Sukkur Institute of Business Administration

Business Plan
Cartivo (Auto Car Wash Service)

Core Business Values

Team Members
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A group Business Plan submitted in partial fulfillment of the requirements for

the course MGT-432 Entrepreneurship
Submitted To: Mohsin Kazmi
November 29, 2015

Table of Contents
Executive Summary.........................................................................................4
General Company Description.........................................................................4
Mission Statement........................................................................................4
Goal and Plan................................................................................................4
Strategic Framework.....................................................................................4
Business Philosophy......................................................................................4
Company ownership.....................................................................................4
Company Location and Scope.......................................................................4
Product/Service Description.............................................................................4
Competitive Advantage(s)............................................................................4
The Opportunity...............................................................................................4
Market & Industry Analysis..............................................................................4
Global, National & Local Trends....................................................................4
PESTLE Analysis.........................................................................................4
Industry Analysis...........................................................................................4
Porters Five Force Model Analysis.............................................................4
Market Forecast............................................................................................5
Market Segmentation & Target Market.........................................................5
Key Success Factors......................................................................................5
Marketing Plan.................................................................................................5
Situation Analysis..........................................................................................5
Competitors Analysis....................................................................................5
SWOT Analysis..............................................................................................5
Market Research...........................................................................................5
Marketing Goals............................................................................................5
Marketing Strategy.......................................................................................5
4Ps............................................................................................................5
Marketing Campaign.....................................................................................5

Marketing Budget..........................................................................................5
Sales Forecast...............................................................................................5
Operational Plan..............................................................................................5
Management Plan............................................................................................5
Organizational Structure...............................................................................5
Management Team.......................................................................................5
Financial Plan...................................................................................................5
Start-Up Costs and Capitalization.................................................................5
Projected Income Statements.......................................................................6
Projected Cash Flow Statements...................................................................6
Pro-forma Balance Sheet..............................................................................6
Break Even Analysis......................................................................................6
Contingency Plan.............................................................................................6
Conclusion.......................................................................................................6
Appendixes......................................................................................................6
Appendix (A) Market Survey Results.......................................................6
Appendix (B) Marketing Material.............................................................6
Appendix (C) Pro-Forma Financial Statements........................................6

Executive Summary
The Executive Summary is the doorway to your business plan. The summary
should outline and emphasize your plans main points.

General Company Description

The Cartivo automated car wash service will provide customers a premium
car service. Our motive is to provide satisfaction to the customers in return
of the price we will charge. We will provide our customers the automated
service by using the innovative and latest technology and machinery so that
the life of the vehicles of our customers become longer and their vehicles
become secure from the damages. In order to provide this type of automated
car wash services, we are going to import the machinery. We will provide this
service by online booking but the core of our business will be based on face
to face transaction. Our main focus will be on middle class, upper-middle
class and elite class peoples of the city and we will also going to target the
business sector and companies who own the large number of vehicles and
are concern about their maintenance. We want to earn the reasonable profits
by delivering our customers the best possible service and want to obtain and
maintain the high market share. The Cartivo automated car wash service will
be successful as they are the first to use the technology and machinery in
this particular sector that will save the time of the customers and will
prevent the vehicles to be damaged. The Cartivo will charge relatively low
prices as compare to the local competitors.

Mission Statement
Mission of cartivo car wash is to provide completely satisfying and pleasing
car wash experience to each of our customer with automated technology.
Our purpose of existence is to develop a trust relationship with customers
defined by honesty integrity and fairness. Your time is precious and we care
about it. Your automobile is valued and we will not abuse it. Your satisfaction
is our prime goal and we mean to provide it.

Goal and Plan

1st Semi Annum:
In first semi annum we will create awareness and promote our service in
targeted customers through efficient marketing strategies.
In first semi annum averagely we will provide services to 30 customers per
day.

In first semi annum our firm will earn revenue of 2.7 million and expenses
will be 1.8 million and we will earn profit of almost .9 million.
2nd Semi Annum:
We will sign contracts with nine different firms who are operating in the
Sukkur areas and almost 500 vehicles we will wash of those firms.
Our customers will increase in second annum of the business and we will
provide services to 40 customers per day averagely.
In second annum we will earn revenue of 3.85 million and expenses will be
2.2 million and profit will be 1.65 million.
3rd semi annum:
Now we have crossed the break even and firms customer is increasing. Our
revenues will be 5 million and expenses will be 2.25 million and profit will be
2.6 million
4th semi Annum:
Our revenues will be 5.5 million in 4 th semi annum and expenses will be 2.35
millions so total profits will be 3.15 millions.

Strategic Framework
Business Philosophy
Company ownership
Company Location and Scope
Sukkur is the 14th largest city of Pakistan and 3rd largest city of Sindh and its
population is round about 1.2 million.
According to the 2010 estimations of Pakistan, at least 59.50% of the
population of Sukkur district was urban, making it the third-most advanced
district in Sindh. It means that 885000 are living in urban areas of Sukkur.
Our target market is middle class and upper middle class of the Sukkur city
because we are providing services to those persons who own vehicles like
employees, business persons and also local persons.
People who are living in urban areas we have estimated from the available
information and statistics that almost 23% of the urban people have their
own vehicles it means our size of the business is about 195000 vehicles only
which are present in Sukkur urban areas and also we have targeted firms like

Engro and LU Biscuits to provide them services in order to extract profits

from the untapped market.
People of Sukkur love their vehicles and they mostly try their level best to
maintain their cars outlook so it is great chance for us to extract profits from
the market and provide best services in order to maintain competitive
advantage and also in this way we will resist our competitors to come into
the market. Here in Sukkur market there are many hand wash service
stations but we are the first who are coming with the idea of automated
wash systems and people will love this because their vehicles and time will
be saved and they can get the services at the affordable prices
Location of our business will be on Sindh society airport road. Initially we will
start our business and the place we will hire on rent. We will pay rent for
1500 square feet garage where we will integrate our two auto car wash
systems.

Product/Service Description
The latest version of the value added automatic car wash CARTIVO will be
installed with a limited number of retail outlets to provide a unique
experience in terms of a highly automated car wash facility at SUKKUR with
an added dimension of flexibility, convenience and speed. We believe in
quality trust is more precious than anything else. We assure you to provide
qualitative services at reasonable prices. CARTIVO car wash is offering a high
tech car wash facility with various value added features and special
packages, an experience truly worthwhile. The main objectives of CARTIVO is
to enhance the customers expectations , set new benchmarks and of course
above all, to make ones experience even more rewarding, initial feedback
will be encouraging.

Competitive Advantage(s)
The Opportunity

Market & Industry Analysis

Global Environment or Demographic trends:

Good car maintenance is important to keep your vehicle looking and running
like new. Besides basic maintenance such as replacing tires or checking tire
pressure, oil changes, and fluid checks, regular car washes can maintain the
look of your vehicle. In the real world however, where busy schedules and
daily commuters are a commonplace, a mix of both methods may be the
best approach. Hand washes along with the corresponding additional steps
such as claying, polishing and waxing should be done whenever time allows,
for best results. Automatic washing and quick detailing should be done after
particularly dusty days or any time weather is particularly severe, in order to
help slow the accumulation of dirt and grime. By combining both options as
time allows, you can essentially have the best of both worlds and a cleaner,
better looking car as a result. Automatic car washes are more popular than
ever because they save time and hassle.
Unlike the bristle brush systems of the past, todays car wash facilities are
equipped with an array of modern soft cloths and sprays to protect your
vehicles finish.
Globally people are using auto wash services because hand wash systems
consume lot of time and these systems contaminate water and pollution
directly into the environment.
Local environment and demographic trends:
As we have selected Sukkur and its premises to service. People of this area
used to go to the local service stations and they wait more than one hour at
least for servicing. In interior Sindh there is no automated service station so
people of Sukkur depend upon this hand wash service stations in order to
maintain their vehicles. People of Sukkur who are car owner have really
appreciated the idea of auto wash service station because it will save their
time and also provide them greater utility as compared to hand wash
system.
Local Competition, Strength and Weakness:
Competitors of our business do exist in remote areas to Sukkur but they are
not technology based and our services will be totally technology based
Which is itself a kind of strength for our business, but if we find any
competitor then still we will be able to sustain our competitive advantage
because of some strengths of our business:
We are first mover in Sukkur city and using technology along with
technological knowledge.

We will produce at high level with low cost within minutes.

Our Services will be available 24/7
In the local competition, we may face the threat of new entrance in the
market as well as the threat of substitutes. As the number of competitors
and substitute products increase, we will have to face the greater power of
bargaining power of customers, but it will not effect on our profits because
we will operate in different regions and cities of country.

Market positioning:

Positioning is a marketing strategy that aims to make a brand occupy a

distinct position, relative to competing brands, in the mind of the customer.
It depends upon three factors. First we select our target customers. We are
going to serve in the area of Sukkur and here is bulk of the population who
really dont like the hand wash systems so first of all it will be necessary for
us to make them aware about our presence in the market. Our target market
customers will be upper middle class and elite class. Then we will closely
observe our key competitors, as there is no player exist in this market who is
providing automatic wash system facilities but there are many good hand
wash service stations and they have quite good image in front of people so it
is necessary for us to use effective promotion strategies to promote
automatic wash systems in order to gain competitive advantage.

PESTLE Analysis
Businesses Sectors are growing in Sukkur city now a days which helps
Sukkur to move towards development. Trends and living standards are

changing so; this is an opportunity for us to help our customers to maintain

their life styles by initiating a business which will offer them the products of
their need. For installing/starting our business in Sukkur we need
Government's support which is important for any business to start. This may
help us to operate our business without any complexity under the regulations
and laws of the Government. In Sukkur, to register a Small Middle Enterprises
is very easy because of no complex documentation process. It hardly takes
few weeks to be registered. Banks will help us to finance our business at
reasonable interest rate. We will satisfy customers need by offering their
demanded products. As we know that the disposable income of Sukkur
citizens is increasing day by day, this is enhancing their living standards. As
people of Sukkur live in joint as well as nuclear family system & latters ratio
is increasing because both partners are working same like that of big cities,
which increases their purchasing power. People's preferences and demands
are also changing day by day, so they want to spend more today on their
needs and demands than saving for their future. Sukkur citizens want such
facilities which save their time & energy because most of people belong to
business sector. By keeping this view of consumer's increasing income and
their spending along with their demands, our business will try to provide
them such a facility which will save their time with efficient & quality
services with high level for satisfaction. This implies that we need to use
technology that satisfies customers at lower cost (economies of scale) and so
that customers can get their services within short time. Technology saves
time as well as helps to work efficiently and effectively. Sukkur environment
is being polluted by the firms which do not use technology in their
businesses but our company will use such technology which will make the
environment clean and safe.

Industry Analysis
Porters Five Force Model Analysis
As our business is new in the Sukkur region no one has yet initiated this
business. We are the first mover in automated car wash service therefore the
rivalry impact will be less so, there will be monopolistic nature of our
business but competition will be with the non-automated car wash business
holders. That will not have much impact on our company due to automated
nature of our business. Our business is rare having complexities for others to
be imitated and have huge level of satisfaction for the customers.
The other impact on our business could be of threat to the new entrants. The
future of automated car wash system seems very profitable. And every high
profit generating company attracts many investors. And they rush towards

that business to enjoy high profit margins. And as our business is new in the
market and have high potential to earn great profits, new entrants can be a
big threat for the company. Competitions nature will be changed from
monopoly to oligopoly and it can be converted in to pure competition. In this
condition our price setting power will be reduced, and profit margins can be
low. For overcoming this threat many measures can be taken like we are the
first mover in this region and we can have expertise in this field as compared
to new entrants owing to that expertise we will follow cost cutting strategies,
and through this way our company will again enjoy high profits.
The third influencing factor is threat of substitute; our biggest substitute is
non automated car wash system. But with the new technologies, time and
money saving strategies for customers many customers will be attractive
towards our services.
The fourth factor is of bargaining power of customers, the business is new
and unique having monopolistic nature. The bargaining power of customers
will be very less. They will not bargain on price due to finding no any other
competitor in the market. It will be beneficial for our company. It will lead us
to set our prices. In this way we will be the price setter. And buy using
skimming pricing method we will grab high profit margins initially with high
prices.
The fifth factor that has a great influence any business especially those
businesses which are running in pure competition. The factor is bargaining
power of suppliers .
The bargaining power of supplier is when supplier demands more prices for
the material they supply. Suppliers bargaining power increases when they
see company is earning high profits by charging high prices or when there is
huge demand of the raw material which any supplier provides. In these both
cases bargaining power of supplier increases and they start demanding high
prices for the raw material, our business is new and there is no competitor
therefore the bargaining power of supplier will be very less. But it will impact
when the market nature will be changed from monopoly to competitive
market so they will find many other businesses demanding raw material and
they ultimately will start bargaining on prices of the raw material.

Market Forecast
Population of Sukkur city is almost 1.2 million and 59% people of city are
living in the urban areas and more than 50% people are belonging to middle
class and upper middle class. According to our research and statistics, 70 to

80 thousands are car owners in the city. Most of the household car owners
they use to avoid to go on service stations and they just manage and
maintain their vehicles at home and on routine basis their driver maintain
their car so our target will be 50% of the total car owners which will be
almost 35 thousands. And from them we think that almost 10 thousands
customers are those who will stick with the hand wash system so our target
market will be 25 thousand car owners and also the firms which are
operating in the Sukkur areas. It is estimated from our team that almost 500
cars we will wash cars of different firms in one month.
Sukkur population
Approx. 1.2 M

Middle Class
55%= 0.56 M

Car owners at sukkur

70 to 80 (thousand)

Self service & hand wash

75%= 52000

Our target market

25%= 18000

Market Segmentation & Target Market

Key Success Factors

Marketing Plan

Situation Analysis
Competitors Analysis
Competitors analysis is all about market intelligence because it will directly
or indirectly make our business successful or failure. This helps us to
understand that how competitors are surviving in the market and how they
are capturing the targeted market and through which ways they are grabbing
market share, and above all how we are creating competitive edge without
compromising on our profits and loss of targeted market. Its all about our
strategies to survive in market by maintaining our image in customers eyes.
So after having a detailed competitor analysis we have concluded that we
have to strengthen our strategies against our competitors, thus we are going
for cost leadership strategy and process innovation by providing automated
car wash services to the customers
There are three types of competitors.
Direct competitors:
As there are already many hand wash car services in market and they are
also doing well up to some extent and customers also prefer them so, hand
wash systems are our direct competitors and at initial stages of our business
it will be hard for us to capture the market in which competitors are already
providing their services. They are providing hand wash services with low
technology and manual work at relatively higher price and there are no
promotional activities from their behalf so there is gape for us to grab
opportunity by providing automated car wash services and people prefer
them because they dont have better option than hand wash.
Indirect competitors:
Our indirect competitors are the home car washes.
Potential competitors:
Our potential competitors can be hand car wash system because they are
already present in the market they know the customers needs and problems
so they can import machinery and can directly compete with us.
Other potential competitors can be large show rooms and filling stations who
are already present in the market and dont have any financial problem they
can copy our idea and import machinery to operate in this area so they can
give us tough time. For us competition is very high in the market and many
potential customers are already there.

SWOT Analysis
SWOT analysis is powerful tool that can help decision makers achieve their
goals and objectives. It allowed us to bring transparency to various factors
that can affect the achievement of their business goals and objectives.

Weaknesse
s
Limited flexibility in
pricing
High dependency on
electricity
New in market

Innovative idea
Latest machinery
Online Booking
low pricing strategy
Attractive packges

Strengths

SWOT

Urbanization
Flexible work hours for
customers
large target market

Lack of awarness among

customers
Big showrooms and
filling stations
Perceptionn of
customers

Opportuniti
es

Threats
Strengths:
Innovative idea: The Cartivo is entering in the market with an innovative
idea that has never done before in the city.

Latest Machinery: The Cartivo is going to use latest technology and

machinery for car service. This will be the businesss strength because this
will save a lot of customers time and prevent their cars from damages.
Online Booking: There will be highly visible website for online booking to
facilitate our customers as they can be able to reserve their slots to get their
vehicles serviced in advance. There will be also lists of prices and packages
for our regular customers and firms along with feedback page for customers
responses to further update our service station according to our customers.
Low Price: The Cartivo is going to charge very low prices from the
customers in exchange of their premium services as compare to their
competitors (hand wash services).
Attractive Packages: The Cartivo is planning to give the some of the
packages to their regular customers and will give a special discount to
customers who are coming to us for services on the weekly and monthly
basis.
Weaknesses:
Limited flexibility in prices: There is huge competition in this business
due to availability of local competitors so there is limited flexibility in prices
we cant charge high prices from customers because they will switch towards
competitors. We have to wait till our customers become aware about our
business till that we have to bear loses up to some extent because our start
up cost is high and profits will be low at initial stages of our business.
High dependency on energy: A our business is highly dependent on
electricity so in case of shortage of power supply create disturbance for our
business in terms of customers dissatisfaction and loss in revenues.
New in Market: As we are new in market with automated service station so
there are reasonable chances of failure for our business due to following
factors:

Shortage of Power supply

Low prices due to high competition

Opportunities:
Urbanization: As world is moving towards more technological era and
human life has become so damn busy that almost every member of family is
on the job so people dont have time for their social life and not even to
service their vehicles so it is great opportunity for us to target such

customers who dont have time. So we are going to facilitate them by

providing automated car wash service stations.
Flexible working hours for customers: Our services will be available 24/7
with minimum time span so, our customers can visit us in their flexible work
hours.
Large target market (Domestic and commercial): We are going to serve
the individuals who dont have drivers for their vehicles and commercial or
business sectors because firms dont engage their employees for car
washing they are responsible for production so there is gape for us to
operate and serve them. Through this way we can move for other franchises
in future which is also opportunity for our business to expand and serve in
other cities as well depends on demand for our services. We can expand to
wash more than just cars e.g. trucks, large vehicles and plant equipments. In
our business there is ability to decrease the fixed costs as a percentage of
individual sales as volume increase.
As our customers will increases per unit cost will decrease which will help us
to decrease our prices in future in case of any competition and will be able to
give tough time to our competitors.
Threats:
Lack of awareness: The Cartivo is coming with the latest technology and
machinery and there is lack of awareness and knowledge among customers
and only few customers are aware about it. Most of the people are thinking
that it as harmful and dangerous for their vehicles to service with the
automated machinery. According to our perception it can be our main weak
point if we became unsuccessful to gain customers trust and confidence
regarding our business.
Big showrooms & filling stations: Big car dealers like showrooms, filling
stations can enter in this business because they have good contacts with
customers and suppliers of technology so they will be possible threat for our
business because they also have capability to import technology and can
capture our market share.
Perception of customers: Perception of customers that there is no quality
difference in hand and auto machine wash.
For most of customers there is no quality difference in hand machine wash
system and this is also threat for us because it is not easy to change their
perception. So for that we need to launch such campaign and promotional

activities that hit their mind and perception and for that need much finance
which may affect our revenues. We may need to increase costs of staff
training for quality customer services and friendly interpersonal skills.

Market Research
We had conducted research from sample of 40 people and following are their
responses:
80% of the people we conducted research lies between the ages of 18-40.
Among them 95% were male because interior Sindh in mostly male dominant
society and females are not allowed to derive and it is also not safe for
women to derive here due cultural and safety issues. From 95% almost 70%
people dont have drivers for their vehicles/cars. From that 70% people round
about 50% people are aware about automated technology. More than 30%
people are willing to go for automated car wash services and among them
almost 18% of people are willing to prices more than 500.

Marketing Goals
First marketing objective is to attract at least 5400 potential customers and
ventures per annum.
Contracts with nine different firms who are operating in Sukkur and almost
500 vehicles will get service from our service station.
Achieve 70% of service awareness among the people of Sukkur in initial first
year.
Build a trust with high quality relationship with clients by empowering
employees.
Bring 20% of internet user of Sukkur on our website and social sites.
Capture brand awareness.

Marketing Objective:
As the basic and core objective of our business is to provide qualitative
services at minimum time. We deal with problem of time consumption and
putting you in queue for long hours during car wash. We are inaugurate this
business for middle, upper middle class and for business sector as well
because according to survey they have shown their concern towards such
services and have decided to pay for it keeping in view the affordability
(survey results are in appendix).

Marketing Strategy
Marketing strategy is very important for our business. We can develop better
marketing strategy if we exactly come to know how much our target market
is. We will make our marketing strategy on the basis of pricing strategy,
promotion strategy, and company location. We intend to make our marketing
department our strength and gain competitive edge on this too.
Pricing Strategy:
By focusing on cost leadership strategy, Cartivo will reduce its cost at the
minimum level so that they can charge relatively low prices as compare to
their competitors. We will charge Rs. 400 for per car service. We are also
focusing on to provide certain packages to our regular customers and those
packages will be on the basis of car service on weekly and monthly basis. We
will have a separate price structure for the companies who will be in contract
with us.
Our Competitors prices:
Type of unit
Car
Prado & land cruiser
Van

Per unit charges

PKR: 500
PKR: 500/ 550
PKR: 600

Our Prices:
Type of unit
Car
Prado & land cruiser
Van

Per unit charges

PKR: 400
PKR: 400
PKR: 400/450

Place/Location of Service Station:

CARTIVO has decided to be established at the best location at Sindh society
Air port road Sukkur this location has many advantages. We can provide our
services easily because the area is too wide and infrastructure and road map
of this area is good as compare to other areas. It also creates our image
because the area is famous for the offices. It can be very convenient to the
customers.

Promotion Strategy:
Our promotional activity aims to bring most of customers at our service
station who are deprived of quality services.
Advertising and Media Selection:
We have come up with the advertising plan which is focusing on local
people first. It is not a massive advertising plan because the type of
S e r v i c e we are dealing in is self-explanatory; it will attract customers
once the word has been spread. And for spreading the word we would
indulge in following advertising media.
Electronic (TV Channels, Local Cable & Radio): TVCs appeal all the senses via
creative audio video content; we will develop TVCs and run those programs.
Local Cable having a wide spread across different geographies will also be
utilized to run the TVCs. Radio spots will be developed to run on regional as
well as local radio channels (HUM FM, City FM, Radio FM)
Print Media (Newspaper and Magazines): Print ads include media such as
weekend magazines daily newspaper, Billboards, insert-ins in newspapers
and pamphlets.

Online (Social Networking Sites): It is inexpensive and it has large impact on

the lives of people. According to survey and researches, people have started
to focus more on internet and social media than sitting in front of televisions.
The exposition of TVCs has drastically decreased in recent past few years

due to growth of social networking. People are inclined more towards

internet, thus it is an effective medium to deliver the message across the
audience.
We have developed our own website to promote our business, for online
booking (where customers can easily contact us from their homes), can get
updates and also can suggest us for future services through their feedback.
This is our website link:
http://cartivowash.webs.com/

We also have developed face book page for our business to target the
customers who are on face book as well and it will help us to change the
perception of targeted audience about the automated services at minimum
time period because according to our survey most of our customers were
doubting services within 10 to 12 minutes so for their satisfaction we have
uploaded videos to change their perception and for further information about
automated services.
Direct Marketing:
This medium gives life to any business. We will indulge in direct
communication with
different businesses operating in Sukkur
and nearby areas banks most regular customers.
Sales Promotion:

We have positioned our service as a symbol of quality and prestige,

therefore we would not indulge in price and discount offers for the first few
year of operations. For later stages there may be fluctuation in pricing
strategy depends upon situation and competition.
We will promote our services in universities where different students and
other employees of different regions are there. It is because educated person
can better understand the advantages and quality difference of such type of
Services, and then s/he can tell his/her parents to avail such facilities.
We will also do advertise our business by fliers and catalogues. We will keep
the contact number of every customer so that we can ask them about the
performance of our services time to time. This will help in critical feedback
and for the retention of our target customer.

Public Relations:
Press Releases:
Mutual relationship with the press media plays a vital role in creating
positive word of mouth. We will develop and sustain our relationships with
the press by inviting them to be our guests while we will inaugurate our
services.
Corporate Social Responsibility (CSR):
As a socially responsible firm we will support the society by introducing
services which are favorable to environment. We will try to reduce wastage
of water as it is scarce resource because it is thorough pipeline system not
drilled through land especially in Sukkur and we will try to create jobs for
people of Sukkur.
Physical Evidence:
Physical evidence for our Service will be machinery which we are going to
import from Australia and outlook of service station. Prototype of our
services will be displayed outside of service station.
Process:
A touch less car wash is one of the new advancement in the car wash
industry. The Older machines with large brushes and hand wash systems
have known to cause damage to the paint of your car; here is its whole
process:
The touch less car wash equipment first must wet your car since you cant
apply soap on a dry, dirty vehicle. The system will move around the car with
low pressure nozzles. Special car wash soap is then applied to the car. The
system passes by all parts of the car, and sprays the soap all over. It can
soak in while it is finishing the soaping of other parts of the car. The nozzles
then turn into high pressure power washers, which will clean the soap off the
car. This will get everything off the car, and could even be repeated in longer
wash cycles. After this is done, the touch less car wash can then put wax on,
clean the tires with special cleaners, or other options. It is then time to dry
your car, which is done with high pressure air blowers. These are great
because they will not create water spots that can occur when drying. These
systems are very accurate, and have sped up car washes, being able to do
many more per hour than when done with human help.

Marketing Campaign
Marketing Budget
Marketing Budget:

Budget Allocation
Advertising (Electronic, Print, Brand activation, outdoor, online)
Sales Promotion
Public Relation

5%
20%

75%

Marketing Channel

Advertising:
Electronic
Print
Brand Activation
Outdoor
Online

Total %
Budget

30
20
10
10
5

Sales Promotion:
Sales Force Incentive Plan

10

Retailer Incentive Plan

10

Public Relations:
Corporate social responsibility
Press Release

2.5
2.5

of

Sales Forecast

Operational Plan
Value Proposition:
This plan helps us to determine what sort of operational activities (Primary
activities) will be performed by our business. These tasks help to build image
in the eyes of customers.Cartivo is unique in terms to provide such fast and
efficient services to our customers who have short span of time as compared
to our existing competitors.
Value chain model:
Inbound Activities:This part include purchasing of imported machinery and
the service plant from Australia, purchase of inventory to perform our
functions of washing cars so we need detergents, small machinery,
lubricants etc and to communicate with our key suppliers to provide services
efficiently and effectively to satisfy customers.
Operations: Operations include whole process of car cleaning, managing
inventory, records of online orders and time management of customers turn
and other related tasks.
Outbound Activities:
We will provide faster services to our customers at our service station along
with additional services such as Mobil oil changes, polishing, waxing etc with
online registration as well as manually.
Online ordering is option for those people who have very busy schedules and
dont have time for their car wash they can register their vehicle number and
timing of arrival to get services. While for regular customers and firms there
are certain packages and advantages to encourage them and to maintain
good relations with them.
Supporting Activities: Supporting activities help us to create competitive
advantage against competitors to build an image of our business which is:

Imported technology:
Our automated car wash machinery will make our services faster and
efficient and will save labours efforts. We will call technicians from foreign in
order to maintain and repair of our machinery. We will always try to make
sure that our plant is in working condition so that we can avoid any
interruption in future.
Human Resource Management:
Because we are at initial stage of our business we are going to hire 2
workers, 1 computer and 1 guard. We will recruit the employee through
referrals and we will hire the more efficient employees for our business. We
will provide them trainings if they require and will motivate them to increase
the efficiency.

Procurement:
We will purchase the raw material from local markets in bulk quantities which
will cost us relatively low, there will be no fixed suppliers of raw material for
our business.
Infrastructure:
Our infrastructure would be quite convenient for the customer. The cartivo is
going to open its service station on the airport road Sukkur because more
vehicles are available in this area. We will implant two machines on our
service station and for that reason we require two rooms and in order to
make our customers prevent from disturbance and irritation, we will have a
waiting room.
Setup Resources:
We need to register our business and this is not much complex process to
registered, so for registration we have estimated the cost of 120,000 rupees,
as our business is legal having less safety issues and will not affect on the
health of general public. For electricity setup we have estimated the cost of
100,000 plus backup plan for generators while considering the issues of load
shedding at Sukkur and will make sure that the safety for our employees
should not be compromised at any point.
Personnel:
Guards:

We will need two guards for the shop one for morning duties another for
evening because of the security issue. We will not take any risk will provide
maximum safety to the business as much as can be possible.
Electrician:
We will hire an electrician who will deal with the small shortcomings of the
machinery, circuits and problem with start up of the machinery. He will be
our full time employee.
Caretaker:
We will hire a caretaker for the shop who will turn the equipments on and off
and will keep the shop neat and clean. And he will also turn the generator on
when electricity is not available.

key
SUPPLIER

PARTNER
There will be four
key partners of the
business with equal
partnership share.
That will be 25% for
each partner.

The key supplier

of the company
will be from
Australia. we will
import machinery
from there. And
secondly for other
raw material like;

Lubricants
Paints
Detergents
polish
and wax

We will talk to
retailers and they
will be our key
suppliers of our
that raw material.

ACTIVITIES:
Our key activities will
be

Providing best
Cleaning
service
Toning cars
Managing
token
Taking care of
sequence of
tokens
Check and
balance of foot
count
(turnover),
revenue and
profit.
Ordering raw
material timely.

Business transaction process

On the first day of our business the company will be in its transition phase
where the customers will get aware of the new service in the region.
The transaction will start from:

Customer
willing to
get car
wash
service

Customer has two

options to avail
services
1) Online
booking
2) Getting
token by
hand

Getting
number
and time
from
chosen
options

Collecting
fees and
recording
revenue in
financial
statements.

Getting car
washed in 10
minutes. Paying
fees and giving
feedback by
buying
behaviour

Management Plan
Organizational Structure
Managing
director

Operation
al
manager

Accounts
officer

Marketing
manager

Management Team
Managing director:
The managing director of Cartivo will be zeeshan Ali. He is doing his BBA
from IBA and possesses great leadership skills; he manages things in a very

fabulous way. He is one of the partners of cartivo having 25% share in the
business. He is the potential officer of the business he will look into every
operational and strategic task of the business. Will take strategic decisions
along with other three partners and with consent of all partners will make
major decisions.
Operational manager :
the operational manager of Cartivo is Shama parveen baloch, she is doing
BBA in HRM from IBA. She posses brilliant skills of managing operations and
dealing with the people. She is suitable for the job owing to her great grip
over managing resources and people. She is also the partner of Cartivo
having 25% of the share in the business.
Accounts officer:
The accounts officer of Cartivo is Bakhtawar Shaikh she is doing BBA in
finance from IBA. She is very good in managing accounts and making
financial reports of the business. She is also the partner of Cartivo having
25% of the share in the business.
Marketing manager:
the marketing manager of the cartivo is Mohammad Saifullah. Having 25% of
the share in the business and having extraordinary marketing skills. He is
good at promoting business and creating potential customers of the
business. His nature and traits are perfectly suitable for the job owing to his
skills we have selected him as the marketing manager of the business.
Executive board:
The executive board of the cartivo will be consisited of the four partners
mentioned earlier. They all will take major decisions of the business. They
will deal with the all type of requirements of the business, the operational
tasks, and strategic decisions. They all are the backbone of the business. and
are responsible for long term and short term decisions.

Financial Plan
Start-Up Costs and Capitalization
Cost
Machinary
Car Wash

21000

25600

Machine
Accesorries
Furniture and
Fixture
Generator
Cash and Cash
Equivalent
Cash in Hand

00
80000
80000

00

30000
0
30000
0
14000
0
30000
00

Projected Income Statements

Year-01

Year2

Year3

Revenue
Cost Of Goods Sold
Total Cost

3740000

4114000

4731100

1124101.56

1236511.716

1421988.473

Gross Profit

2625912.28

2877488

3309112

360000
369996
312000

360000
369996
312000

360000
369996
312000

70668
12000
1200000

70668
12000
1200000

70668
12000
1200000

24000

24000

24000

2348664
277248

2348664
528824.28

2348664
960447.53

260000

260000

260000

General
Admionistration
Expense
Rent
Promotional Expense
Sallaries Expense
Depriciation
Miscallenious Expense
Electricity, Telephone,
Fuel
Machine Maitainance

Total
EBIT
Interest Expense on
Long-Term Loan

EBT
Tax
Gain and Loss on
Equipment
Net Income

17248
8317.4484
-8916

268824.284
15864.72852
24000

700447.5266
28813.4258
48000

15

228959.56

623634.1

Projected Cash Flow Statements

Year 1

sales

37400
00

Year 2

4114000 47311
00

General
Admionistration
Expense
Rent

360000

360000

Promotional Expense

369996

369996

Sallaries Expense

312000

312000

Miscallenious Expense
Electricity, Telephone,
Fuel
interest expense

12000
120000
0
260000

12000
1200000

interest expense

260000

260000

tax expense
total expense

8317
225399
6

15865
2253996

nat cash flow from

operations
investing activites:
cash paid for:
purchase of property
and equipment

14860
04

248933
3

Year
3

260000

36000
0
36999
6
31200
0
12000
12000
00
26000
0
26000
0
28813
22539
96

1860004 24771
04

-2489333

24893
33

net cash from

investing activities

24893
33

FINANCING ACTIVITIES:
cash receipt from:
equity

loan

cash paid for:

net cash from
financing activities
Total cash obtained
from all activities
net decrease/increase
in cash
begning cash
net cash at Dec 31

-2489333

24893
33

200000
0

40000
00
299667
1

-629329

12229

2996671

23673
42
23551
13

200000
0

299667
1

2367342

Pro-forma Balance Sheet

2017

2016

3
2489333

4
2489333

5
2489333

212004

141336

70668

2277329

2347997

2418665

2355113

2367342

2996671

2018
1
ASSETS
Non-current
assets
Property, plant
and equipment
Accumulated
Depreciation
Non-current
assets:
Current assets

Cash and cash

equivalents
Current assets
ASSETS
EQUITY
retained earning
Equity
Liabilities
Current liabilities
Loan
EQUITY AND
LIABILITIES

2355113

2367342

2996671

4632442
4715339
5415336
2000000
2000000
2000000
623634.100 228959.55
15
8
55
2623634.10 2228959.5
2000015
1
55
0
2000000
4623634.10
1

2000000
4228959.5
55

2000000
4000015

Break Even Analysis

Contingency Plan

Conclusion
Reemphasize on the importance of your business idea and appeal to
investors & creditors once more on why they should give you money? What
makes you special? This part is to build TRUST.

Appendixes
Appendix (A) Market Survey Results
Appendix (B) Marketing Material

Appendix (C) Pro-Forma Financial Statements