Cruze launched on Oct. 8 and provides rides to students around the DU campus. Users can request a ride through the eTuk App every Thursday, Friday and Saturday night. Photo by Connor W. Davis | Clarion

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Photo by Connor W. Davis | Clarion
Photo by Connor W. Davis | Clarion

This fall, DU student Jackson Trott launched a new transportation company called Cruze that is receiving attention all over campus and possibly giving competitors like Uber, Lyft and Yellow Cab a drive for their money.

The 21-year-old from Kensington, Maryland started studying general business at DU in 2012, earned his bachelor degree in June 2015 (a year ahead of schedule) and is now enrolled as a finance graduate student at Daniels College of Business. While classes keep him busy just like any other DU student, entrepreneurship is now fitting into the schedule, too, as he attempts to change the way college students are transported around their neighborhoods.

The premise of the business is that Trott drives a golf cart-style electric vehicle called an eTuk (commonly found abroad) around the DU neighborhood and takes students from place to place. The eTuk is 100 percent electric, something Trott is proud of as a member of the transportation committee of the DU Sustainability Council.

As a temporary launch special, a ride anywhere in Cruze’s permitted boundaries (See map below: as far West as Broadway, as far East as Colorado, as far North as Virginia and as far South as Dartmouth) costs $2 per person, with a maximum fee of $6. Trott says rates will most likely rise to $3 per person with a $9 cap.

The vehicle fits six customers, who can request a ride through the Ride eTuk app. The app, which is currently only available on Apple devices, tracks users’ locations through GPS for pickup, and when the time comes for payment, Trott accepts credit cards and cash on the spot.

He also outfitted the vehicle with speakers that customers can play their music through and an LED disco ball.

The idea for Cruze came during the winter quarter of 2014 when Trott noticed an influx of students using Ubers to go short distances.

“I’d be going out to places like C&G, The Border and different house parties and it was freezing cold so everyone was taking Ubers everywhere. And I was just like, ‘wow, that kid just paid 10 bucks for a really short Uber ride. You know what, why don’t I start a local transportation company?,’” said Trott.

After the “aha” moment was over, Trott said the process of getting Cruze up and running was anything but simple. He started diving into the project in March, and it wasn’t until late September when everything fully came together. He said that, above all, insurance was the biggest barrier, especially with the golf cart bought off Craigslist that he initially intended to run the business with.

Photo by Connor W. Davis | Clarion
Photo by Connor W. Davis | Clarion

“No insurance company would work with me for under $30,000 a year and there was no way I could profit on that,” he said. “And that was mainly because it was a 21-year old kid driving a golf cart, while you generally need to be 25 to get a good rate.”

While researching a way to insure the golf cart for a decent price, Trott came upon eTuk USA, a company selling eTuks all over the country. After some conversation, he discovered that his main point of contact there at the time, Michael Fox, is an alumnus of Daniels College of Business (class of 1997). From there on, these conversations started to evolve into a partnership that Trott never expected.

While Cruze still stands as its own company, it is now directly partnered with eTuk and Trott said the partnership has provided him with a stable business plan and the tools he needs to propel his company forward. This includes access to the eTuk app, which would have cost too much for him to develop on his own. He even has an office at eTuk’s Denver location waiting for him whenever he wants it.

“They [eTuk] essentially gave me the vehicle and I’m paying them royalty on my profits,” he said. “So now, we’re full-on business partners, our goals are aligned and I can grow with them and take this to other college campuses.”

Photo by Connor W. Davis | Clarion
Photo by Connor W. Davis | Clarion

Trott ran into further hiccups on top of insurance while certifying Cruze as its own individual company. He said the biggest was a legal complication with Yellow Cab.

“Because there is a regulated monopoly on the transportation industry in Denver, existing companies can veto new companies from getting licensed to operate as a public utilities company,” he said. “So Yellow Cab intervened on my application and threatened to sue me if I continued to apply because, legally, they could. eTuk USA was able to settle out of court when this issue arose for them, but I didn’t have that type of money. At the end of it, it wound up being that I can have three vehicles in this neighborhood because that wouldn’t hurt Yellow Cab too much.”

Trott said this was a win because he doesn’t see more than three vehicles being necessary at DU. He also got a public certificate of public convenience and necessity, making the business completely official.

By the end of this quarter, or possibly the end of the winter quarter, Trott hopes to work with investors to buy more vehicles. Each one costs about $20,000. These vehicles would be used possibly to expand business at DU, or to start a new branch of Cruze at another campus such as CU Boulder. He is also looking to hire a driver to add to his staff of five, who are currently helping out with accounting, marketing and law.

To try out Cruze, download the eTuk app and request a ride on Thursday, Friday and Saturday nights. To keep up to date with the company’s progress, make sure to follow Cruze on Facebook.

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