How to Start a Driving School in Nevada: A Step-by-Step Guide

Here you’ll learn everything you need to start your Driving School in Nevada

Compared to many states, Nevada makes it relatively easy to establish a driving school. You still need to complete forms, and meet requirements, but the state seems to be driving-school friendly.

Nevada driving schools MUST offer classroom, on-road, and the required parental class in order to be licensed.

Driving School Licensing and Requirements

General requirements

To operate a driving school in Nevada, you will need to be licensed by the state. Licenses are valid for one year. Applications should be submitted online. In addition to a completed application form, your application packet should include the following:

• A completed Personal History Questionnaire and passport photo.
• One set of fingerprints for each principal of the business, including the fingerprint waiver and processing fee of $36.25.
• A completed disclaimer which covers the requirements for a license.
• A surety bond in the amount of $10,000.
• A copy of your Certificate of Insurance.
• Copies of your city/county business license and fictitious name filing.
• A copy of your certificate of incorporation.
• Your Federal Employer Employer Identification number.
• A current email address and the location of your place of business.
• Two pictures of your place of business, showing your sign.
• Hours of operation and list of vehicles
• Inspection results of each vehicle.

The licensing requirements summary will guide you.

The current regulations for Driving Schools, beginning at Sect. 708, are straightforward and clear. Driving school instructors and owners should know and comply with them–they allow a wide range of operation but, since it’s Nevada, they are probably strictly enforced.

Nevada requires the following minimum liability insurance coverage:

• $100,000 bodily injury to one person
• $300,000 bodily injury to more than one person
• $50,000 property damage

You may have a combined single limit for one accident of $450,000.

If you have employees, you must carry workers’ compensation insurance covering them–and potentially you–in the event of injury while on the job. You should, of course, consider higher coverages and/or an umbrella policy to cover your operations.

Driving School Owner’s License

Nevada places few personal requirements on owners of driving schools. The main bar would be conviction for a number of crimes involving fraudulent behavior or moral turpitude.

Driving Instructor’s License

While no specific requirements are set for driving school owners, instructors must demonstrate qualification before they receive a license from Nevada. Submit the certificate of employment , the personal history questionnaire, a passport photo, fingerprints and the fingerprint form, and the disclaimer. The fingerprint fee of $36.25 and application fee of $11 must be included.

Instructors must meet the following qualifications.

• You must have had a driver license for at least five years of the class you’re expecting to teach.
• You have no more than 2 moving violations in the past 24 months, no suspensions or DUIs for the past 3 years.
• You must pass both a written and driving test.
• You must have a high school diploma or the equivalent.
• If you are going to teach classroom instruction for new drivers under 18 years old, you must have 40 hours of instruction at the college level or other training pertaining to driver education.
• You may provide evidence of other experience.
• Renewal requires 4 credits of continuing education.

Instructor licenses must be renewed annually.

Location

You are generally free to establish your business anywhere you see fit, although residences must be properly zoned to be used for a driving school place of business.

You must provide adequate heating, lighting, ventilation, fire exits and other comfort facilities. You may not be in a place that dispenses alcoholic beverages, a hotel room or rooming house, or a house trailer unless approved by a fire inspector. You must be ahbe to store all records at your principal place of business.

Your office space must meet local and state building requirements, and it must be accessible to the public during your regular business hours. It must be accessible to persons with disabilities.

Your school and instructor certificates must be conspicuously, along with any inspection reports.

Records must be maintained at your main business office.

Classroom facilities must be in a building suitable for instruction. Compliance with local and state sanitation requirements is expected. The classroom must be equipped with suitable desks, tables, chairs and other items appropriate to the setting.

Your school name cannot be substantially similar to that of another driving school, and you may not use the words “State”, “Government”, “Municipal”, “City”, or “County” in the school name, and you must use your school’s name only in advertising and publicity.

Don’t ever give a student or parent the impression that your instruction guarantees receiving a driver’s license–you may mention your pass rate.

Vehicles

Your vehicles need to have dual controls for the brakes, as well as a rearview mirror for both driver and instructor.. They must be inspected annually.

Signage needs to be on the vehicle stating “Student Driver”. The letters must be visible from at least 100 fee from front and rear or the sides.

Records and Contracts

You will need to keep records of all students and instruction for at least three years after they finish their training with you.

Each student’s record must include the full legal name and residence, record of attendance, permit/license number, instructor/instructor number for each training session, dates and times for each session of instruction, total hours, and the student evaluation form.

The Driving School Curriculum in Nevada

Your Nevada driver education classroom course must include at least 30 hours of instruction, not counting breaks or meal times. No more than 7.5 hours of instruction may be provided during a day, and no more than 7 days may pass between sessions. The use of audio/visual or computers may not take more than 6 hours total.

The topics covered during your classroom instruction are outlined in the regulations, and include:

• Driving attitudes, safety equipment, and defensive driving.
• Speed lanes, proper use of lanes, and basic driving schools.
• The differences between city, town, highway, and freeway driving.
• Driving in different situations.
• Traffic laws.
• The effects of drugs and alcohol.

Your behind-the-wheel training must address at least

• Vehicle familiarity
• Basic vehicle control.
• Skill development
• Driving in traffic.

Commercial Driver’s License Instruction

The process to provide CDL instruction in Nevada is essentially the same as that for regular driver’s licenses. You will need to own/lease at least 3 tractors and trailers to offer CDL instruction. The regulations outline some key information.

Starting a Small Business in Nevada

Your driving school is not just subject to the requirements for driver’s education in Nevada. You also need to establish your Driving School as a small business, and have to consider a number of factors. The form of business you take up, as well as the procedures, are appropriate topics of conversation with your lawyer and accountant. The considerations we offer here are not legal advice, but should provide you with things to think about as you set up your business.

Business Registration

All businesses need to register in Nevada, especially the business name—the “doing business as” certificate. Banks may not be willing to set up your account until you have that DBA form. We’ll include where to register in the business structures below.

You will also need to obtain a Federal Employer Identification Number. Banks may need it for your business accounts, and you may be wanting to employ people. To obtain an EIN, go to the IRS website and complete the application form you find linked there.

Business name

Before you get going, you’ll want to check to see if the business name you want is in fact available in Nevada. You can search the Nevada database, as well as visit the office of the county recorder.

Once you know your business name is available, you can reserve it with the Secretary of the Commonwealth’s office.

Sole Proprietorship

Owning your own business is the easiest one to set up, but also may open you to liability concerns. As a sole proprietor, your business is simply part of your life. You keep a separate set of books, and complete a Schedule C for your 1040 form every April.

Sole proprietorships can expose the proprietor for full liability, even with insurance. That may mean that if you are sued, you may lose your home and property, as well as your personal bank accounts and other assets. This risk may not be worth the ease and independence.

In Nevada, register with the state.

Corporations and LLCs

You may set up a full corporation (“Inc.”) as your business structure. Corporations limit your liability for loss to your investment in it, as a general rule (although banks may require you to be obligated personally if you take out a loan to get your business going). This form of business keeps your personal assets safe.

As an owner of a corporation, you’ll have to set up your driving school consistently with the rules for corporations in Nevada. You’ll also have to decide whether to be an S Corporation or a C Corporation. Generally, the S Corporation form is set up for small businesses. It allows income and taxes to pass through to the owners. You will want to discuss these forms with your attorney and accountant.

You may be able to set your driving school up as an LLC in Nevada. The LLC form provides the same limited liability as a Corporation, but do not have to comply with the corporate formalities most states require, including items like bylaws, required stockholder meetings, and minutes (although minutes of meetings are probably a good idea).

You’ll have to discuss the advantages and disadvantages for the LLC with your attorney and accountant.

Both Corporations and LLCs file with the Secretary of State. In addition to name reservation, you’ll need to submit the following forms

• Corporations submit Articles of Incorporation.
• LLCs submit a Articles of Organization.

Now What Do I Do?

Once you’ve complied with all the legal requirements to be both a driving school and a small business in Nevada, you need to get students.

Getting students requires marketing—largely on the internet. You will need the following systems set up to obtain students:

• A website—focused on the types of students you want to attract, and aimed at your locality.
• The website should also include a blog, which allows you write about a variety topics and engage in Search Engine Optimization—which will drive traffic to your site.
• A Facebook page, linked to your website, to become noticed and drive traffic.
• Getting testimonials from successful students.

Marketing is something you will have to devote time to. DrivingSchool.Marketing can help you get the best bang for your marketing buck.

Conclusion

Disclaimer: This page is part of DrivingSchool.Marketing’s series of state and provincial pages designed to help entrepreneurs like you start driving schools. States change their regulations, or the web pages they host their forms. While we believe these rules are accurate as of the date of publication, we cannot guarantee full accuracy. Please let us know if you spot any problems.

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Josh Meah

Josh is the CEO of DrivingSchool.Marketing. His goal is to be the marketing and business development partner of driving schools around the world, helping them become thriving businesses while also expanding general awareness for the importance of traffic safety standards and education.

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