INTRODUCTION TO BUSINESS

SERVICE STATION
 CAPITAL
DESCRIPTION AMOUNT RS.
CAPITAL COST
Plant and Machinery 940,000
Furniture and Fixture 243,000
Office Equipment 41,500
Pre-operating Cost 40,114
Total Capital Cost 3,194,614
Working Capital
Raw Material Inventory 181,212
Equipment Spare Parts Inventory 13,886
Cash 102,235
Total Working Capital 897,334
Total Investment 4,091,948
AREA
 I choose Canal Road Faisalabad for my service station
SPACE REQUIREMENT
DESCRIPTION ESTIMATED UNIT COST TOTAL COST
AREA(sq.ft) (RS) (RS)
WASHING AREA 800 200 160,000

PARKING 800 200 160,000

WAITING ROOM 300 1,200 360,000

MACHINES ROOM 800 1,000 800,000

WORKERS ROOM 300 1,000 300,000

WASH ROOM 150 1,000 150,000

TOTAL 1,930,000
INFRASTRUCTURE
LABOUR
 I have to hire 4 labors to manage my service station.
DESCRIPTION NO OF EMPLOYEES SALARY

CEO 1 25,000

Supervisor 1 20,000

Workers 4 15,000

Total 6 60,000
MACHINERY
 I buy necessary machinery for my service station (car
lifter , compressor)
REVENUE GENERATION
DESCRIPTION NO OF ITEMS SERVICE SALES REVENUE
SERVED CHARGES

Wash Only 3,168 150 475,200

Full Service 7,392 300 2,217,600

Motor Bikes 21,120 60 1,267,200

Carpates 1,650 100 165,000

Total 4,125,000
NAME OF SERVICE STATION
 I selected a name of Service Station (AB)
WAITING AREA
 I have to make a waiting area for my customers to wait
there till there car is washed/serviced
FURNITURE
 We will choose comfortable furniture for our
customers on which they feel comfort because they
have to wait for 15 to 25 minutes and we will serve
them juice.
DESCRIPTION QUANTITY UNIT COST TOTAL COST

Executive Table 1 20,000

Executive Chair 1 7,500

Sofas 1 20,000 20,000

Store Shalves 2 12,000 24,000

Chairs 5 3,000 15,000

Stools 3 1,500 4,500

Other Tables 1 10,000 10,000

LED 1 50,000 50,000

Fans & Lights 1 20,000 20,000

Fire Extenguishers 4 3000 12,000

Air Conditioners 1 60,000 60,000

(1.5 ton split)
Total Furniture & 243,000
Fixture
OFFER
 We will give offer to our customer we will wash there
one car free with 2 cars.