A truck stop is a facility for truckers by a highway that
offers garage, restaurant and fuel pump services. The main goal of Baily Travel
Center is to be the Main destination in Utah.
Our core focus is in providing amenities for truckers and
a convenient store. Other core functions include a restaurant and supply of gas
and diesel. The company is owned by john and joy baily.
Business
Plan
• Introduction
• Initial
startup
• Mission
statement
• Company
summary
• Location
• Company
ownership
• Funding
• Products
and services
• Market
analysis
Trucking
Stop Business Plan
Introduction
The company business structure is people and customer
oriented and encourages productivity. We offer mutual respect and
responsibility based on a management philosophy. The company’s functions is
divided into two main areas the restaurant and convenient store with a gas,
diesel station.
The co-founders Joy and John Baily will oversee
administration, finance, product sourcing sales and marketing operations. Each
store has highly qualified on-site management team. The manager of each areas will report the daily
activities to the Baily’s.
Overview
The trucking business is estimated to claim 72% of United
States commercial freight transport market. According to recent estimates
commercial freight transportation have aggregated revenue exceeding $400
billion with over $300 billion in revenue. This estimate covers two core areas
the for-hire and private carriage sectors.
Initial
Startup
The 6,000 square foot travel center will accommodate a
restaurant, scales, diesel and gas service. Estimated startup is $2.2 million
with $2 million loan and initial capital injection of $200,000.
1.1 Mission
The mission of Baily Travel Center is to offer truckers
and travelers a one-stop shopping, dinner and truck servicing experience.
Company
Summary
The company management board has John Baily with vast
experience in trucking and Joy a professional in hospitality industry.
Their scope of experience is in automobile repair,
accounting and general business practice. The main goal is to provide
multi-service centers for travelers and commercial truck operators across state
lines.
Location
The company is located by a major highway in Utah.
Strategically placed at a convenient access location with good road network.
Other considerations is area with low competition, good
dry site and high traffic. We also considered the growth potential, site
demography, low residential area.
Site
Requirements
• A
convenient location
• Good road
network
• Low
competition
• Good dry
site
• High
traffic
• Growth
potential
• Site
demography
• Low
residential area
Company
Ownership
The company is owned by john and joy baily as majority
shareholders.
Funding
The funding is needed for working capital, land, land
development and inventory. Others are building, highway improvements gasoline
facility and contingency.
More are other fixed assets, scales, diesel facility, and
prepaid expenses. The total amount allotted to each section should amount to
$2.2 million
Funding
Requirements
• Working
capital
• Land
• Land
development
• Inventory
• Building
• Highway
improvements
• Gasoline
facility
• Contingency
• fixed
assets
• Scales
• Diesel
facility
• prepaid
expenses
Funding
Sources
The funding sources are commercial bank loans or core
investor.
Startup
Requirements
Startup requirements are contingency costs $190,000,
restaurant equipment $200,000, prepaid expenses $200,000 and travel center
equipment $110,000. This equates to total startup expenses at $700,000.
The startup expenses are estimated as follows; startup
inventory $60,000, cash requirements $240,000, long term assets $1,100,000 and
other current assets $100,000, Totaling $1.5 million. Capitalization is by the
two major player’s john and joy baily and liabilities no borrowing is long
termed.
Products
and Services
Baily Travel Center offers retail store, car wash and
truck maintenance services. Others include restaurant, fast food diner,
parking, fuel island station. It will have diesel, gasoline pumps, scale and
internet connectivity.
Other facilities are loading monitors, convenient store,
accommodate independent businesses and auxiliary power units. For effective
marketing we propose adequate branding and offer quality products and services.
Truck
Stop Products and Services
• Retail
store
• Car wash
• Truck
maintenance services
• Restaurant
• Fast food
diner
• Parking
• Fuel
island station
• Scale
• Phone and
internet connectivity
• Loading
monitors
• Convenient
store
• Other
independent businesses
Convenient
Store
The convenient store would have travel grocery items,
coffee and a selection of soft drinks.
It will stock heavy snack items and offer amenities like public
restroom. The store would have a cashier with checkout area and register.
Food
The establishment will have a dinner, fast food outlet or
restaurant. The food amenities will include seating area, drive through window
and order line facility.
Facility
Signage
Advertisement and marketing on-site includes building
signboard, fast food signboard and a highway billboard. It will have fuel and diesel price display,
directional signage. The parking lot will also have a signboard.
On-site
Advertisement
• building
signboard
• Fast food
signboard
• Highway
billboard
• Fuel and
diesel price display
• Directional
signage
• Parking
lot signboard.
Gasoline/Diesel
Station Island
The station will offer gasoline and diesel products. It
will have multiple dispenser pumps, cash and credit card acceptance, branding
and large canopy cover. The station will have fueling lines for large trucks,
small vehicle lanes.
Others are high speed dual sided dispensers, truck
parking facility and cleaning equipment. The gas service station will sell
lubricated oil, gasoline and diesel. Merchandise include automobile parts,
tires and batteries.
Expansion
and Future Products
Future products will include lodging facility, garage and
full truck service.
Market
Analysis
Consumer staples account for 32% truck freight within
state lines. Most truck deliveries are carried out within 3 days and trucking
accounts for 75% of US commercial freight in 2016.
The trucking industry accounts for over $300 billion
revenue and share the market with water carriers, pipelines and railroad. The
trucking industry is segmented into for hire truckers and private truckers.
Potential
Customers
The market analysis summary focuses on potential
customers in the in-state private vehicle industry. Other customer base are
interstate commercial truckers, out-of sate private vehicles, out-of–state
commercial truckers.
Estimated growth from 3% to 6% with total volume with a
year exceeding 2 million.
• In-state
private vehicles
• Interstate
commercial truckers
• Out-of state
private vehicles
• Out-of–state
commercial truckers
Market
Segmentation
The segmentation is divided between For-Hire and private
sector. The commercial freight distribution focuses on trucking, interstate,
private and local. There is the railroad, air freight, heavy domestic air
freight, water and pipeline.
The sections need warehousing, distribution
administration and logistics. In US 1998
according to statistical estimates, private carriers valued service is
estimated at 200 billion, for-hire carriers 100 billion. Others are truckload
65 billion, less than truck load 20 billion.
Market
Trends
E-commerce solutions has a huge influence on marketing
trends. There is also a steady market growth with employees in the industry
estimated at 60,000, number of center above 1,000. They account for annual
sales of 200 million with 50 people in an average center.
Management
The management team are john and joy baily, restaurant
and convenient store manager. Staff include waiters, cooks, gas station
attendants, maintenance crew and cashier.
Staff
• Co-owners
• Restaurant
manager
• Convenient
store manager
• Gasoline/diesel
manager
• Waiters
• cooks
• Gas
station attendants
• Maintenance
crew
• Cashier
Strategy
The strategy of Baily Travel center comprises of
presenting a clean location, quality service. We will use extensive
advertisement, full array of products and services. Services include
restaurant, Fuel Island and convenient store.
We will use phase development strategy of gasoline
station, truck lounges and stalls. We will provide parking, scales and public
toilet facility. We will improve on the infrastructure each year and
subsequently introduce a dinner.
Branding
The branding is in partnership with a major gasoline and
diesel company. The major distributors offer training, logistics, rebates and
assistance. Branding will provide rebate opportunities, incentives and company
flexibility.
Sales
Strategy
The projected figures are based on customer patronage.
The conservative estimates are based on yearly estimated sales of unit of
gasoline, diesel and restaurant. Others are rebates, allowances and travel
store.
Financial
Plan
The projected cash account are long-term interest rate,
current interest rate and tax .rate. The pro forma cash flow is projected as
cash from operations.
Expenditure are sales tax, liabilities, long-term loans,
current borrowing. The break-even analysis is based on monthly units
break-down, average per-unit variables and unit revenues.
Projected
Profit and Loss
The profit, loss is estimated on direct cost of sale,
margins and expenses. We have depreciation, leased equipment insurance,
utilities sales and marketing. Others are payroll, taxes, rent. The balance
sheet is based on current assets, cash and inventory.
0 comments:
Post a Comment