Are you about starting a limo rental company? If YES, here is a complete sample limousine service business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a limo rental business. We also took it further by analyzing and drafting a sample limousine service marketing plan template backed up by actionable guerrilla marketing ideas for limousine service businesses. So let’s proceed to the business planning section.
Why Start a Limousine Service Business?
Starting a limousine services company is one sure way to create extra source of income. It is a business that is considered capital intensive, and a business that may not guarantee you to breakeven within a short period of time, but it is indeed a business that you can be rest assured will continue to fetch you steady income. Just ensure that proper business structure and publicity for the business is put in place.
When it comes to advertising your limousine services company, there shouldn’t be any limit to how far you can go. You could start with handbills and distribute them in cooperate organizations and public places where you can locate celebrities. If you have cash you can place advert spots on Newspapers, TV and Radio, and if you don’t have enough cash you can start with the worldwide web. As a matter of fact the internet has become one of the cheapest and most potent advertising platforms.
So if you have decided to start a limousine services company, then you should ensure that you carry out feasibility studies and also market survey. This will enable you to hit the ground running. Business plan is yet another very important business document to you should not take for granted in the bid to launching your own business.
Below is a sample limousine services company business plan template that can help you to successfully write your own with little or no stress.
A Sample Limousine Service Business Plan Template
- Industry Overview
Limousine and town car services companies basically engaged in providing an array of specialty and luxury passenger transportation services via limousine or other luxury sedans, usually on a reserved basis.
A report recently released by IBSWORLD indicated that the Limousine and Town Car Services industry has shifted up a gear as the economy continues to recover from the worst recession in nearly a century. The report further stated that the industry has been helped by growing per capita disposable income and rising consumer confidence; leading many consumers to, once again, spend on luxury car services rather than less expensive alternatives, such as taxis.
They projected that in the coming years, the industry is set to expand as improved demand will give operators a chance to upgrade their services to seek higher profit margins.
The Limousine and Town Car Services industry has experienced remarkable growth of the years in the United States. The growth of the US economy has indeed directly benefited the industry as business expense accounts have grown and clients have been more willing to spend on small luxuries such as taxi and limousine rides. In addition, increased demand from corporate travelers, tourists and private households is expected to result in steady growth for this industry.
The Limousine and Town Car Services industry is indeed a very thriving industry in most countries of the world. It is a major sector of the economy of the United States and it generates a whooping sum of well over $11 billion annually from more than 190,832 registered and licensed limousine and town car services companies scattered all around the United States of America.
The industry is responsible for the employment of well over 239,153 people (professional drivers and administrative staff members). Experts project the industry to grow at a 4.1 percent annual rate. There is no establishment in this industry that has a dominant market share in the United States.
Entrepreneurs who are considering entering the Limousine and Town Car Services industry face moderate entry barriers. The revenue generated by establishments in this industry depends largely on consumer and corporate spending levels, so potential entrants must be able to handle extended periods of low growth if consumer and corporate confidence in the economy falls.
Even though the labor and property resources needed to enter this industry are by no means scarce, start-up costs ranges from moderate to high. This is due to the fact that most operators are small and as a result not able to achieve significant economies of scale.
Over and above, limousine and town car services businesses in most parts of the world are still enjoying good patronage particularly if they have professional drivers, good customer care services and if they are well positioned and if they know how to reach out to their target market (celebrities, wedding and event planners, film markets, music videos producers, corporate organizations, hotels, travels and tours companies, government and household et al).
Limousine Service Business Plan – Executive Summary
Comfy Limousine Services®, Inc. is a standard, licensed and registered Limousine Services Company that will based in Los Angeles California – United States of America and we will have active presence in other cities in California such as San Diego, San Jose, San Francisco, Fresno, Long Beach, Sacramento, Oakland, Santa Ana, and Anaheim et al.
We chose to operate in these cities because we know that our services will be in high demand due to the demographic composition these cities. We are well trained and equipped with some of the finest professional drivers (Chauffeurs) and comfortable luxury cars to service our clients irrespective of their social and financial status.
We will be involved in providing stretch limousine services, providing luxury sedan services, providing chauffeur and personal driver services, providing corporate sedan services and providing automobile rental with a driver amongst other related services.
Although our intention of starting Comfy Limousine Services®, Inc. is to offer only the above stated services, but we will not close our doors to diversification (additional services) as long as it does not affect our core services.
At Comfy Limousine Services®, Inc. we are passionate in the pursuit of excellence and financial success with uncompromising services and integrity which is why we have decided to start our own limousine service business; we are in the industry to make a positive mark.
We are quite optimistic that our values and quality of service offering will help us drive Comfy Limousine Services®, Inc. to enviable heights and also help us attract the numbers of clients that will make the business highly profitable. We are a company that will be dedicated to establishing good business relationship with our clients giving them value for their money and reasons for them to hire our services over and over again.
We are quite aware that in order to become the number one choice in our city, we must continue to deliver quality and highly reliable services and that is exactly what we will do. We are open to the use of latest technology in the limousine services line of business. No doubt our excellent customer service will position us to always welcome repeated customers and handle massive deals from both government agencies, and corporate organizations.
Our client’s best interest will always come first, and everything we do will be guided by our values and professional ethics. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our clients.
Comfy Limousine Services®, Inc. is owned and managed by Kingston Jordan and his immediate family members. Kingston Jordan graduated from University of California Los Angeles with a degree in Business Administration and he has over 5 years of experience managing similar business for some of the major players in the industry.
- Our Service Offerings
Comfy Limousine Services®, Inc. is a standard and well – equipped limousine and town car services company that is positioned to make profit and favorable compete with leaders in the industry and we are going to do all that is permitted by the law of the United States of America to achieve our business aims and ambition. Our services offering are listed below;
- Providing limousine services
- Providing luxury sedan services
- Providing chauffeur and personal driver services
- Providing corporate sedan services
- Providing automobile rental with a driver
Our Vision Statement
Our vision is to become the number one limousine and town car Services Company in the whole of Los Angeles with active presence in key cities all around the State of California.
- Our Mission Statement
Our mission as a standard limousine and town car services company is to develop a highly successful, profitable business which provides quality luxury transportation services in our city and to become a standard for an ideal limousine and town car services business not only in the State of California but also throughout the United States of America and Canada where we intend launching our business and selling our franchise.
- Our Business Structure
We are well informed that the success of any business lies in the foundation on which the business is built on, which is why we have decided to build our limousine and town car services company on the right business foundation and structure.
As a matter of fact, we are set out to build a limousine and town car services company that will be a standard for an ideal limousine and town car services industry in the United States of America and Canada. We want to build a business of dedicated workforce who will go all the way to ensure that our customers are satisfied and they get value for their money.
In other to achieve this, we aware that it takes a business with the right employees and structure to achieve all what we have set to achieve, which is why we will be putting structures and processes in place that will help us deliver excellent services and run the business on auto pilot. The success of our limousine and town car services company will be anchored on the team not on any individual – drivers and back office staff members inclusive.
With the wide range of our service offerings, we are only expected to employ more than it is required to run a conventional limousine and town car services business. Definitely, we will have various employees (full – time and contract staff) to occupy the various services offering of Comfy Limousine Services®, Inc.
Comfy Limousine Services®, Inc. will employ professionals and highly skilled people to occupy the following position;
- Chief Executive Officer
- IT Specialist
- Admin and HR Manager
- Marketing and Sales Executive
- Professional Drivers (Chauffeurs)
- Customer Care Executive / Front Desk Officer
Roles and Responsibilities
Chief Executive Office:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Responsible for installation, repair and maintenance of GPS car tracking device for the organization
- Responsible for writing and presenting reports, proposals, applications and contracts
- In charge of choosing the GPS car tracker components and software to be used and specifying the requirements for the project
- Adapts plans according to circumstances and resolving any problems that may arise during GPS car tracker installation and monitoring
- Monitors all our limousines and luxury cars when in operations
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Designs job descriptions with KPI to drive performance management for clients
- Regularly hold meetings with key stakeholders to review the effectiveness of HR Policies, Procedures and Processes
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Defines job positions for recruitment and managing interviewing process
- Carries out staff induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
- Oversee the smooth running of the daily office activities.
Marketing and Sales Executive
- Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of relevant projects.
- Writing winning proposal documents, negotiate fees and rates in line with company policy
- Responsible for handling business research, marker surveys and feasibility studies for clients
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Develop, execute and evaluate new plans for expanding increase sales
- Document all customer contact and information
- Represent the company in strategic meetings
- Help increase sales and growth for the company
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- create reports from the information concerning the financial transactions recorded by the bookkeeper
- Prepares the income statement and balance sheet using the trial balance and ledgers prepared by the bookkeeper.
- Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for one or more properties.
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for the company
- Serves as internal auditor for the company
Professional Drivers (Chauffeurs)
- Serves as a professional driver for the organization by driving sedan and limousine et al as assigned by the management
- Maintains a logbook of their driving activities to ensure compliance with federal regulations governing the rest and work periods for operators.
- Keeps a record of vehicle inspections and make sure the cab is equipped with safety equipment
- Inspects vehicles for mechanical items and safety issues and perform preventative maintenance
- Complies with taxi driving rules and regulations as well as with company policies and procedures
- Reports defects, accidents or violations
Client Service Executive / Front Desk Officer
- Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the manager in an effective and timely manner
- Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients
- Receives parcels / documents for the company
- Distributes mails in the organization
- Handles any other duties as assigned my the line manager
Limousine Service Business Plan – SWOT Analysis
Limousine and town car services business is one of the many businesses that can easily generate sales with little stress as long as they are well positioned and equipped to carry out their services. We are building a standard limousine and town car services business with the plans to sell our franchise all across the United States of America and Canada which is why we have decided to subject our business idea (company) to SWOT Analysis.
Ordinarily we can successfully run a normal limousine and town car services business without the stress of going through the required protocol of setting up a new business including writing a detailed business plan, but because of the fact that we intend becoming of the leaders in this line of business we want to establish, we don’t have any option other than to follow due process.
We hired the services of Dr. Peter Snowball an HR and Business consultant with bias in startups to help us conduct SWOT analysis for our company and he did a pretty job for us. Here is a preview of the result we got from the SWOT analysis that was conducted on behalf of Comfy Limousine Services®, Inc.;
The strategic locations we intend covering, the business model we will be operating on, ease of payment, wide range of highly reliable and comfortable cars, limousines and SUVs, highly trained and courteous chauffeurs and of course our excellent customer service culture will definitely count as a strong strength for Comfy Limousine Services®, Inc.
So also we have a well – experienced and qualified team that can go all the way to give our clients value for their money; a team that are trained and equipped to pay attention to details.
A major weakness that may count against us is the fact that we are a new limousine and town car services company and we don’t have the financial capacity for now to compete with multi – million dollars limousine and town car services companies that are already influencing the direction of the industry especially in a city like Los Angeles that can boast of accommodating the highest numbers of celebrities in the world.
The fact that we are launching out in Los Angeles, city that is home to entertainment hubs such as Disneyland, and Universal Studios Hollywood et al, provides us with unlimited opportunities to market our services to a large number of celebrities, corporate organizations, travel and tours agencies, hotels, government organizations and households et al.
We have been able to conduct thorough feasibility studies and market survey and we know what our potential clients will be looking for when they patronize our services; we are well positioned to take on the opportunities that will come our way.
Just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing / spending power especially for luxury services like limousine services.
Another threat that may likely confront us is the arrival of a new taxi limousine and town car services company with same locations where we operate. Government policies can also pose a major threat to businesses such as ours.
Limousine Service Business Plan – MARKET ANALYSIS
- Market Trends
The market for luxury services such as limousine services is driven by the growth in the economy and the increase in consumers’ spending – in essence, as the general economy of a country grows, more people will have enough financial resources to patronize luxury services such as hiring limousines and other luxury car as against making use of public buses, and trains et al.
Besides, revenue generated by limousine services company is driven by business and leisure travel. No doubt, the profitability of operators in this industry depends on good marketing and networking. As a matter of fact, small limousine and town car services companies can effectively compete with large ones because there are few economies of scale in this line of business.
Research shows that the limousine and town car services industry in the US is fragmented: the top 50 companies account for less than 35 percent of the total revenue generated in the industry.
Lastly, technology has indeed played a major role in this industry; especially in cutting cost and enforcing safety and monitoring measure. GPS car tracking device readily comes to mind. There is hardly any limousine and town car services company that does not have GOS car tracker installed on all their cars. It helps them in monitoring their fleets and also in planning and budgeting et al.
- Our Target Market
Before choosing a location to launch our limousine and town car services company, we conducted our feasibility studies and market survey and we were able to identify those who will benefit greatly from our service offerings. Basically those who will benefit from our service offering are celebrities, households, corporate organizations, travels and tours agencies, hotels and government agencies.
Below is a list of the people and organizations that our limousine and town car service is designed for;
- Celebrities and public figures
- Movie / Film Producers
- Musical Videos Producers
- Even planners (limousine rental services for wedding and social functions)
- Travels and Tours Agencies
- The public sector; government ministries, agencies (for conveying VIPS)
- Organized private sector
- Corporate Executives
- Business People
Our Competitive Advantage
Limousine services business has low level entry barrier hence it is an easy to set up business especially if you have the finance to acquire limousines and other luxurious cars and the ability to run and manage a business. It means that the possibility of limousine and town car services business springing up in the location where our company is located is high.
We are aware of this that is why we decided to come up with a business concept that will position us to become the leader in Los Angeles – California. Our competitive edge is that we are a standard and well equipped limousine and town car services company that is positioned to handle both corporate clients and individual clients.
We can confidently say that the strategic locations we intend covering, the business model we will be operating on, ease of payment, wide range of highly reliable and comfortable cars, limousines and SUVs, highly trained and courteous chauffeurs and of course our excellent customer service culture will definitely serve as competitive advantage for Comfy Limousine Services®, Inc.
So also, we have a well – experienced and qualified team that can go all the way to give our clients value for their money; a team that are trained and equipped to pay attention to details.
For the time being, Comfy Limousine Services®, Inc. has no real competitors that can match compete with the quality of services we offer and our business offerings et al. Our customer service will be customized to meet the needs of all our customers.
Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category (startups limousine and town car services businesses in the United States) in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.
Limousine Service Business Plan – SALES AND MARKETING STRATEGY
- Marketing Strategy and Sales Strategy
The marketing strategy for Comfy Limousine Services®, Inc. is going to be driven basically by excellent customer service, honesty and quality service delivery. We will ensure that we build a loyal customer base. We want to drive sales via the output of our jobs and via referral from our satisfied customers. We are quite aware of how satisfied customers drive business growth especially businesses like limousine and town car rental services.
Comfy Limousine Services®, Inc. is a business that is strategically located and we are going to maximize the opportunities that is available which is why we spend more to locate the business in a location that will be visible and enable us to access our target market.
Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of Comfy Limousine Services®, Inc.
Our goal is to grow Comfy Limousine Services®, Inc. to become the leading limousine rental and town car services company in Los Angeles – California which is why we have mapped out strategy that will help us take advantage of the available market and grow to become a major force to reckon with in the Limousine rental and Town Car Services industry.
Comfy Limousine Services®, Inc. is set to make use of the following marketing and sales strategies to attract clients;
- Introduce our limousine rental and town car services business by sending introductory letters alongside our brochure to corporate organizations, travels and tours agencies, hotels, event planners, households and key stake holders in all across Los Angeles, San Diego, San Jose, San Francisco, Fresno, Long Beach, Sacramento, Oakland, Santa Ana, and Anaheim et al.
- Print out fliers and business cards and strategically drop them in offices, car parks, libraries, public facilities and train stations et al.
- Use friends and family to spread word about our business
- Post information about our company and the services we offer on bulletin boards in places like car parks, schools, libraries, and local coffee shops et al
- Placing a small or classified advertisement in the newspaper, or local publication about our company and the services we offer
- Leverage on referral networks such as agencies that will attract clients who would need our customized services
- Advertise our limousine rental and town car services company in relevant magazines, newspapers, TV stations, and radio station.
- Attend relevant automobile expos, seminars, and business fairs et al to market our services
- Engage in direct marketing approach
- Encourage the use of word of mouth marketing from loyal and satisfied clients
- Join local chambers of commerce and industry to market our services.
Sources of Income
Comfy Limousine Services®, Inc. is established with the aim of maximizing profits in the limousine rental and town car services industry and we are going to go all the way out to ensure that we do all it takes to attract both individual clients and corporate clients on a regular basis.
We will ensure that we leverage on our strength and the opportunities available to us in the U.S. market to generate enough income that will help us drive the business to stability. We will go all the way to explore every available sources of income in the Limousine rental and Town Car services industry.
Below are the sources we intend exploring to generate income for Comfy Limousine Services®, Inc.;
- Providing limousine services
- Providing luxury sedan services
- Providing chauffeur and personal driver services
- Providing corporate sedan services
- Providing automobile rental with a driver
One thing is certain, there would always be celebrities, corporate organizations and individual clients who would need the services of limousine rental and town car services companies.
We are well positioned to take on the available market in Los Angeles and other key cities in California and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow our limousine rental and town car services business and our clientele base.
We have been able to critically examine the limousine rental and town car services market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to similar startups in Los Angeles – California.
Below are the sales projections for Comfy Limousine Services®, Inc. it is based on the location of our business and of course the wide range of related services that we will be offering;
- First Fiscal Year-: $240,000
- Second Fiscal Year-: $450,000
- Third Fiscal Year-: $950,000
N.B: This projection is done based on what is obtainable in the limousine rental and town car services industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same additional services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
- Our Pricing Strategy
Our pricing system is going to be based on what is obtainable in the limousine rental and town car services line of business, we don’t intend to charge more (except for premium and customized services) and we don’t intend to charge less than our competitors are offering in the United States of America.
Be that as it may, we have put plans in place to offer discount services once in a while and also to reward our loyal customers especially when they refer clients to us or when they pay in advance for upward of 3 months. The prices of our services will be same as what is obtainable in the open market and it will be based on miles covered and time.
- Payment Options
The payment policy adopted by Comfy Limousine Services®, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Comfy Limousine Services®, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards / Point of Sale Machines (POS Machines)
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our client make payment for farm produces purchase without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for our services.
Limousine Service Business Plan – Publicity and Advertising Strategy
Comfy Limousine Services®, Inc. is set to establish a standard for Limousine rental and Town Car services business in Los Angeles and throughout the United States which is why we will go all the way to adopt and apply best practices to promote our business.
Good enough there is no hard and fast rule on how to advertise or promote a limousine rental and town car services business. The challenge is that most small and startups limousine rental and town car services companies do not have the required money to pump into publicity and advertising. The cash they have will be reserved to take care of overhead and operational cost.
We will ensure that we leverage on all conventional and non – conventional publicity and advertising technique to promote our limousine rental and town services business. Here are the platforms we intend leveraging on to promote and advertise Comfy Limousine Services®, Inc.;
- Encourage our loyal customers to help us use Word of Mouth mode of advertisement (referrals)
- Advertise our business in relevant magazines, local newspaper, local TV stations and local radio station
- Promote our business online via our official website
- List our business on local directories (yellow pages)
- Sponsor relevant community programs
- Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, et al to promote our brand
- Install our Bill Boards on strategic locations in and around Los Angeles
- Direct coupon mailing approach
- Engage in road show from time to time in target communities in and around California
- Distribute our fliers and handbills in target areas in and around Los Angeles
- Advertise our business in our official website and employ strategies that will help us pull traffic to the site.
- Ensure that all our staff members and drivers wear our branded shirts and all our cars are well branded with our company logo et al.
Start – Up Expenditure (Budget)
In setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.
This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business.
The tools and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked. As for the detailed cost analysis for starting a limousine rental and town car services business; it might differ in other countries due to the value of their money.
However, this is what it would cost us to set up Comfy Limousine Services®, Inc. in the United of America;
- The Total Fee for Registering the Business in the United States of America – $750.
- Legal expenses for obtaining licenses and permits – $1,500.
- Marketing promotion expenses (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
- Cost for hiring Business Consultant – $2,000.
- Insurance (general liability, car insurance, workers’ compensation and property casualty) coverage at a total premium – $30,800.
- The cost of accounting software, CRM software and Payroll Software – $3,000
- The cost for leasing standard office facility with enough parking- $100,000.
- The cost for facility remodeling – $10,000.
- Other start-up expenses including stationery – $1000
- Amount needed for phone and utility deposits – $3,500
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $40,000
- The cost for Start-up inventory (fueling, car tracking devices and accessories) – $50,000
- The total cost for office equipment (cash register, security, ventilation, signage) – $13,750
- The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Credit card machine, POS, tables and chairs et al): $4,000.
- The cost of Launching a Website: $600
- The total cost for financing the acquisition of the first set of limousines and other luxury cars – $500,000
- The cost for our grand opening party: $15,000
- Miscellaneous: $10,000
Going by the report from detailed research and feasibility studies conducted, we will need an average of $750,000 to start a small scale but standard limousine rental and town car services business in the United States of America.
Generating Funds / Startup Capital for Comfy Limousine Services Inc.
Comfy Limousine Services®, Inc. is a business that will be owned and managed by Kingston Jordan and his immediate family members. They are the sole financial of the business which is why they decided to restrict the sourcing of the start – up capital for the business to just three major sources.
These are the areas we intend generating our start – up capital;
- Generate part of the start – up capital from personal savings and sale of his stocks
- Generate part of the start – up capital from friends and other extended family members
- Generate a larger chunk of the startup capital from the bank (loan facility).
N.B: We have been able to generate about $200,000 (Personal savings $150,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $550,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.
Limousine Service Business Plan – Sustainability and Expansion Strategy
The future of a business lies in the numbers of loyal customers that they have and the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.
One of our major goals of starting Comfy Limousine Services®, Inc. is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to offer our services a little bit cheaper than what is obtainable in the open market in the United States of America. We are well prepared to survive on a low level profits margin for a short period of time.
Comfy Limousine Services®, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of ten years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
Check List / Milestone
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Acquiring facility with enough parking lots and remodeling the facility: In Progress
- Acquiring of luxury cars and limousines: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the Needed pressure washing machines and industrial cleaning equipment, electronic appliances, office appliances and bar accessories: In progress
- Creating Official Website for the Company: Completed
- Creating Awareness for the business both online and in the neighborhood: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party / launching party planning: In Progress
- Establishing business relationship with key stakeholders in the industry (event planners, wedding planners, music video producers, film makers and travels and tours agencies et al): In Progress.