application and all operators Licence UK categories.
Bank Accounts as Primary Evidence
The most common type of acceptable funds is money held in a bank account. This can be a business account or a personal account linked to your transport operation. The account must be in your name or your company’s name. The balance should stay above the required level for at least 28 consecutive days.
Use of Overdraft Facilities
Overdraft facilities also count, but only if they are formally approved. You must provide written confirmation from your bank. This should clearly show the overdraft limit and confirm that the funds are available for use. An informal overdraft or temporary extension will not be accepted.
Credit Balances and Other Funds
In some cases, credit balances may be considered. However, they must be reliable and accessible. The Traffic commissioner will assess whether these funds can support your business in a real and practical way.
Funds That Do Not Qualify
Funds that are borrowed for a short period do not qualify. For example, if money is transferred into your account just before submitting your application and then removed, it raises concerns. The same applies to loans that are not properly documented or secured.
Importance of Consistency
The focus is on consistency. A steady balance over time builds trust. Sudden changes or unexplained deposits can delay your application or lead to refusal.
