POB SBA

Chapter

Page

Acknowledgement ……………………………………………………….. 2

Description of the Business ………………………………………………. 3

Justification of Location…………………………………………………… 4

Selection of Appropriate Labour …………………………………………. 5

Sources of Fixed and Working Capital …………………………………… 6

Role of the Entrepreneur ………………………………………………….. 7

Type of Production………………………………………………………… 8

Levels of Production………………………………………………………. 9

Quality Control Measures…………………………………………………. 10

Use of Technology ………………………………………………………… 11

Linkages…………………………………………………………………….. 12

Potential for Growth………………………………………………………… 13

Government Regulations ……………………………………………….. 14

Ethical Issues……………………………………………………………. 15

Appendices………………………………………………………………. 16-19

Bibliography…………………………………………………………….. 20

1

I would like first to thank God for giving me the strength to complete this Students Based

Assessment. I would like to thank my teacher who was not just a source of information but also

inspiration, my mother for her invaluable financial and moral support. For those I have not

mentioned for your contribution, thank you.

2

Bart’s Car Rental & Garage Limited is a sole proprietor, transport-oriented company that will

provide rental services to local and overseas customers year round for a minimum of one day and

a maximum of twenty-eight days. The objectives of the business are seen as:

To provide high quality service to our customers through the availability of the best kept

cars as well as the provision of technical expertise.

To ensure that employees are adequately trained and possess the requisite skills to deal

with the issues associated in the auto industry.

To dominate the market and get rid of existing competitors and the most important to

make profits.

3

The business will be located at 12 King Street, Montego Bay. This location was chosen because

of the close proximity to the Sangsters International Airport and potential customers will be

considering the mode of transportation for themselves and family and we will offer pickup and

drop-off services at no additional cost.

Our location is close to the main road in the town and supplies from auto parts retailers will be

easily delivered to the garage.

There is also the availability of sufficient land space as we offer a full service repair facility

comprising electrical, mechanical, auto body repairs, repainting and parking space for the

vehicles.

4

Type of labour No. of

labour

Function

Car Specialists 2 To repair the mechanical defects of the vehicles.

To repaint the vehicles.

To repair the damaged bodies of the vehicles.

Rental Agent 1 To provide customer service, offer sales incentives,

answer phones.

Owner 1 Manages sales reports, makes sales forecasts, pay

workers

Security Guard 1 To ensure the safety of all rental vehicles, personnel

and property.

Janitor 2 To wash vehicles and clean premises.

The type of labour necessary is skilled because the business wants to have competent individuals

to carry out their tasks and we strive to ensure that all individuals are adequately trained and

skilled to undertake all types of repairs and maintenance of the vehicles which are highly

technical and advanced.

5

The entrepreneur will obtain a loan of four million dollars from the National Commercial Bank

which will be paid back by the sum of twenty five thousand dollars per month to acquire Fixed

and Working Capital.

Fixed Capital- out of the four million dollars, one million will be used to purchase Fixed Capital

such as: machinery, equipment, fixtures and fittings. The land and building are personal property

of the entrepreneur and will serve as collateral if the business is not able to pay its debt.

Working Capital – three million dollars of the loan along with personal savings and inheritance

amounting to twenty million five hundred thousand dollars will be used for the investment into

stock which is the purchase of motor vehicles new and used from local car dealers. It will be

used for the payment of salaries and for the efficient running of the business.

6

The role of the entrepreneur is to formulate a valid idea to start a business and organize the

factors of production and bear risks to make profits.

Function of the Entrepreneur

Planning- he is the organizer to conceive the idea of launching the product and to program the

structure of the business.

Management- he is responsible for the management of the business. He tries to have a least cost

combination of the factors of production.

Risk bearer- he faces uncertainty and bears risks in his business. Uncertainty comprises those

risks against which it is not possible to insure.

7

Tertiary Production

This involves the provision of services to customers. Services can be direct where the customer

and provider work together, indirect where the service is routed through others or

commercialized pertaining to our business where we provide car rental services to the entire

population of Montego Bay.

8

Domestic Level

At this level goods and services are produced which satisfies not just an individual but for the

entire local area of Montego Bay.

9

To be updated - we will ensure that we are kept up to date with the latest technology in the

automotive industry, and as such, our repair facility will be equipped with the required to deal

with any defects in the customers vehicles.

Satisfaction of Customers - we will keep our customers satisfied by maintaining peak

performance of our vehicles, the high levels of professionalism and the facilities we offer.

10

GPS and Computer

GPS (Global Positioning System) - is used to enhance efficiency by recovering lost or stolen

vehicles which are investments to the business and o not to make a loss.

Computer- to store customer information for future reference if they will want to use our services

again and for the day to day operations of the business.

11

The type of linkage is the forward linkage which will be established with the Sangsters

International Airport. This will benefit our business as the airport will be supplying the business

with potential customers who will be considering the mode of transport for themselves and we

will cater to this service so we can earn foreign exchange.

12

Internally- the potential growth internally is that we will provide not only cars for rental but also

15 and 29 seater buses to be available for tours and excursions and will provide bonuses on

salaries for the employees every Christmas holiday.

Externally- the business establish a vertical merger with a local car dealer to sell used cars that

will no longer be in the operation of the rental service and provide scholarships for the top Grade

Six Achievement Test (GSAT) awardees from the Montego Bay All-age and Primary School.

13

Government regulations dictate that businesses must be registered with the Registrar of

Companies. A certificate of registration or license to operate our business is issued if the

business meets the requirements needed. The business obtained a license from the Jamaica

Automobiles Association to conduct business. Without being registered the business will have no

proof of legality and the government has the right to close the business because they see it as an

illegal activity.

14

To ensure that all vehicles are kept up to date with the required safety standards as safety is a

very vital feature in the business operations. If we rent a faulty vehicle to customer and an

accident is resulted from the fault we will be responsible for the injuries of the customer and

those persons who were also injured from accident. This will have a negative impact on the

business as persons will be turning away from our services because they are in fear of their lives.

15

16

Bart’s Car Rental & Garage

Planning to have a trip for family and friends??? Trouble finding a car??? Car problems???

Well come on down to Bart’s Car Rental & Garage!!!

We provide the most reasonable prices of vehicles and we provide the convenience of any type

of vehicle that will suit your needs and our garage will cater to any problems of your vehicles.

Location: 12 King Street, Montego Bay

Reservations: 976-5434

Cell: 354-3124/843-9075

Email: [email protected]

Website: www.bartscarrental&garage.com

WE GUARANTEE THE BEST PRICES & SERVICES!!!!

17

Toyota Corolla 2005

Toyota Hiace 2005

Toyota Coaster 2004 Toyota Altis

18

Toyota Noah 2007 Nissan Tiida 2004

Cost per day of each vehicle:

Toyota Corolla Altis - $4000 per day.

Toyota Corolla 2005 - $2000 per day.

Toyota Noah 2007 - $3500 per day.

Nissan Tiida 2004 - $2000 per day.

Toyota Coaster 2004 - $5000 per day.

Toyota Hiace 2005 - $3500 per day.

19

Whitcomb, Allan, and Macpherson Barnes. Essential Principles of Business for CSEC.

Pearson Education Limited 2006. Printed.

Seunarine, Sam. Principles of Business for CXC fourth edition.

20