GROUP SIX BUSINESS PLAN KEMORABAT TRAVEL ENTERPRISES P.O.Box 42243-00100 P.O. Box 7102 Moi Avenue, William Street Nairobi, Kenya Kampala, Uganda Tel: +254722883878.

GROUP SIX

BUSINESS PLAN

KEMORABAT TRAVEL ENTERPRISES

P.O.Box 42243-00100 P.O. Box 7102Moi Avenue, William StreetNairobi, Kenya Kampala, UgandaTel: +254722883878 Tel: +256772919105

www;kemorabattravel.com

KEMORABAT TRAVELS ENTERPRISE

Vision:

To be the best Transport Service Provider in East Africa

Mission:

To provide comfortable and prompt services

Objectives:

To generate income and create employment To provide available and reliable services

Opportunities:

Current service provider in transport service are not meeting the demand needs

There is an increase in business transaction between the two cities as a result of reviving the East African Community

An ever increasing number of students from Kenya seeking education opportunity in Uganda’s institutions of learning

An ever increasing number of tourists visiting Uganda tourists’ attractions.

BUSINESS PARTNERS - DIRECTORS

Director Planning and Logistics – Mr. Kedar has an MA in Econ. Has experience in planning and logistics in ministry of Transport;

Managing Director – Mr. Ngoze has an MBA. Experience in management. In charge of overall Management, finance and accounting

Director Operations Management – Mr. Bata has a BSc. in Engineering. Has experience in motor vehicle maintenance and servicing

Director Sales and Marketing – Mr. Riley has BA in strategic Mgt. has experience in marketing and strategic management from the Ministry of Commerce and Industry

Business Location

Office

Office

Nairobi-Kampala Route

Detail Product and/or Services

One 50 seater commuter bus with air conditioner, comfortable seats, DVD player, TV for entertainment and baggage carrier.

The bus will ply between Nairobi and Kampala. The routes to be covered will be Nairobi-Kisumu-Busia-Jinja; and

Jinja-Kampala. Snacks and drinks will be offered as complements to commuters The bus will stop at Kisumu, Busia and Jinja for 15 minutes each

to allow the commuters to take rest. The service will be day service where it will leave Nairobi at 6am

and reach Kampala at 7pm. It begins the return service from Kampala to Nairobi at 6pm the

following day. This will enable the crew to rest and also commuters to see

sceneric features.

Schedule and Fare

Nairobi-Kampala - USD25.00

Departs Nairobi @ 6:00am – Arrive Kampala @ 7:30pm

Departs Kampala (next day) @ 6:00am – Arrive Nairobi @ 7:30pm

Travel mode: Day time

Strength Market and customers, Good road network, Reliable service, Safe to travel between the two cities, affordable, expertise in management and operations, experienced drivers and conductors, sceneric attractions which commuters can see, serving snacks and drinks to commuters, allowing our commuters to rest in various stations

and entertainment facility in the bus.

Customers and Suppliers

Customers (including channels and distribution): Businessmen, Professionals, Students, Tourists and others

Suppliers: Bus Company, Garage, Fuel Stations, Tyres and Spare part dealers, Stationery suppliers and Travel agency

TARGET MARKET

Financial Plan:

Assets purchase / leasing

Operational

funds

3. Required Funds and Fund Raising

Required fundsAmount(US$)

Fund raisingAmount(US$)

1 x 50 Seater Bus (Couch)4 Computers @ US2002 Fax Machine2 Printers3 Mobile phones @ US50Telephone/Internet

120,000800400200150500

Own capitals4 directors have contributed $18,000 each.

72,000

Loans from family, relatives – payable over 3 years @ zero interest rate per annum.

32,289

Sub Total 104,289

Insurance (Comprehensive)AdvertisementOffice rentalTLBSalaryFuelService feeSnacks and DrinksSpare PartsElectricityTelephone/internet billMiscellaneous

16520054045,8002,700501,2008004050690

Loans from Savings Credit and Cooperative Societies Payable over 3 years at 12% interest rate per annum at a reducing balance

30,000

Total (A) 134,289 Total (B) 134,289

Cont…4. Income Forecast (monthly average)

Operational

expenses

Start-up(US$)

1 year later

(US$)

Details of revenues, costs of products and operational expenses

Revenues (1) 33,750 37,125 Fares @ US25 x 45 commuters x 30 trips @ 90% capacity. 1 year later fares increase by 10%.Salaries – 2 crews @ $500 each, 4 office assistants @ $200 each & 4 directors @ $1000 each.Monthly rent over 3 years tenant agreementLoan principal & Interest on loan from SACCOSLoan principal on loan from Family & FriendsRepresents Insurance, Advertisement, TLB, Fuel, Service fee, Snacks & drinks, spare parts, electricity, telephone/internet and miscellaneousSub-total per month and 1 year later.

Costs of products (2) 0 0

Salaries 5,800 6,380

OfficeRent

540 540

Interests /installments

996897

996897

Others 5,899 6,488.90

Sub-total (3) 14,132 15,301.90

Incomebefore tax

Less 30% Tax

19,618.00

5,885.40

21,812.106,543.63

Final Net Income: 13,732.60 15,268.47

Cash Flow Projection: