The Auto Shine Express car wash is a dynamic start up. Unlike other car wash companies Auto shine express offers high quality automatic car wash service. It is an answer to customers demand for an automatic car wash which would help them to save their time. In last 10 years, the population of cars has increased many fold. In today’s context most cars are driven by the owners themselves and would any day prefer to have a quick car wash, rather than leaving the car the whole day at service station. Dhaka is a good market for a car wash business since it has almost 250 rain free days. The concept of an automatic car wash is an innovative one of its kind. It provides a new experience to the customers. It is different from the other car washes which is completely manual in nature. It is being started as a partnership company. The Auto shine express is planning to start its operation primarily in Airport road. Once it is establishes it would expand its functioning to other parts of the Dhaka. Since it’s the first one of its kind it has a wide market to capture. The competitors for the company are the traditional car washes which offer “full service”. The Auto shine Express mainly targets middle class, upper middle class and upper class people having cars who need a quick service. The initial capital of 7000,000 lakh was raised as internal capital and through loans. The company will start functioning after 90 days of obtaining the finance.
2. Business concept:
2.1 What is automatic car wash (Description of the service) Automatic car wash is the modern way in which the cars are not washed by hands. In this new technology the cars are washed by a sophisticated high impact pressure jet wash technology. 2.1.2 Reason for going in this Business? To start with a new business, is always asking the entrepreneur to deeply ponder over all the dimensions of profit and loss (Profit being the first priority). The canvass of business, its magnitude depends upon the scale of investment that is i.e. the capital investment, nature of business, suitability and off courses countless other areas. Priority with an entrepreneur will always be to have his investment back through the selected business with the reasonable margin of profit. A car wash enterprise is a profitable idea, and having thought over it with all my human capacity, I have decided to go for an automatic car wash. I fully understand, the project requires energy and energizer.
2.1.3 The Auto Shine Express car washing Co. (Description of the firm): The Auto Shine Express car washing co will be a new business opportunity in Bangladesh. This modern technology of car wash will provide the car owners a car wash for which they will not need to wait a long time. The Auto Shine Express car washing co. will wash a car within a few minutes. It will use latest proven and successful technology in washing vehicles. It is a so fast process that the owner or drivers need not to leave the car. They can just wait a few minutes and take the delivery of a fresh and clean car. In this process nobody will use hand to wash the car. The total process is automated and the machines will do the duty of cleaning instead of the hands of the car washing people. At present, we are Bangladesh based service provider of car wash, bus wash and truck wash. We have also developed a new two wheeler wash system, which can accommodate all types of two wheeler vehicles. Our equipment’s use high-pressure water for cleaning. We also use friction brush type of equipment’s with specially made soft brushes that don’t scratch our customer’s car paint.
We maintain our focus on customer service.2. They will be welcomed as part of family Competitive advantage: • • • Larger and newer facility Shopping and commercial area is near of site Location with regard to vehicle flow
. Auto shine express will meet the unfilled need by providing customers with reasonable priced and high service car wash. Customers will be attracted because of our atmosphere. while providing owners and employees an excellent reward. Focusing all of its energy and resources on customer satisfaction and value.
2.2.2 Vision To become so value oriented towards customers so that every vehicle should pass through our bay. Expand to two more location after three years.3 Core competency and sustainable competitive advantage We start with a critical competitive edge: there is no competitor of Save Time Auto Wash. Financial management Personnel management
2. and facilities.1 Mission Auto Shine Express is dedicated to providing its customers the ultimate car care experience.2. quality and reliability.2. 2.3 Goals • • • • • • • Not to have a single dissatisfied customer. Control of waste Maintenance of equipment’s. pricing. To be pioneer in car wash domain. speed. Create a steadily growing net profit margin.
A successful car wash business. They will not regularly use SR unless they receive excellent service. There are two buildings and a coupon issue counter in the project area. to gain market share. • High quality washes: The target market values a higher quality washes for their upper-end cars. the business could consider expanding on-site or into another area. The land is well secured by a boundary wall surrounding the project area.3. demonstrate its skill and cost-effectiveness. will have to choose its niche market carefully.1 Design of service Auto shine express seeks to fulfill the following benefits that are important to the customers: • Exemplary customer service: The target customers have money and are used to having excellent customer service. as well as the time needed to provide the service must be convenient and fast respectively.
3. The project area will be fully computerized security system that is all the security system is totally automated. There will be also a cafeteria and customer waiting room in the project area.
. In the first one the official work will do. then. Once the basic ‘ingredients’ of success are proved. The second one is the worksite.2 Technical profile The auto shine express itself will be the owner of a chosen land. There could stand maximum 7 cars at a time in the parking area including a car which might be in the washing system. and build a loyal customer base. Product or service
3. • Convenience: The hours of operation. The actual car washing will do over there.
Fig-1: Lay out plan of auto shine express car wash
truck. So a car wash center like Auto Shine will definitely shine in the car wash industry. it requires an advanced and quality car service center. We have surveyed in different places and different people. will be available in this road very much. This is because of the entry of major automotive makers around the world into the Bangladesh market. But study about current available industry scenario shows that the car wash industry has many new opportunities coming up in the near future. if they are planning to start some project which may affect the car population in our business locality in near future (Building of fly over. At last we have decided that we will establish our Auto Shine Express car washing company on Airport road. every vehicle.1 Industry Analysis Analyzing the industry of car wash in Bangladesh is not much possible because it is on its verge of emergence.
.2 Market Area At first we had to survey and collect data to select the market area. Market research and analysis
4. by . private car. Owners of the bus. We have asked the Municipal Corporation of our city. 4.).4. For car servicing or wash of these modern and costly vehicles. etc. We took their opinion about when and where they want the service. Because it a main road.pass. which are our clients.
. This range includes youngsters who are seeking education. So there will be no waste of time for the clients. Demographic Segmentation Demographic segmentation includes: a) Age We can segment our market on the basis of age as a fixed percentage as follows: Age 20-27: 30% of this segment of age will be using our services. b) Gender We can also segment our market on the basis of gender as a fixed percentage. the private car owners are our customers. Age 28-50: 50% of this segment of age will be using our services. They can wash their car from us within a few minutes. In Peshawar. All the buses and trucks are also our target customers. We are expecting to have approximately 8000-9000 taka revenue per day from our washing plant. This age includes retirees. Uttara. 20% Females will be using our services. Age above 50: 20% of this segment of age will be using our services.This place is also near to Gulshan. males are more likely to be served by us than females due to cultural factors. As we are the only provider of this service in our country. Baridhara. We all know that the people living in these areas are almost all rich and have a standard lifestyle. Again. We have the capacity of washing the buses and trucks. All the private cars in Dhaka city are our expected targets. Banani. 4. Mohakhali etc areas. So we’ve estimated that: 80% Males will be using our services. 4. we do not only serve the private cars.1 Market size: All the people who have a private car and all the bus and trucks are our target market. they can afford and they will be willing to get our service for their private car. we can have a monopoly market here. Like. executives and other professionals. This range includes businessmen. We will try to get all of them.2 Target customer: We are targeting all the people who have a car to be our customer.
d) Income All those people. whose income is greater than 30.
5. we can divide our market on the basis of: Lifestyles: consider cell phones. yet we do not have any competitor exactly like us. is new and innovative industry in our country. But there are several petrol pumps. One for husband. these people are likely to use our services: • • • • • Executives Professionals/Businessmen Luxury car owners College and University students Others
All these segments are the potential customers of our venture. Every single person has a cell phone. So families of this kind of lifestyles are also more likely to be served by our venture. Similarly. the trends for cars have also changed. But the trends are changed. Because they have more cars and they can’t wait for 40 minutes 4.3 Competition: As Auto Shine Express Car Wash co. but now they are going to 2 or 3 are there. Based on occupation. • Psychographic Segmentation
Psycho graphically. Market plan
. which are providing this service manually. and one for the son. These petrol pumps are our main competitors now.c) Occupation Similarly we can divide our market on the basis of occupation as well. there was only one car in a home. one for wife.000. are likely to be served by us. Firstly. a decade ago only 2 out of 10 persons had cell phones. Lifestyles have been changed.
3 Advertising and promotions: For advertising we have to use several media.350 per vehicle.2 Pricing: As we will provide service to different type of vehicles. • • • For private cars.
Quality service We will provide the best quality as compared to manual car wash system and so will make loyal customers by making a perception that auto car wash is better than the other one.1. For small trucks and buses we will charge Tk. So we have to advertise more to make them aware of this new opportunity of car wash. we will charge Tk.
.1. A free car wash for every 4 washes in a month. For large trucks and buses we will charge Tk. We will advertise on television. The main pricing forms are given below. Because it’s a new business in our country and people are not aware of this service yet. 5.1 Marketing Strategy
5. 250 per car. The process of our advertising is given below.1 Product or service As our venture is a service venture so it doesn’t have any tangible product. But we can add these things into our product category: Brand Name: The Auto Shine Express Car Wash Allowances • • We shall issue membership cards and deliver discounts on those cards.1. the pricing is also different.5.300 per vehicle.
3 Sales and credit terms: No credit is given by the Auto Shine Express Car Wash co.We will advertise on newspapers. and individual car owners get 1 wash free for 4 wash in a month. • There is only one washing zone. 5. • It is a contact less or touches free system. but there is an option. • It uses internationally available and reliable components. We will send leaflets to the transport companies. so that they could be interested in our service.
5. proven and successful technology. • We will advertise on the billboards.4 SWOT analysis: • Strength: • It uses latest. Though we do not give any concession. • Opportunity: • There is a scope for expansion of new branches. After washing the car. • Weakness: • This is not a well-known process yet. If there is any problem or objection then that will be solved.1. and then there will be a 10% discount. • It gives the car a shiny and new look. • This process is little bit costly than hand wash. That is like a company agrees to wash their 20 buses 1 times in a month.
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. Also some facilities will be given to the regular customers. And finally the payment will be done before the delivery of the car. • It requires a very little time. Many cars may find it distant from its way.1. the customer will check the car for his/ her satisfaction.
Manufacturing or Operation
6. 2. Convenience to customers to choose from the different packages available. The quality of service given with highly equipped machines.3 Positioning Auto Shine express will be positioned in the minds of people who own a car and is looking for a quality car wash service which consumes less time. • It might be very costly to make people aware of this new opportunity. • Threat: • People might not take this new change very soon and they might prefer to go to the hand wash system. this process might become more popular. for a fair charge. 3.1 Location Analysis
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. 4. 5. • Many new companies might find it profitable and enter into the business.
6.• As it is a technology-based age. This positioning is done so that people who are in need of a car wash and have less time can always go for Auto Shine express. The Tagline of the enterprise is “Shiny car every day”. 5.
5. Eco-friendly service process. The location of the enterprise. • In this new technological time people might find the hand washing system obsolete very soon and realize the automatic car wash only solution. Quality service at a minimal price.2 Points of Difference The main features that differentiate Auto Shine express from other competitors are: 1.
Public Place. guy wires.1. Gas Station. 6. Once the locality is selected. street characteristics etc.
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.Shape and space
Rectangular Enough space for Customer Car parking and any future projects if desired. etc.3 Selected Land: After analyzing various criterion we have choose land for Auto Shine Express Car Wash co.) The site on the side by which the majority of the drivers pass on their way home. (If Street in not flat. Near a traffic signal Near a Shopping Mall. Cinema Theatre. corner plot No Exit restrictions (One Way etc.3 Basis of evaluation of the land: Evaluation should be done on each piece of land according to following ideal criterion.
.1. Easy turning of car into the land. frontage.2 Land Selection: Land selection is a critical part of the planning Evaluation should be done on the basis of shape and space. topography. etc. which out much guiding hassles Leveled and even (if uneven.Location is a very important factor for establishing a new company. 2 .3 lands will be looked for. post big signboards so your car wash is visible from distance. Motorists can plan well in advance about having a car wash) Busy Street Turning.Street Characteristics
• • • •
6. Car Service Station. in the area of Airport road in Banani of Dhaka Metropolitan area. where Car Wash may be started. can be excavated) Connecting street must be flat at least 100 feet in each direction. No physical obstructions like electric or telephone poles.Topography
. The location must be convenient and appropriate. .1. 6.
The project area will be fully computerized security system that is all the security system is totally automated. There will be also a cafeteria and customer waiting room in the project area. which removes all the dirt. 6.3. There are two buildings and a coupon issue counter in the project area.2 Pre wash arch:
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. Then the car will be washed again by water. neat and clean. and water will be sprayed. The second pass is soap application process by special nozzles.3 Operational process The process of the service will be very simple. It will take certain amount of money to by the premise. The horizontal water nozzles bank follows the contour of the vehicle. A high-pressure plunger pump assists the main washing arch for cleaning the tire and rocker panels. It has a three step washing sequence. The first pass is high-pressure pre.3. The actual car washing will do over there. The second one is the worksite.wash which has wetting chemicals to wet dirt on car surface. There could stand maximum 7 cars at a time in the parking area including a car which might be in the washing system. The third pass is high-pressure rinse. After that the machine will wash the car with necessary washing solutions and detergents. The cars will enter into the machine. off the car surface. The land will buy by the company name. That is Auto Shine Express itself will be the owner of that land. In the first one the official work will do.2 Description of premises and facilities: The premise will be owned by the Auto Shine Express car washing company.1 Automatic high-pressure car wash: The Auto Shine Express car washing co has a fully automatic system.
6. 6. The land is well secured by a boundary wall surrounding the project area.6. Finally the car will be dried by hot air and the car will come out.
e. the jets face the bonnet and the wind shield for better cleaning action and so on.
6. i. Soap spraying assists the high-pressure washing and enhances the cleaning value. bird drippings etc. safe 300 mm distance away from the car surface.This is special spray arch. equipped with low discharge. salt deposits.3 Soap system: Soap system sprays soap and chemical formulation over the car surface. at beginning.4 Contour Following Nozzles: The horizontal bank of nozzles follows the contour of the car. The water jets always adjust their angle according to the vehicle. The horizontal bank always maintains.
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. whichever it is. The pre wash arch sprays water initially over the vehicle to soak the hard mud stains. wide coverage nozzles.
in addition. Special plunger pump. after the washing cycle. wax is sprayed on the vehicle surface to give them a shiny finish.
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. Although wax formulation gives instant shine and protection. it softens the hard rubber wipers and beading of the car.6 Wax systems: After the high pressure rinsing is over. 6. which enhances the pressure to knock off dirt from wheel and rocker panel areas. Secondly it is water repellant and hence avoids staining of glasses due to droplet formulation. The foam created on the vehicle surface gives a sense of satisfaction to the customer.5 Wheel and rocker panel wash system: Special high-pressure nozzles located at wheel level remove darts from hard to clean areas near the wheels.4 Raw materials and supplies: As raw material.
6. Triple foam wax system: Triple foam wax commonly known as tri wax.silicon wax system and triple foam wax system. The silicon wax is sprayed all over the car using special atomizing nozzles. for which he is paying for. Anyone can be provided as needed. There are two types of wax systems. A high-pressure pass washes off the foam created on the vehicle surface. These two systems are described in the next page: Silicon wax system: silicon wax is sprayed on the car surface. which contains three-colored wax. We would like to have a regular supplier of our needed materials. we would mainly need the detergent and other washing solutions. which is sprayed on the vehicle.6. The triple foam wax is sprayed by special foam generating nozzles.
7. So a very little number of employees are needed to run the business. The organizational structure is given below: Managing Director Ruzina Akhter
Operational Manager Fahima Akhter
Marketing Manager Sohana Tanzim
Finance Manager Ayesha Siddika
Machine Operator Auto Shine Express is a Legal Partnership type of Business.Divided authority
7. The features of the company’s ownership are the following: • • • • • • • Industry would be created with the article of partnership The talent of the partners helps the business to grow The business and contracts of the partners have flexibility More capital in the industry Helps to develop cooperation and natural trust There will be unlimited liability on each partner Danger of disagreement is there -.1 Ownership The Auto Shine Express car washing co would be structure with the articles of partnership.2 Organizational Structure The specialty of the Auto Shine Express car washing co. All the directors would have equal shares. Accounts
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Manager. is it is fully automated.7. There are four Partners who equally own this business.
He will be responsible for the Repair & Maintenance of the Machinery & all other Assets. No Partner can start the same business for three years.000 into the Business. 10. All the Members are Principal and Agents of each other. Operational Manager (Fahima Akhter) He is a skillful Person and will check the operation of the car wash. He is master of numbers. He knows much about cars and other Machinery and also knows how to look after these. No member can withdraw or Transfer his/her share without the consent of other Members. He is good in Management and handling of all business operations. all the members have chosen him as the MD of the firm. 00.
In addition there will be permanent two cleaner and two watchmen and also some temporary worker who will work on daily basis.
Managing Director (Ruzina Akhter): Due to his good leadership skills and academic abilities. According to the Partnership deed all the members have unlimited liabilities.
Each Partner contributes Tk. 7.3 Management Team
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. Finance Manager (Ayesha Siddika) He is a finance expert and will be handling the finance section of the firm. He always has shown good result in his Academic career.
Marketing Manager (Sohana Tanzim) He has good Communication skills and hence he’ll be the Marketing Manager of the firm so we believe that he will be sincere enough to deal with Customer and Position the firm in consumers mind in a good way.
It will be adjusted with the base salary. as companies find they must depend on increasingly transient executives. participation in non-qualified retirement plans. marketing activities. which will include employee hiring.4 Benefits and Fringes:
Our agreement will little more than state the amount of annual vacation.3. trust and long-term commitment.3. and line of report.2 Title and Responsibilities:
The agreement of our company will indicate the employee’s title. all parties are asking for protection in the business
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. defense and indemnification coverage. 7. more detail is required. 7. Each one of the owners has their own functions in the operations of the business. as well as participation in its retirement benefits.3. property and equipment maintenance. disability. Ruzina Akhter will be the Managing Director of the company. advertising and other promotion activities. and assure provision of health. responsibilities. building. particularly for the senior executive.
7. life insurance coverage in an employer-sponsored program.3. Now. key personnel could be hired with a handshake. The managers have divided the duties to maintain the business.” Understandings regarding Board of Director participation should also be spelled out. However. Executive benefits may include enhanced life and disability insurance coverage. the unwritten compact between employer and employee included mutual expectations of loyalty. the agreement should say how this would be implemented.The four founders of the Auto Shine Express car washing Company will be the main authority of the company. 7.3. managers and technical employees. and what the outer limits are: “or such other work suitable for a senior executive as the board of directors may request. All of them are the member of board of directors and Ms. change of control protection and so forth.5 Employee Agreement: Not long ago.1 Executive Team There are three partners who control the overall operation of the business.
7. If the employee is eligible for one or more bonuses then we will provide that with the salary.3 Compensation and Incentives:
We will accurately state the initial compensation package. If these could change.
Emphasis is given on creating a system that is both fast and efficient. Set forth below are three types of terms employment agreements might include: Those setting forth the expectations of the parties regarding the employment. in terms of time spent per car. Therefore one to one marketing can be implemented in business level. This also gives rise to word of mouth marketing in immediate environment. While good feelings prevail is much easier than sorting out vagueness during a difficult exit. Additional thinking. and writing. The three partners have a good business as well as personal connections. and those dealing with terminations. job duties and compensation. Employment agreements take many forms – from “sign and return” offer letters to fully comprehensive contracts. In sales care is given to each vehicle to value the customer as a friend of Auto shine. Like. They are the only shareholder and beneficiary of the company. 7. with and without cause. Some workers will be hired on daily basis when the company will need. No full time legal advisor will be appointed. Continuous sales forecast is done on targeting the segments who want to keep their car clean and looking good year round. All employees have an agreement with the company about their service. e. those intended to protect the company’s interests. Clarification of open or uncertain issues is in the early stages. is often required to produce a satisfactory definitive agreement.. to a minimum.5 IMPLEMENTATION The entire aforesaid marketing plan has to be implemented in a very organized way. Note that the offer letter is often only a shorthand statement of the terms. No share will offer to the share market as it will be a private limited company. Getting It Right at the Outset An employment agreement should reflect accurately the understandings of the parties upon which the employment relationship is based.4 Legal Structure: The Auto Shine Express car washing company will establish under the company law (1994) which will fully owned by the four members of the board of directors. in the beginning a legal firm will be hired to complete the formalities to establish the company.g. Key areas to consider include:
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. What these agreements should accomplish – to one extent or another – is to allow the parties to begin and end the employment with a clear understanding of their rights and responsibilities. The quality of service will create loyal and repeated customer. All employees are hired on a permanent basis.equivalent of the “prenuptial” – the employment agreement. They will hire when it is necessary. which will keep costs.
since there is a large market to capture a lot of competition may arise in the market. The future of the business mainly depends on evaluation and control.
Startup Cost A startup cost pro-forma tells about the foremost main costs that are incurred in starting the venture. Customer feedback and other major self and competitive activities.Implementation plan: Completion of business plan Fulfilling legal and deposit formalities Set up infrastructure Hire car wash staffs Hire administration staff Open business Promotional works Follow up
7. There must be evaluation and control system for all major functions of business like: Revenue and unit sales. The market is ever changing. A continuous evaluation of competitors must be conducted. the main costs that our business will require are as follows. It tells us about how to use the funds and how to allocate them systematically. As technologies develop day by day the business must be updated accordingly. It also tells that how to attract the investors and lenders to generate funds.
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. Expenses.6 Evaluation and Control Continuous evaluation is necessary for sustaining and developing the business. Financial Plan
The financial plan is the most important plan in the whole business plan. So.
000 25.000 5.000 1.400 7. 4.000 400.000 700.000 60.000 604.000 45.000.600 120.000 5.000
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.000 35.Description Machinery Installation Charges Office Supplies Operating Supplies Prepaid Insurance Advertising Land (Security) Furniture Computer Legal Fee (Registration) Offices Building Cash Required Total Cost
000 will be borrowed from bank with following rules: • • Total Maturity date is 8 years. The interest rate is 13%
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.000 out of this amount each partner will pay Tk. 7.000 (4. 2.000)
Debt Financing The Remaining Tk. 1050.200.800.8.1 Source of Capital
Equity Financing The Startup costs for the venture is Tk.000.
Variable Cost 207000 B. We calculated the amount of cars that we’ll be washing in order to break even as follows: We calculate the fixed cost which amounted to 207000.E (Q) = 135 1534 Units
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.2 Break-even Analysis
It’s a point where a firm or a venture neither incurs a loss nor a profit. so the bank has cushioned us that we’ll start to pay the debt after 3 years.E.E (Q) = B. Our average selling price per car wash is 300 (average sales price) and the variable cost per car is 165. By using the formula of B.
8. we got the number of cars (at break-even) as follows:
TFC B.E (Q) = Selling Price .As we’ll be making losses for the first few years of our operations.E (Q) = 300-165 207000 B.
e. If we multiply these units (cars) with our average selling price per car wash (i. Any one additional car wash will result in a profit. our venture will be in break-even point.
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.So. we should wash 1534 cars in a month. we’ll get sales volume at break-even that amounts 613. In other words we can define our break-even point as when this much (613200) worth of sales are done. in order to break even.300).200.
7395) 3.60 0 16.407 (89.000 96.000 52.640 16.128.800 593.993.7183) 18.420.004 45.600 9.800 671.667 3.000 157.00 0 150.587.6944 4.375.000 52.000 5.000 200.000 1.0169 1.000 52.000 1.044) -1.200 16.407) (0.000 150.267) May 42 504.800 722.000 624.483 0.004 5.000 156.000 75.267) (0.000 2.800 511.000 35.2949 29% 29.1076) (10.250 48.633
Dec 75 900.692.800 694.000 146.367 117.517 85.000 101.800 16.800.000 5.967 (15.81 7 11.000 52.593.000 168.000 100.004 45.000 1.717) (0.304.000 5.667 3.183 11.800 200.000 52.000 90. ** The Company will be paying General Sales Taxes according to Govt.000 52.7057) (70.783 0.800 648.417) (0.037 0.1012 48.000 123.49%
* The Machinery has an estimated Useful life of 20 years and the venture depreciates it by Straight Line Method.000 1.000 150.483
Nov 70 840.000 72.000 100.5723) (184.640 200.000 150.567 (184.044
Year 2 21600 14.1774) (17.717 (211.000 5.267 (100.000 5.000 67.417 (137.00 0 52.667 3.6612) 8.00 0 60.000 708.000 16.000 1.0185 85.000 650.000 60.000 1.000 150.804 7.567) (0.104.417) Apr 40 480.000 52.117) Jul 50 600.000 1.600 7.967)
Aug 55 660.000 5.250 86.0446 144.9594 4.667 3.000 1.0870 2.000 120.000 150.600 16.000 76.1609 16.633 0.000 90.800 755.000 700.000 2.000 150.000 84.667 3.8890) 11.117 (58.196 1.3556
Sep 60 720.000 52.000 150.000 60.500 134.800 1.024.247.8294 (89.500 96.000 50.000 94.0266) (2.2686) 19.75 0 105.667 3.000 144.0671 6.750 144.400 16.000 60.407) Jun 45 540.8.000 168.000 5.117) (0.0039 3.500 80.000 90.19%
Operating Expenses: Salaries Office Supplies Operating Supplies Rent Advertising Utilities Interest Depreciation Insurance Premium ┬ Total Expenses Gross Profit Less: Income Tax Net Profit Net Profit Margin NPM in % Average Increase (211.1096 10.000 112.800.004 45.250 124.500 57.667 3.311 5.000 90.000 708.764.717) Feb 30 360.9771 (15.000 78.667 3.571536962
4.7129 5.000 52.783 = = = = = = = = = = = = =
Year 1 17760 7.000 52.000 875.3037 (137.333
Oct 65 780.800.800 557.000 52.3272) (32.000 115.967) (0.000 5.2464 117.000 16.567) Mar 35 420.000 150.400 16. Rules and Regulation which is 16% *** The Company will pay No Tax until it is in Profit 25 | P a g e
.3 Income Statement This statement will tell us about the profit and losses that our venture will incur during its operations.000 5.000 5.800 615.000 132.800 544.1400 14.000 1.
Jan Sales Cars Per Day Sales Per Month 25 300.400.000 72.667 3.5127) (51.800.885 0.000 5.800 580.667 3.959
Year 3 24000 17.494.0831 = =
(390.200 16.2089) (20.000 150.000 150.000 180.800 598.680.620.667 3.000 35.183
0.667 3.3469 35% 5.000 40.217 144.333 0.280.5503 (100.000 56.000 16.750 67.000 5.1495 (58.000 120.136.996 1.667 48.620.044 -390.7624) 6.000 108.600 9.800 150.000 135.332.000 120.800 16.
400 0 52.000 1.400 3.332.538.850 329.000 150.800 0 0 0 0 0 0 705.000 5.600 3.600 (93.000 157.130 Aug 646.000 700.
Receipts: Sales Disbursements: Machinery Salaries Office Supplies Operating Supplies Rent Advertising Utilities GST Insurance Premium Installation Charge Land (Security) Furniture Computers Legal Fee Office Building Total Disbursements: Cash Flow Beginning Balance Ending Balance Jan 294.150 ) 458.500 134.200 3.500 241.000 150.60 0 6.780 155.000 100.000 4.00 0 1.000 1.600 3.640 3.950 Feb 352.000 150.620.000 5.000 101.000 120.800 0 0 0 0 0 0 576.400 0 52.650 90.250 ) 153.00 0 90.000 1.800 3.430 Jul 588.600 104.430 90.000 6.136.000 90.780 Sep 705.000 168.000 5.680 101.640 45. Every 2% of our sales will be comprised of receivables.000 144.741.930 359.550 143.960 Year 2 14.000 5.000 25.000 156.000 150.620.As in the breakeven analysis we determined that when we will serve 1534 cars and our sales will be tk.000 50.050 ) 7.850 86.000.000 112.800 0 0 0 0 0 0 527.00 0 1.000 3.40 0 7.000 700. 600 monthly so we will be at Breakeven and from income statement it is clear that our break-even will be in August.000 50.000 1.000 56.000 60.000 633.400 3.000 120.000.000 72. The statement of cash flow of our venture is as follows.800 0 0 0 0 0 0 738.800.000 67.040 ) 7.000 5.360 Year 3 17.000 150.60 0 0 0 0 0 0 0 9.700 236.000 45.000 5.000 5.800 0 0 0 0 0 0 563.700 Apr 470.250 48.600 0 0 0 0 0 0 8.000 150.740 (82. so we’ll not be recording them in this statement as mentioned that it only deals in cash inflow and outflows.750 144.800.800 1.300 ) 101.000.80 0 45.930 Nov 823.000 875.000 90.000 0 52.200 ) 329.680.600 0 52.000 150.900 (175.000 0 52.000 3.040 (6.00 0 1.500 96.800 0 0 0 0 0 0 581.000.000 5.530.400 644.600 400.000 146.304.500 57.430 502.764.430 Dec 882.000 4.000 84.000 94.380 241.800.000 3.000 1.000 72.00 0 650.000 5.175.250 124.000 52.000 150.550 155.000 35.000 13.000 1.104.869.800 0 0 0 0 0 0 677.800 0 52.000 120.000 150.000 35.175.000 60.000 5.000 108.800 400.000 40.500 153.820 ) 236.00 0 0 708.800 0 0 0 0 0 0 655.000 5.660.500 80.960 6.920 0 52.366.000 700.280.000 60.000 100.800 0 0 0 0 0 0 540.600 5.000 25.150 14.000 60.000 90.380 Oct 764.459.00 0 2.000 35.250 86.600 0 52.000 115.36 0 13.800 0 0 0 0 0 0 599.
8.450 (52.000 5.700 117.400.000 2.200 3.750 105.500 May 493.130 104.850 Mar 411.000 132. 613.800.680 Jun 529.000 168.450 359.000 76.950 458.000 75.916.000 150.000 644.000.000 624.000 96.96 0
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.000 150.000 135.420.000 1.000 1.000 5.000 123.750 (129.000 5.100 ) 633.200 0 52.750 67.000 78.300 (11.355.000 0 708.4 Cash Flow Statement
A statement of cash flow tells about the cash receipts and disbursements (cash inflows and outflows).000.800 0 0 0 0 0 0 632.000 180.200 0 52.000 35.880 = = = = = = = = = = = = = = = = = = Year 1 7.050 (6.800 0 52.800 150.800 3.
As our breakeven is in august so we will be having positive cash flows in August as well.
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