Business Plan Auto Repair Shop

Trusted car care…

Busin

ess I

dea

MID-N

AUTOREPAIRERS

FAHAD

M I D - N

AUTO REPAIRERS

Trusted car care…

Business Idea Of Auto Repairing Workshop

Which will operate at night

Reason for choosing this idea

Will Hire engineers and well trained mechanics

INTR

ODUC

TION

To show our entrepreneurial skill and to be very unique in Peshawer city in this type of business. To earn a satisfied amount of money and to provide welfare to the people of Peshawer.

MIS

SION

To be very unique service provider in fixing the cars of peshawer citizens

To win awards of excellence in providing secure, best and on time service and to save people from wasting their time.

To help engineering students be well trained and in turn they will help building up the country and serving the nation.VI

SION

Services will be provided in the auto repairing

sector in guidance of mechanical engineering

students.

SERV

ICE

Phase 5, near PDA, Hayatabad

LOCA

TIO

N

Primary research data has been collected mainly through questionnaire.

Research done through questionnaire revealed that there is much more demand for the services of such a unique venture.

RESE

ARCH

DAT

APRIMARY

SECONDARY Some secondary data was collected through

internet.

TARG

ET M

ARKE

T

The market which is going to be in focus is Middle Class People (Employees) High Class People (Professionals) Lower Class People (Mainly Taxi Drivers)

FOCUS

TARG

ET M

ARKE

TMAIN FOCUS

The main focus is Middle Class People (Employees) High Class People (Professionals)

REASONS They can afford to use genuine parts in repairing their cars

They are willing to repair their vehicles by professionals

High value cars which owner do not want to repair by

inexperienced workers

They have plenty amount of money

MAR

KET

SEGM

ENTA

TION

Middle Class People (Employees)

High Class People (Professionals)

Lower Class People (Mainly Taxi Drivers)

MAR

KETI

NG M

IX PRODUCT Overnight auto repairing services to customer

Quality spare parts to meet the customer satisfaction in

quality.

Guarantee to their spare parts and services i.e. tires, engine

parts etc. PRICE Reasonable price for products and services with promising of

quality

Less prices of spare parts charged than competitors because at

bulk purchase competitors charge high price but we offer less

prices

MAR

KETI

NG M

IX PLACE Will be located in Phase # 5 Hayatabad near PDA

Phase 5 is located at the center of Hayatabad

Nearer to the people living in town and board as compared to shoba

bazar.

PROMOTION Ads in newspapers

Cable networks giving coverage to Hayatabad, Board Bazar and town

Pamphlets will be made and will be distributed in Hayatabad, in Board Bazar

area, in town and also in Shoba Bazar

Also posters will be made and will be displayed in Shoba, Board and town.

At the success of business, TV ads will be made and will be displayed on

certain most viewed TV channels and key chains will be made and will be

given to the customers who will repair car in workshop

STRA

TEGY

Initial stage with innovative idea so we have to gain a market by providing high quality spare parts with low price.

Even companies does not provide guarantee with spare parts , we’ll provide warranty our self to increase customers.

We’ll charge low prices so that more and more customers can be attracted.

PENETRATION PRICING

STRATEGY

ORGANIZATIONAL PLAN

Lega

l For

m O

f Bus

ines

sPARTNERSHIP

Each partner will have equal share in initial capital

In future, if success is seen the partnership form will be converted to the company form of business

Orga

niza

tiona

lINITIAL CHART

Orga

niza

tiona

lINITIAL CHART

The number of employees at the starting of business will be less.

Five mechanics will be hired at starting of business. The number of Engineering students hired at initial

stage will be 2. The shop will be hired at initial stage of business. The owners of business will act as managers in

different fields of shop. One guard, one sweeper will be hired at initial stage. As it is partnership form of business, the partners are

agreed to put equal share in the initial capital required to start a business

Orga

niza

tiona

lEXPECTED CHART

Orga

niza

tiona

lEXPECTED CHART

After 3 years and by getting continuous success,

several branches will be opened

At different big cities of Pakistan including Islamabad,

Lahore and Karachi.

Each partner who is currently working as manager in

initial stage will then be the Head of each workshop

started.

Each partner will hire further managers i.e. HR,

marketing, finance, operational for each workshop.

Orga

niza

tiona

lEXPECTED CHART

The number of mechanics will be increased too.

The number of mechanics will be increased according

to the increase in customers at each workshop.

Also the number of students will be increased

according to customers.

More workshops will be hired at different cities.

More guards and sweepers will be required.

Orga

niza

tion CULTURE

Formal and friendly environment at work shop as owners and engineers are all educated

Will have great impact on our customers and those mechanics and employees working with us.

Will create free flow of information amongst the workers, engineers and managers.

The mechanics and engineers will have proper dresses which will be comfortable so the mechanic can work comfortably.

The workshop would be luxurious and will be better than other indirect competitors.

The workshop will be kept clean.

BENE

FITS

Provide ease to the people who are not free to repair

their car at daytime

Will provide warranty with genuine parts they fix in

cars

For Hayatabad citizens, it is of more beneficial because

they will have a mechanic shop more nearly than

others

Repairing their cars on diploma holder mechanics

In guidance of engineering students.

Finan

cial P

lan

Mid-N Auto RepairersINCOME STATEMENT

Month1 Month2 Month3 Month4 Month5 Month6 Total Revenue 30,000 40,000 50,000 60,000 65,000 70,000

LessCost Of Revenue 5000 7000 7000 7000 10,000 10,000

Gross Profit 25,000 33,000 43,000 53,000 55,000 60,000

Operating Expenses

Rent 10,000 10,000 10,000 10,000 10,000 10,000

Salaries 25,000 25,000 25,000 25,000 25,000 25,000

Supplies 5000 5000 5000 5000 5000 6000

Advertising 3000 3000 3000 3000 3000 3000

Utility Bills 5000 5000 5000 5000 6000 7000

Total Operating Expenses 48,000 48,000 48,000 48,000 49,000 51,000

Income Or Loss -23,000 -15,000 -5000 5000 6000 9000

Mid-N Auto RepairersINCOME STATEMENT

Month7 Month8 Month9 Month10 Month11 Month12

Total Revenue 75,000 80,000 80,000 90,000 95,000 100,000

LessCost Of Revenue 10,000 10,000 10,000 12,000 15,000 12,000

Gross Profit 65,000 70,000 70,000 78,000 80,000 88,000

Operating Expenses

Rent 10,000 10,000 10,000 10,000 10,000 10,000

Salaries 25,000 30,000 30,000 30,000 30,000 30,000

Supplies 7000 8000 8000 10,000 10,000 12,000

Advertising 2000 1500 1000 1000 1000 1000

Utility Bills 9000 10,000 10,000 10,000 10,000 10,000Total Operating Expenses 53,000 59,500 59,000 61,000 61,000 63,000

Income Or Loss 12,000 10,500 11,000 17,000 19,000 25,000

Mid-N Auto RepairersINCOME STATEMENT

1st Year 2nd Year 3rd YearTotal Revenue 835,000 1,002,000 1,503,000LessCost Of Revenue 115,000 138,000 207,000

Gross Profit 720,000 864,000 1,296,000Operating ExpensesRent 120,000 144,000 216,000Salaries 325,000 390,000 585,000Supplies 86,000 103,200 154,800Advertising 25,500 30,600 45,900Utility Bills 92,000 110,400 165,600

Total Operating Expenses 648,500 778,200 1,167,300

Income Or Loss 71,500 85,800 128,700

Assets

Cash 30,000Inventory

Tires 100,000Rims 50,000Spare Parts 35,000Furniture 30,000Supplies 2000Computer 12,000Printer 4000Prepaid Rent 30,000Total____________ 298,000

Liabilities

N/P Bridgestone tires 50,000

Owner’s EquityFahad Iqbal 62,000Hamayun 62,000Zahid Khan 62,000Rahim Ullah 62,000

Total____________ 298,000

Mid-N Auto RepairersBalance SheetJanuary 1st, 2012

Bala

nce

Shee

t

Initial Investment298000 + 648500 = 946500

Initi

al In

vest

men

t