Nigerian company needing to purchase Commercial Transport Buses for the carriage of passengers to and from their destinations within the city.
My company is a registered commercial Transport Services company. We are a start-up business.We are looking for a $150,000.00 loan.
Commercial transport service has remained one of the most Lucrative business in Nigeria with 100% of people involve in it making profit.
Our main business activities will be transporting nursery and primary school pupils to their various schools within Ile-Ife city which is having more than 100 schools. We will also transport secondary school students to their various schools being more than 40. Further, we will transport students of Obafemi Awollowo University, University of Technology, Ipetumodu, and IFE North to their lecture rooms also transportation of to their lecture rooms. The business also includes transportation of market women and their buyers to and from market on daily basis, as well as transportation of thousands of workers to their offices and places of work.
PRODUCT AND/OR SERVICE DESCRIPTION
Our venture will be a service-oriented business of passengers’ transportation. Existing customers are market women school children and workers going to their places of work.
The potential customers will change to my service as the people will prefer taking new and neat vehicles that will not break down and disappoint them on the way while going to their place of work.
This business will be Located in Ile-Ife City in Osun State in Nigeria. Ile-Ife is a densely populated city with a lot of people needing commercial transportation.
This business will involve transporting of passengers to their places of work and schools within Ile-Ife city. 10 buses will be involved which will be making money on daily basis. Transport business is a lucrative business in Ile-Ife. With all people that are involved in the business making profits. The drivers are to deliver a specify amount of money each day they collect the vehicles for operation. The drivers do not need to be paid any monthly salary as the remaining amount after what they deliver will serve as their daily earnings. Presently in the city there are more passengers than the existing buses which make the business to be very lucrative.
Competition in the commercial transport business in my location is minimal as there are more passengers than the existing buses. Many people wait for a very long time before getting any commercial bus that can take them to their destination.
The rationale behind this business is to assist the community to ease the hard time they are having before they can get to their destination.
The loan will be paid back in 10 years.
CALCULATION OF EARNINGS
10 Buses will be purchased. Each bus will be making $15 daily.
The daily earning for 10 Buses will be $150 ($15 x 10).
The monthly earning for 10 Buses will be $3900 ($150 x26)
N/B Buses will be working for 26 days in a month and will be resting for 4 days in a month or 1 day in a week. This arrangement is to make the buses last very long.
The yearly earning for 10 buses will be $46800 ($3900x12).
10 years earning for 10 buses will be $468000 ($46800x10).
The borrowed money and the interest will be paid out of this amount.
UTILIZATION OF BORROWED FUND
10 Buses will be purchased. Each Bus will cost $14,000. 10 buses will cost $140,000. $10,000 will serve as working capital.
TOTAL FUND TO BE BORROWED
$150,000.00 (one hundred and fifty thousand dollars)
We are looking for debt-investment. The investor will be able to get profit in the form of an interest from this project