SABACO GLOBAL LOGISTICSCorporate Profile

RC 1077412

…..Secure Logistics Services Simplified

Our Vision/ Elevator Speech

To be the favored complete

haulage management company

servicing the best brands in Nigeria

At Sabaco global logistics we are passionate about what we do

SABACO GLOBAL LOGISTICS is based in Ikorodu, Lagos specializing in local and inter-state haulage

services

Registered with CAC in 2012, with RC 1077412. We offer supply chain management/Logistics services which includes third party logistics (3PL), retail logistics and direct store delivery, logistics

outsourcing and transportation management systems, distribution of lubricants, procurement and warehousing

It is imperative for prospective investors to note that Sabaco Global Logistics started with One 18-wheeler truck before it metamorphosed into a six 18-wheeler truck outfit within two and half years of existence. It showed that we are passionate about what we do and have taken cognizance of the fact that we are on a journey and can always improve on our daily business

life. Over the years, our business has seen many changes, what has not changed is our steadfast commitment to service excellence and improving

our customers' bottom-line performance

Traction/ Validation

Market Opportunity

There is huge market opportunity and growth potential in the Nigeria Transportation/ Haulage industry, prospects are encouraging and stable

2013 Sector GDP

2014 Estimated Sector GDP

2015 Futuristic Sector GDP

10.79% Estimated Sectoral Growth for 2015

797 billion naira

766 billion naira

738 billion naira

Source: Nigerian Bureau of Statistics and CBN

The ProblemTransportation, Distribution and Supply

chain Management Experiences we gathered while working with numerous

companies, have shown that a significant portion of customer dissatisfaction is caused through the use of less than optimal logistics system

The existing logistics solution lay more emphasis on buying, selling and production of finished goods rather than distribution processes

The problem of physical distribution of goods and raw material flow were often brushed aside as a matter of little importance usually handled by the ill equipped logistics department

Warehousing Services

Third Party Logistics

Distribution of

Lubricants Procuremen

tLogistics Outsourcin

g/ Transport

Mgt System

Retail Logistics/

Direct Store

Delivery

Our Services

Our logistics services are designed to ensure that each step Our logistics services are designed to ensure that each step of your logistics chain is carefully coordinated and managedof your logistics chain is carefully coordinated and managed

Revenue Model

Occasional Direct Sales per Kilometer Haulage Billing/Tariff for non-account customers

Corporate Account customer tariff based on cargo volume and frequency

1 2 Facilitation and Advisory Fees for non-haulage,non-warehousing service

3

Intermediation/brokerage fee e.g. those revenue accrue from acting as intermediary between contractors

4 Ancillary sales and sales of ownership e.g asset sale, warehousing sales

5

Marketing & Growth StrategyUse of Social NetworksAdvertisement, Media Buying & Public RelationsUser Friendly WebsitePromotions and IncentivesLeverage on database of Nigerian Chambers of

Commerce and Industry through associationDirect Marketing

Key Partners*Wholesalers & Distributors*Warehouse Landlords/ Companies.*Contractors of Haulage Contracts*Tracking Device Company.*Trucking and Recovery Companies.*Government Law Enforcement Agencies e.g FRSC, VIO,LASTMA AND NIGERIAN POLICE FORCE.

Key ActivitiesIntegrated Logistics Services:*Retail Logistics/ Direct Store Delivery*Third Party Logistics (3PL)Outsourcing*Contract Road Haulage*Warehouse management and warehousing.*Cargo freighting and handling.*Off Balance Sheet Funding of Distribution Infrastructure for Manufacturers

Value Propositions*Technology Driven Real-Time GPS Cargo Tracking *Experienced Field Team (Certified Drivers etc.)*Competitive Price Structure*Tailor-made logistics Plan & Execution Upon Request*Reliable & Secure Freighting (Good-In-Transit).*Off Balance Sheet Funding For Manufacturers

Customer RelationshipsDirect*Customer Priority: Random/ outbound check-up calls*Bulk SMS- services info, customer appreciation*Value Added Services: After sale service, Advisory*Dedicated personal assistance*Website/Online profilerIndirect*Good-in-Transit online monitoring

Customer Segments*Manufacturing Companies dealing in FMCG*Importers & Wholesalers that need National/Regional Distribution services*Contractors e.g. Individual Truck Owners*Agro-Allied Companies*Infrastructure Contractors with projects across Nigeria.

Key Resources*Installed GPS Tracking Software*Well Maintained & Cost-Efficient Trucks,  *Ploughed back Profits *Experienced Management & Field Team (Board of Directors, Logistics, Sales & Customer Service Team, Drivers, Mechanics)

Channels*Use of Social Networks*Advertisement & Media Buying*User Friendly Website*Promotions and Incentives*Through Data Base of Nigerian Chambers of Commerce and Industry.*Billboards

Cost Structure*CAPEX Investment and Asset Acquisition costs amortization/depreciation.*GPS Tracking device technology monthly subscription fees*Warehousing lease rentals paid annually.*Operational Staff Costs [PAYROLL]: Full-time [30%] and Casual hires [70%].*Operational Taxes and Levies to Government Agencies/Unions.*Operational Consumables for Fuel and maintenance.*Indemnity and Underwriting Premium to Insurers.

Revenue Streams*Occasional Direct Sales per Kilometer Haulage Billing/Tariff for non-account customers.*Corporate Account customer tariff based on cargo volume and frequency.*Facilitation and Advisory Fees for non-haulage,non-warehousing service.*Intermediation/brokerage fee e.g those revenue accrue from acting as intermediary between contractors.*Ancillary sales and sales of ownership e.g asset sales,warehousing sales.

Our Business Model Canvass

Management Team

Engr. Toyin GarubaManaging Director

Aishat Bello-GarubaDirector, Business

Development

Ismail LiadiHead, Operations

Aminat GarubaHR & Admin

Sales Year 2015 Year 2016 Year 2017

Haulage Services 60,000,000 72,000,000 92,000,000

Others 0 0 4,000,000

Less returns & Damages 100,000 200,000 300,000

Net Sales 59,900,000 83,800,000 95,700,000

Direct Cost of Sales

Haulage Services 26,040,000 36,000,000 36,400,000

Others (warehousing etc) 0 0 200,000

Gross profit 23,900,000 36,800,000 59,300,000

Gross profit margin 56% 51% 62%

Sales ForecastImportant Assumptions: Diesel fee at 155/liter

Diesel monthly consumption rate is 14,000liters

Monthly Sales 5,000,000Average Price Per Trip 278,000Monthly Trips 18

Assumptions:-

Average Variable Cost 2,440,000Average Fixed Cost 615,000Estimated Monthly Total Cost 3,055,000Break-Even Trips 11Break-Even Sales 3,058,000Estimated Monthly profit 1,942,000

Break-Even Analysis

Year 2015 Year 2016 Year 2017SalesHaulage Services 60,000,000 72,000,000 92,000,000Others 0 0 4,000,000Less Returns & Damage 100,000 200,000 300,000Net Sales 59,900,000 71,800,000 95,700,000Direct Cost of SalesHaulage Services 26,040,000 36,000,000 36,400,000Others (warehousing) 0 0 200,000Gross Profit 23,900,000 36,800,000 59,300,000Gross Profit Margin 56% 51% 62%ExpensesSalaries & Wages 5,520,000 7,200,000 10,140,000Truck Maintenance 6,000,000 6,500,000 7,000,000Rent 100,000 100,000 0Insurance 400,000 500,000 600,000Depreciation 900,000 1,500,000 2,000,000Marketing/Promotion 100,000 100,000 100,000Payroll Taxes 100,000 100,000 200,000Licenses & Permits 200,000 300,000 400,000Employers’ Benefit 100,000 200,000 300,000Security 150,000 150,000 250,000Total Operating Expenses 13,570,000 16,650,000 20,990,000Net Income before taxes 20,290,000 20,350,000 38,310,000 Procurement of trucks 12,000,000 12,500,000 13,000,000Net Income after Procurement 8290000 7,850,000 25,310,000

Project Income Statement

Competitors

Investment Ask

Expansion CapitalBuying and fencing of 3 plots of landBuilding of storage tanks &procurement of dispensing meterProcurement of 33,000litres of dieselErection of warehousing facilityTotal Capital Needed for Expansion

30,000,000 1,000,000 4,200,000 4,800,00040,000,000

Capital Needed For ExpansionCash required for expansion is estimated at N40, 000,000, this will be used for buying and fencing of three plots of land along Ikorodu/Itokin expressway, building of storage tanks upon DPR approval for the storage of diesel for company use, procurement of 33,000 liters of diesel and erection of warehousing facility to move the business to the second stage in our growth plan

The Model of Trucks We Use

Contact UsSabaco global logisiticsKm 3, Itokin Expressway, Powerline Itamaga, IkoroduLagos, Nigeria

Tel: 08034701506, 08035697575, 08060583875Email: sabacologistics@yahoo.comWebsite: www.sabacologistics.comSkype: sabaco99

Thank You