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ENTREPRENEURSHIP

BUSINESS PLAN

Electric Hydraulic Jacks

SUBMITTED TO:

Sir Shahid AHMAD Khan

Dated:

19/08/2009

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PRESENTED BY

1. Musharaf Waheed (MI-01083-029)

2. Yasir Zafar (MI-01083-055)

3. Zafar Iqbal (MI-01083-036)

4. M. Fahad (MI-01083-021)

5. Ahsin Saleem (MI-01083-025)

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TABLE OF CONTENT
1 EXECUTIVE SUMMARY
2 COMPANY SUMMARY
3 PRODUCT AND SERVICES
4 MARKET ANALYSIS SUMMARY
5 STRATEGIES AND IMPLEMENTATION SUMMARY
6 WEB PLAN SUMMARIES
7 MANAGEMENT SUMMARIES
8 FINANCIAL PLANS
9 EXIT STRATEGIES
10 ARGUMENTS
11 REFFERENCES
12 APPENDIXES

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1. EXECUTIVE SUMMARY
In our country technology changes daily and no doubt peoples adopt it. So we decide to
bring some innovative product in Pakistan. We imports electrical scissor car jacks and
electrical hydraulic double cylinder car jack first one is use to just lift up the car and other
one is lift up the car and rotate.

Objective
Objective of this company is to provide ease to car holders with our best technical skills
and latest equipment.

Mission
By introducing innovative products to dole out the customers, with our best technical
skills, to attain customers values.

Key to Success
Our company success based on innovative product, and innovative products are our key
to success.

2. COMPANY SUMMARY

Name Ground breakers


The Automobiles Company

Company Ownership

This company is owned by five partners which invest their capital with same ratio.
And the partners are

1. Mr. Musharaf Waheed


2. Mr. Yasir Zafar
3. Mr. Zafar Iqbal
4. Mr. M.Fahad
5. Mr. Ahsin Saleem

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Startup Plan

Our company has contracts with different foreign companies which manufactures the
electrical hydraulic jacks. By importing these jacks we will introduce a new and
innovative products in Pakistan and serve the customers for their relieve .
In start as company is incorporated by the five partners but later company will hire some
technical staff and make separate departments for each work.

Company Location
First we will start from the Lahore city; site will be the Mall Rd. Lahore.
We choose this site because there are many showrooms and workshops

3. PRODUCT AND SERVICES


Product and services
Basically our products are electrical hydraulic jacks of many types which we import from
china.

Our first product is Scissor car jack

Product Description

Scissor Car Jack


Model: 81005B
Capacity: 1ton (2205lbs)
Current: 12V DC Electric Car Jack
Max. Height: 410mm (16.2inch)
N. W: 2.15kg (4.7lbs)
Product size: 470*135*85 mm (18.5*5.3*3.3inch)
Outer Packing: 8pcs / Carton
Standard: QS-9000, ISO9001:2002, TUV GS CE
Company: Wing International Ltd.

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These jacks work by the electric volts of car battery, it needs only 12 Volt current for
working.

Electric motor performs work to lift up the car which rotates the jack rod.

This jack is placed where desired to put, then current wire is inserted at the place of car
lighter

And with the help of remote these jacks are controlled either lift up or lift down.

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Second product is electric hydraulic car jack

Product Description

Lifting capacity:20-1000T
Lifting height:120-250mm
Max. Working pressure:70MPa

Detail

Electric-driven hydraulic jack products are new generation auto jack tool, changing the
traditional design pattern of jack thoroughly. Using the current of auto lighter, one soft
pressing on the switch can jack autos and no handwork is needed. It has safe and reliable,
aesthetic, flexible and fast, saving time and labor features. Gain the gold medal of
manufacture category in international invention exhibition 1995, gain national patent
in1996, and pass the authentication of hi-tech project Shenzhen. Products passed the
authentication of euro union CE and Germany gs. The quality is subject to international
stands after strict quality test during production. Product with top-ranking quality,
excellent design, and simple operation are the first choice necessary tools of drivers.
Double-acting design, hydraulic tools retraction
inside relief valve against sudden overload
Special guide ring design can bear side load no less than 5% permitted load
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Standard parts for exchangeable hard-treating slotted sladder
Wet painted surface against corrosion.
Dustproof ring against dust and dirty, to en long cylinder life, each model equipped with
quick connector and dustproof cap.
Competence in working under bad situations, and suitable for long-terms of industry
using.

Working of jack

The hydraulic cylinder consists of a cylinder barrel in which a piston connected to a


piston rod moves back and forth. The barrel is closed on each end by the cylinder bottom
(also called the cap end) and by the cylinder head where the piston rod comes out of the
cylinder. The piston has sliding rings and seals. The piston divides the inside of the
cylinder in two chambers, the bottom chamber (cap end) and the piston rod side chamber
(rod end). The hydraulic pressure acts on the piston to do linear work and motion.
Flanges, trunnions, and/or clevises are mounted to the cylinder body. The piston rod also
has mounting attachments to connect the cylinder to the object or machine component
that it is pushing.
A hydraulic cylinder is the actuator or "motor" side of this system. The "generator" side
of the hydraulic system is the hydraulic pump which brings in a fixed or regulated flow of
oil to the bottom side of the hydraulic cylinder, to move the piston rod upwards. The
piston pushes the oil in the other chamber back to the reservoir. If we assume that the oil
pressure in the piston rod chamber is approximately zero, the force on the piston rod
equals the pressure in the cylinder times the piston area (F=PA) .

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Distance
Distance
Through Inner Plunger Min between
stret6ching Working Cylinder Cylinder Stroke between
hole Diameter Rod Height connector
Mold force Pressure I.D. D1 O.D. D L connectirs
Dia.d D2 Dia. D3 L1 and end
L2
L3
(KN) (MPa) (mm) (mm) (mm) (mm) (mm) (mm) (mm) (mm) (mm)
SJZ50-50 50 30 22 55 30 40 75 50 208 80 53
SJZ100-
100 42 22 65 25 50 95 50 204 82 50
50
SJZ160-
160 28 28 100 53 80 140 250 424 300 78
250
SJZ300-
300 60 40 110 55 75 140 200 330 240 45
200
SJZ450-
450 60 45 120 70 100 160 250 473 294 90
250
SJZ500-
500 38 76 170 110 150 200 60 250 83 55
60
SJZ600-
600 56 55 140 80 115 180 250 443 294 90
250
SJZ1000-
1000 59 65 170 85 130 210 200 357 246 55
200
SJZ1200-
1200 51 75 200 100 160 250 200 425 252 79
200
SJZ1500-
1500 63 120 230 150 190 280 200 382 246 73
200

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SJZ2000-
2000 62 104 240 130 200 290 200 403 255 79
200
SJZ2500-
2500 54 136 305 185 250 380 200 510 284 103
200
SJZ3000-
3000 68 113 280 150 200 355 200 450 280 108
200
SJZ3000-
3000 68 100 280 150 200 355 300 520 372 86
300
SJZ5000-
5000 54 165 400 210 320 515 200 630 316 180
200
SJZ6000-
6000 65 165 400 210 320 515 200 630 318 180
200
SJZ6000-
6000 65 165 400 210 320 515 300 730 416 180
300

The piston moves instead downwards if oil is pumped into the piston rod side chamber
and the oil from the piston area flows back to the reservoir without pressure. The pressure
in the piston rod area chamber is (Pull Force) / (piston area - piston rod area)

Services of Products

One more service which our company provides to customers,


Our company will fit the electric hydraulic car jack, at the center point in the bottom of
the car

Then position of jack will be like

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As above mentioned that this jack work hydraulically as well as electrically and it’s
lifting capacity is up to 20-1000T, so this jack can easily lift up the car.

When current is supply to jack its rod came out, a frame of 1 feet die meter will attach by
this rod which helps the car to stand balance

And rod will touch with earth and lift up the car

When again switch is pressed the jack rod will came in it’s original position and car will
again lifted down

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Second our company also fit a electric rotator machine which rotate the car either left or
right side, but only when the car is lifted upon the jack rod, any one who drive the car can
easily rotate

Benefits of this jack

• This jack helps a lot in parking, because specially in Pakistan usually parking area
may very small and car holders faces problem that how and where they park their
car, if car not parked at exact place may lifters lift their car, or may it can cause of
scratches the body of car while other car holders also try to park their car. In this
case you can easily lift up and rotate your car because on wheels it is quite
difficult to turn again and again.

• In small streets where much problem of turn the car or may when parking in your
garage this jack also helps you there to turn.

• It also helps you when your car is in mud and don’t moving even a half feet, just
open jack, lift up car and turn it to desired side like if a single person is driving a
car and face this kind of problem so what he do………?

• And other situation if your car drop in a pit

• In case your car Is punctured and you use local jack for lifting, don’t need to do
that just do it even sitting in the car and change the damn tyre.

• If you are traveling on a single road and after traveled a mile away you came to
know that the road is blocked, now instead of reversing the car, on this time this
jack is magic for you just by using this jack rotate your car.

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Precautions

• While your car is standing on unbalance surface like one side is up and other side
is down don’t use this jack.

• Don’t use this jack while the surface under the car is so soft

Competitive Comparison
As we are importing these jacks from china country, and till today these jacks are not
available in Pakistan, we are the first one who is going to start so we have not any
existing competitor. But there are some local manufactures that are providing the
substitutes of our product like local Scissor Car Jack, floor car jack and bottle jacks. Up
to some how these are our competitors.

Sales Literature

Point of difference is that our jacks are electrical Scissor Car Jack as well as electric
hydraulic jack which bring much ease, which are not use in Pakistan to date.

Sourcing and Fulfillment


China industry is our main source where from our company import these jacks, remaining
equipment which are require for fitting or maintenance, these are easily available in
Pakistan

Technology
These jacks are electrical as well as hydraulic, where as hand lifting jacks are using these
days in Pakistan.

Future products and services


After accomplish this project our company will also start to import some other car parts
which are unique in use, different styles,

4. MARKET ANALYSIS SUMMARY


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Market Segmentation
Geographic basis
Our company just start it’s business in Lahore city Pakistan, in Lahore at different sites
workshops will be opened, where these jacks will be fitted in cars moreover some sales
point which only sale the Scissor Car Jack, and some other imported parts of cars of high
quality.

Target Market
Every person who have car is our customer and target market. We do not sell scissor jack
directly to customers but only to whole seller or distributors, in form of bulk purchasing.

Market Needs
People demands products which bring ease in their life in every aspect of life. As well as
they also demand quality product of economical prices. If we talk about these car jacks
currently, need exist but people are not aware.

Market Trend
Currently in market several car jacks are available which are locally manufactured, these
jacks are hand lifted and also hydraulic below are some pictures of these jacks

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Market growth
As our product is totally change, so market growth is expected. After launching in Lahore
we will grow our product in other cities.

Industry Analysis
Main industry which deals in electric and hydraulic jacks are in china. Some local
manufacturers are making these jacks in Pakistan, but most of machinery in which jacks
are used, import from other countries. Competition in Pakistan is very low, so there is not
as such our competitor but as our company is also selling electric jacks’ imports from
china; our product substitute in form of hand lifted jacks is easily available in markets, so
up to some extent these sellers are our competitors.

5. STRATEGY AND IMPLEMENTATION


SUMMARY
Strategy Pyramids
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Top
level

Functional
level

Operational level

Value proposition
Old trend in market is hand lifted jack which requires much force to lift up the car, our
product provide ease to customers that no hand power is require, and product is also of
cost-effective price. Our products fulfill the term benefit / cost.

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Competitive Edge
As our product is unique, this is not available in Pakistan so uniqueness of our product is
our competitive edge to compete others.

Marketing Strategy
Our company use market diversification strategy, as by introducing new product in new
market.

Positioning Statement
Creating distinctive image of our product in mind of customers as compare to
competitors.

Pricing Strategy
Current Prices in market in PKR

Scissor Car Jack Non-Electric 375


Bottle Jack Hydraulic 450

Our New Product Prices

Scissor car jack Electric selling price 530


(¥ 280 / pc) (1 ¥ = 0.010541 U.S. dollars) (Dollar current rate 82.64) = (243.91)

Saivs Hydraulic electric car jack 1250


Fitting Charger 300
Total 1550

Promotion Strategy
Our company will promote our product through
• By distributing pamphlets on Show Rooms.
• Banners on Workshops.
• Ad in news paper.

Distribution Patterns.

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One way to sale our product is direct customers dealing workshops, second we will sale
our product to main distributors in Pakistan.

Sale Forecast

Unit Unit
Product per unit Year 2009 Year 2010
2009 2010
Scissor Electric
50,000 75,000 530 2,65,00,000 3,97,50,000
Jack
Savvies
Hydraulic
20,000 50,000 1250 2,50,00,000 6,25,00,000
Electric Car
Jack

Total sales 5,15,00,000 10,22,,50,000

6. WEB PLAN SUMMARY

Ground breakers will make it’s own web site by the name with

www.groundbreakers.com
in which company and products description will be given also features, working, prices,
and details about availability of product will also given. Moreover we link our site with
some sports, cars manufacturers’ web sites. And pop up ads on more used web sites.

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7. MANAGEMENT SUMMARY
Organization Structure

Director of
Company

Head of Marketing Head of Finance Head of HR


Import Department
Department Department Department

Sales Advertisement Management

Management Team
Management team leads a company towards success, if it can. So that our company
silhouette the team in a way, that each member of team have full command on relevant
field.
Mr. Ahsin who is also partner of company, he controls the finance and import
department, because of his previous experience, talent, nature to do hard work. He did job
with a FMCG company, in accounts department as well as Commercial department for
more than one year; also have three months experience with national bank of Pakistan.
Second Mr. Fahad and Mr.Yasir and Mr.Zafar who also partners of ground Breakers
Company will manage marketing department because they have experience of marketing
in different organizations. Mr. Musharaf Waheed who is already running his business and
know how to control, company will also hire some other technical staff.
As it’s partnership business and each partner invests equally, and will also receive
equally by dividing all the profit in five of partners.

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8. FINANCIAL PLAN
Break Even Analysis
BREAK EVEN = Total Fixed Cost/ (Sale per Unit – Variable Cost per Unit)

=7562500/ (238 – 220)

=756250/18

=420138.89 unit

PROJECTED INCOME STATEMENT


This statement provides entity’s forecasted yearly profit and loss for the future. It shows
whether the company made any profit in a year, what the expenses were and where the
profits were used.
Projected Profit & Loss Statement
2009 2010 2011 2012
Sales 5,15,00,000 10,22,50,000 13,67,25,000 14,19,87,000
Cost of production 4,30,00,000 9,20,47,000 12,50,40,000 13,00,57,000
Gross Profit 85,00,000 102,03,000 1,16,85,000 1,19,30,000
Administrative Expenses 3,75,000 500,000 7,50,000 7,75,000
Selling & Distribution
8,00,000 9,50,000 13,50,000 14,10,000
Cost etc
Income Before Tax 80,45,000 87,53,000 95,85,000 97,45,000

Tax 32,18,000 35,01,200 40,12,100 41,12,000


Income After Tax 48,27,000 52,51,800 55,72,900 56,33,000

Projected Balance Sheet


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2009 2010 2011 2012
Assets
Opening stock 0 503000 457000 478000
Cash in hand 7000000 6055000 6442000 6754000
Debts 404000 565000 515000 537000
Fixed assets 1590000 1759000 1853000 1967000
Bills receivable 250000 566000 647800 719000
Long term advances 2250000 2834800 2926000 3015000
Closing stock 503000 457000 478000 552500
Total 11997000 12739800 13318800 14022500
Liabilities
Bills payable 50000 90000 135900 277800
Provision for taxes 2000000 2200000 2370000 2650700
Lease liabilities 100000 153000 187000 399000
Long term loans 20000 45000 53000 62000
Capital 5000000 5000000 5000000 5000000
Profit 48,27,000 52,51,800 55,72,900 56,33,000
Total 11997000 12739800 13318800 14022500

9. EXIT STRATEGIES
If our company fall short then we will apply the strategy in which we will capture another
market of those areas in which people are fond of driving cars.

10. REFERENCES

http://www.youtube.com/watch?v=uvh2rNJd8Po
http://www.made-in-china.com/showroom/fashion-inc/product-
detailUaLmoQpcDxzY/China-Auto-Electric-Jack.html
http://www.hydraulic-saivs.com/Hydraulic_Cylinder.htm
http://www.hydraulic-saivs.com/
http://www.globalsources.com/gsol/I/Bottle-
jack/p/sm/1011134907.htm
http://www.chinasuppliers.globalsources.com/china-
suppliers/Jack.htm

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