- Country: South Africa
- Industry: Transport, Automotive, Aviation
- Stage: Start-up
- Investment size: $700,000 / min. $550,000
- ROI: 30% in 1 years
- Type of investment: Debt, Equity
We are raising capital to fund the procurement of the new trucks that will enable the company to enter 3 year transport contract with an important customer.
The business provides heavy load long distance transportation of goods as well as short-distance transportation of containers from the harbour (from the Western Cape and surroundings). The transport of goods is always comprehensively insured to the satisfaction of both the client and the business.
This is a newly established road transport company wholly owned by Miss O. J., a black female. Miss J., the sole director, registered the company as a Pty. Ltd. in 2010 and has the support of a strong management team in the form of Mr. J.J., with more than 30 years’ experience in the Transport Industry and Mr. E.J. with more than 25 years of experience in the Finance and Management field.
The owner has undertaken thorough and extensive research into the Transport and more specifically the Trucking Industry in order to be comprehensively prepared for entering the market. The subsequent strategic approach as depicted in this business plan.
An opportunity exists for the new company to be afforded a 3 year transport contract with Bextrans (Proprietary) Limited, a division of the Bekker Group under the condition that it is able to provide two new trucks and interlinks for the purpose of transporting their goods.
The main purpose of this business plan is to document and depict the strategic directions of the company in a structured well planned way and to raise the required capital to fund the procurement of the new trucks and interlinks which amounts to R3 500 000 (three million five hundred thousand rand).
The management team will always actively pursue marketing opportunities in line with the approach identified in the strategic plan of the business. This is to ensure the retention of existing clients and to attract new clients.
Specific target markets:
The transportation, hire and delivery of services are provided within the borders of Republic of South Africa only. The business will pursue the trucking market of the companies that have been identified through our market research and to take over the clients heavy load and semi heavy load transport needs.
Projected turnover market potential:
The provisional revenue streams have been identified based on the potential contract that will be awarded to the business. The business plans to expand with a minimum of one new truck with a interlink in the first year of operations, from year three onwards to service a broader segment of the market with a more flexible pricing opportunity which will create a broader and more lucrative revenue stream. In terms of the current policy, variable mark-ups are applied dependent upon market competitiveness and clients.
By tailoring services and customizing projects of clients specific to their needs, the company endeavours to develop a reputation for quality and customer service.
The business has developed a sales and promotion strategy in its strategic plan and the entire management team is committed to attain those identified goals. This strategy will be accomplished by aggressively pursuing interaction and relationships with our clients who would be benefiting from our service. This commitment to the strategy of the business is reflected in the budget allocations for this purpose.
The delivery of a professional service at all times will be the core of the business. Added to this, the continuous interaction of management with clients will ensure customer satisfaction at all times. The business will distinguish itself from its competitors based on the aforementioned and a sound administrative function which will allow for flexibility should the need arise. We are thus confident that we will become a business of choice.
Use of financing
We are raising capital to fund the procurement of the new trucks and interlinks which amounts to R3 500 000 (three million five hundred thousand rand) that will enable the company to enter 3 year transport contract with an important customer.
Opportunity for the investor
I'm looking for a Loan with a payback period of 3 years.
Both a hands on or a silent investor will be welcome.
I need R3500 000.00. I'll pay R150 000.00 per year for 3 years. At the end of the period the investor will then have R4500 000.00, i.e. they will get all their money back and earn a profit of R150 000.00.
Equity participation of 30% is also optional.
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