Dealership Proposal

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PRESENTATION FOR FORD DEALERSHIP SOLAPUR CITY & DISTRICT AT AT BY BY AYYUB B SHAIKH AYYUB B SHAIKH & & ARSHAD A SHAIKH ARSHAD A SHAIKH

Transcript of Dealership Proposal

Page 1: Dealership Proposal

PRESENTATIONFOR

FORD DEALERSHIP

SOLAPUR CITY & DISTRICT

AT AT

BYBYAYYUB B SHAIKHAYYUB B SHAIKH

&&ARSHAD A SHAIKHARSHAD A SHAIKH

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NAME OF PROPOSED DEALERSHIP – ABS FORD

Name of Dealer Principal : ABS Cars Pvt Ltd.

Directors Ayyub.B.Shaikh - Founder

Tohid.A.Shaikh - Son

Shahid .A.Shaikh - Son

Arshad.A.Shaikh - Son

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DIRECTORS PROFILE

Name : Ayyub Babumiyan Shaikh

Brief History : After a long Struggle in Steel Industry, Trading G.C. Sheets. We have achieved a Distributorship of Tata

Shaktee G.C. Sheets for seven District i.e.

Solapur,Beed,Parbhani,Hingoli,Nanded,Latur & Osmanabad We are suppose to be Pioneer in

GC Business and Tata Bluescope Durashine Color

Coated Sheets at the above area from last 40 Years.

This is our Third Generation running successfully in the Steel Business.

Qualification : H.S.C. Year ( 1970 )

Email : [email protected]

PAN : ACVPS1649G

Age : 56 years

Business Exp.: 40 Years

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DIRECTORS PROFILE

Name : Tohid Ayyub Shaikh

Brief History: After Successfully completed education involve in GC Sheet Business from last eight years

and completely handle the business with positive

growth from year to year.

Qualification : H.S.C. Year ( 1999 )

Email : [email protected]

PAN : ARCPS1359K

Age : 28 Years

Business Exp.: 8 Years

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DIRECTORS PROFILE

Name : Shahid Ayyub Shaikh

Brief History : involve in Cement Business and Recognized as a Authorized Dealer of Ultra Tech Cement.

From The beginning Sale volume was 80 to 90 Ton Per Month is increased Now 1000 Ton. Per Month.

Email : [email protected]

PAN : BBVPS8994Q

Age : 26 Years

Business Exp.: 6 Years

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DIRECTORS PROFILE

Name : Arshad Ayyub Shaikh

Brief History : After Completing Automobile Engineering Involve in GC Sheet Business and Started Separate Business Firm Named as Arshad Steel. Dealing in all Type and Multi Brand of GC Sheets and Color Coated Sheets. And having a good knowledge in Automobile Sector Administration.

Email : [email protected]

PAN : BJBPS3974E

Age : 25 years

Business Exp.: 5 Years.

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SUCCESS STORY OF EXISTING GROUP

• NAME OF COMPANY : HINDUSTAN STEEL, SOLAPUR. TYPE OF BUSINESS : DISTRIBUTOR OF “TATA” SHAKTI G.C. SHEET &

TATA BLUESCOPE COLOR COATED SHEETS ( DURASHINE ) SOLAPUR, OSMANABAD, LATUR, BEED, HINGOLI,

PARBHANI,NANDED DATE OF COMMENCEMENT : 2002

MANAGEDBY : AYYUB B. SHAIKH . SHARE HOLD : 100% HOLD BY PRINCIPAL ( PROP – Tohid Shaikh)

• NAME OF COMPANY : HINDUSTAN SALES – SOLAPUR. TYPE OF BUSINESS : DEALER OF ULTRATECH CEMENT DATE OF COMMENCEMENT : 2004

• MANAGED BY : SHAHID AYYUB SHAIKH • SHARE HOLD : 100% HOLD BY PRINCIPAL ( PROP-Shahid Shaikh)

• NAME OF COMPANY : ARSHAD STEEL- SOLAPUR. TYPE OF BUSINESS : DISTRIBUTOR OF “UTTAM GALVA STEEL LTD.”,

JINDALSTEEL LTD.” & COLOR COATED SHEETS OF ALL MULTI BRANDS

DATE OF COMMENCEMENT : 1985MANAGED BY : ARSHAD AYYUB SHAIKH

SHARE HOLD : 100% HOLD BY PRINCIPAL ( PROP-Ayyub B Shaikh)

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Width - 140 feet Length - 660 feetTotal - 92400 sq.ft

Width - 180 feet Length - 328 feetTotal - 59040 sq.ft

Width - 400 feet Length - 605 feetTotal - 242000 sq.ft

PROPOSED SITES

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WORKSHOPSHOWROOM

Proposed Showroom & Godown Location Solapur Pune Highway – Kondi.Area – 92400 sq.ft.

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GROUP GROUP FINANCIALSFINANCIALS

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GROUP FINANCIAL PERFORMANCE

Financial -Group TurnoverExisting CompanyExisting Company 2008-092008-09 2009-102009-10 2010-112010-11

ProjectedProjected

Hindustan Steel 3452 3299 3800

Hindustan Sales 219 325 425

Arshad Steel 769 2135 2200

Total 4440 5759 6425

(Amount in Lacs)(Amount in Lacs)

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FINANCIAL GROSS PROFIT

COMPANYCOMPANY 2008-092008-09 2009-102009-10 2010-112010-11

ProjectedProjected

Hindustan Steel

176 178 186

Hindustan Sales

10 09 11

Arshad Steel 31 47 48

Total 217 234 245

(Amount in Lacs)(Amount in Lacs)

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GROUP NET PROFIT

COMPANYCOMPANY 2008-092008-09 2009-102009-10 2010-112010-11

ProjectedProjected

Hindustan Steel

25.7025.70 29.9629.96 33.0033.00

Hindustan Sales

05.7605.76 03.43 05.00

Arshad Steel 16.8116.81 35.46 36.0036.00

Total 48.2748.27 68.8568.85 74.00

(Amount in Lacs)

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PROJECT PROJECT FINANCIALSFINANCIALS

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COST OF PROJECT

a) Land OWN

b) Building 100

c) Furniture , Tools & equipment for workshop 40

d) Fascia 10

e) Computer software 05

f) Office equipments, computer, A.C & other fixed assets 08

g) Demo Cars ( 2 Fiesta ,+1Endeavour + 3 Figo + 1Ikon) 45

h) Working Capital

  Stock of Vehicles 155

  Stock of spare parts & Accessories 10

  Other Expenses 05

I) Preliminary Exp. 05

  Total Project Cost 383

(Amount in Lacs)(Amount in Lacs)

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MEANS OF FINANCE

Own Capital 126

Term Loan 92

Loan from Bank 165

Total 383

(Amount in Lacs)(Amount in Lacs)

Debt/ Equity 1:3Debt/ Equity 1:3

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BANK SANCTION LETTER

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FORD PROMOTERS EQUITY RATIO

Ayyub B. Shaikh

( Prop. Arshad Steel )

51%

Tohid A. Shaikh

( Prop. Hindustan Steel )

15%

Shahid A. Shaikh

( Prop. Hindustan Sales )

15%

Arshad A. Shaikh 19%

Name of promotersName of promoters Equity%Equity%

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FORD SOURCE OF FUND IN VALUE

Ayyub B. Shaikh 64.26

Tohid A. Shaikh 18.90

Shahid A. Shaikh 18.90

Arshad A. Shaikh 23.94

Total 126.00

Name of promotersName of promoters In LacsIn Lacs

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NET- WORTH CERTIFICATE OF AYYUB B SHAIKH

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NET- WORTH CERTIFICATE OF TOHID A SHAIKH

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NET- WORTH CERTIFICATE OF SHAHID A SHAIKH

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NET- WORTH CERTIFICATE OF ARSHAD A SHAIKH

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SALES PROJECTIONS1st Year IKON 0

  Fiesta 36

New Fiesta 12

  Figo 180

  Endeavour 12

 Total 240

2nd Year IKON 0

  Fiesta 48

New Fiesta 24

  Figo 216

  Endeavour 12

 Total 300

3rd Year IKON 0

  Fiesta 60

New Fiesta 36

  Figo 240

  Endeavour 12

  Total 348

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PROJECTED STATEMENT OF PROJECTED STATEMENT OF PERFORMANCE & PROFITABILITY PERFORMANCE & PROFITABILITY

  1ST YR (10-11)2ND YR (11-12)

3RD YR (12-13)

Dealer margin from vehicle 39.60 51.00 60.90

Insurance income 02.88 03.60 04.17

Finance Income 02.88 03.60 04.17

Accessories income 02.73 04.32 05.01

Registration income 02.40 03.00 03.48

Gross profit vehicle 50.49 65.52 77..73

Gross profit on parts 07.40 10.00 11.60

Labor Gross 13.70 18.50 23.90

TOTAL OF INCOME 72.00 94.00 113.00

Incentives -- -- --

Total gross profit 72.00 94.00 113

Interest on Term loan 09.90 08.50 07.40

Salary & wages 20.72 21.76 22.85

Interest of cash credit 14.00 16.60 18.30

(Amount in(Amount in

Lacs)Lacs)

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  1ST YR (10-11) 2ND YR (11-12) 3RD YR (12-13)

Discount & promotion 07.20 09.00 10.40

Incentive & bonus. 02.07 02.18 02.28

Printing & Stationary 0.85 0.32

Legal, License &Prof. 0.45 0.45 0.45

Telephone Exp. 0.53 0.53 0.42

Office Exp. 0.25 0.28 0.25

Traveling & Conveyance exp. 0.45 0.43 0.43

Fuel & Drives 01.20 01.38 0.80

Other Administrative Exp.

Total cost RS. In lacs 13.00 14.60 15.03

(Amount in Lacs)(Amount in Lacs)

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  1ST YR (10-11)

2ND YR (11-12)

3RD YR (12-13)

Operating profit Rs. Lacs

04.80 21.70 36.90

Depreciation rs. lacs

19.00 19.00 19.00

PBT Rs lakhs -14.20 02.70 17.90

Income tax 33.66%

-- -- 06.19

PAT rs. Lakhs -14.20 02.70 11.71

(Amount in Lacs)(Amount in Lacs)

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CALCULATION OF BREAK CALCULATION OF BREAK EVEN POINT EVEN POINT

Net Receipts 21.70

Variable Cost 20.30

Misc. Admin Exp 15.81

Telephone exp 0.53

Discount & Promotion

Incentive & Bonus 02.18

Printing & Stationery 0.32

Legal, License& Professional 0.45

Traveling & Conveyance 0.45

Office Exp 0.28

Fuel & Drives 01.38

Total 21.70

Contribution

(Amount in Lacs)(Amount in Lacs)

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CALCULATION OF BREAK EVEN POINT CALCULATION OF BREAK EVEN POINT (2nd Year)(2nd Year)

Fixed Cost

Misc. Admn. Exp. 15.81

Interest expenses CC 16.60

Salaries 21.76

Discount & Promotion

Interest Expenses on Term Loan 08.50

Incentive & Bonus

Traveling & Conveyance

Depreciation 19.00

Telephone expenses 0.53

Office Expense 0.28

Total 82.47

Break Even Point

Fixed Cost/ Contribution

B.E.P in no. of Cars 300

B.E.P in no. of Months 15

(Amount in Lacs)(Amount in Lacs)

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OUR BANKERS

UNION BANK OF INDIA, MAIN BARACHKUMBHARI VES, SOLAPUR.

HINDUSTAN STEEL A\C. NO. 321605040050272

ACCOUNT (CCH) OF Rs. 350 lacs

ARSHAD STEEL A\C. NO. 321605040050267

ACCOUNT (CCH) OF Rs. 50 lacs

HINDUSTAN SAELS A\C. NO. 321601010036085

ACCOUNT (C.A)

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GROUP INITIATIVES IN GROUP INITIATIVES IN CUSTOMER SATISFACTIONCUSTOMER SATISFACTION

●Dealer Location●Expert sales and service staff. ●Customer Relationship ●Funding facilities through various financial agencies●CS Feedback Request●Opinions of Partners Reflected in Products and Services

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Depends on my past business track and financial strength is significant strength for the business. also my knowledge and skill which is obtain by technical education is supportive for the business, since from last 50 years we are doing various business in Solapur city. So we have good image in Solapur and Osmanabad,Beed,Parbhani,Nanded,Latur,Hingoli District. Market it will be beneficial for this business I had deal with various kind of man power it may be effective at the time of recruiting and managing the staff required for the business.

STRENGTH IN PMA

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PHOTOGRAPH OF PROPOSED SITE

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PLOT & FACILITY DETAILS

Particulars Dimension

Area 92400 sq.ft.

Frontage 30 mtrs.

Depth 55 mtrs

Showroom 4000-4500 sq.ft.

Workshop 8500-10000 sq. ft.

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COMPETITION, MARKET SALES VOLUME 1 Jan 2010 to 31 Dec 2010

Company A Segment B Segment C Segment D Segment B+ Segment Total

Maruti 600 672 228 Nil Nil 1500

Tata Nil 240 Nil Nil Nil 240

Hyundai Nil 408 84 Nil Nil 492

General Motors Nil 36 84 Nil Nil 120

Ford Nil 36 36 Nil Nil 72

Volkswagen Nil 48 Nil Nil Nil 48

Fiat Nil 24 24 Nil Nil 48

Skoda Nil 24 Nil 120 Nil 144

Toyota Nil Nil Nil 24 Nil 24

Honda Nil Nil 72 36 120 228

Total 600 1488 528 180 120 2916

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PRESENT ORGANISATION STRUCTURE

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PROPOSED ORGANIZATION STRUCTURE

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REASON FOR CONSIDERING US FOR FORD DEALERSHIP

● Strong Financial Background.

● Technical Knowledge

● Market Knowledge

● Market Goodwill

● Relation and Identity in High Society.

● Dealer (Owner) can pay 100% of attention.

● Skilled Man Power available.

● Aim and passion for Automobile industry.

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PLAN TO ACHIEVE TARGET

● Dealer Location

●Expert sales and service staff.

●Customer Relationship

●Funding facilities through various financial agencies

●CS Feedback Request

●Opinions of Partners Reflected in Products and Services

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TIME-PLANS TO START NEW TIME-PLANS TO START NEW DEALERSHIPDEALERSHIP

Particular Time (from LOI)

LOI 0 Days

Construction 210 Days

Finishing 240 Days

Inauguration 255 Days

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THANK YOUTHANK YOU