BUSINESS PLAN

(YELLOW TYRES)

Submitted in partial fulfilment of the requirements for the

Degree of Bachelor of

At

National University of Modern Languages

Islamabad, Pakistan

, 2020
 NATIONAL UNIVERSITY OF MODERN LANGUAGES
Faculty of Management Sciences

It is here by certified that the Business Plan has been thoroughly and carefully read and recommended to
the Faculty of Management Sciences for acceptance of Report By Session () Mor/Eve, in partial fulfilment of
the requirements for the degree of Bachelor of of National University of Modern Languages Islamabad .

Dated: 2020

Supervisor Name

Supervisor Signature

Panel Member Name

Panel Member Signature

Head of Department_______________________________

2
Table of Contents

1.0 Executive Summary.............................................................................................................4

1.1 Objectives............................................................................................................................4
1.2 Mission.................................................................................................................................4
2.0Keys to Success.....................................................................................................................4
3.0 Financial requirements.........................................................................................................4
4.0 Competitive advantage.........................................................................................................5
4.1 Tagline ...............................................................................................................................5
4.2 Values..............................................................................................................................5
5.0 Structure..........................................................................................................................5
5.1 Legal state of Business.........................................................................................................5
5.2 Products ..........................................................................................................................5
5.3 Services...............................................................................................................................5
6.0 Industry...............................................................................................................................6
6.1 Future Possibilities.............................................................................................................6
7.0 Marketing Plan ..................................................................................................................6
7.1 Target Market....................................................................................................................6
7.2 Competition.......................................................................................................................7
8.0 Channel Distribution..............................................................................................................7
8.1 Direct Channel...................................................................................................................7
9.0 Placement...........................................................................................................................7
9.1 Promotion.............................................................................................................................7
10.0 Booking Facility................................................................................................................8
10.1 Details of booking the order ...............................................................................................8
10.2 Head office ........................................................................................................................9
10.3 Fcebook and Instagram page.............................................................................................9
10.4 Calls and whatsapp...........................................................................................................9
11.0 Management Plan................................................................................................................9
12.0 Organization chart..........................................................................................................10
13.0 Description of managers..................................................................................................10
13.1 Finance manager............................................................................................................10
13.2 Operation manager.........................................................................................................11
13.3 Quality assurance manager..............................................................................................11
13.4 Marketing manager ...........................................................................................................11
13.5 Relationship manager......................................................................................................11
13.6 Other Employess............................................................................................................12
14.0 Financial management....................................................................................................12
14.1 Startup cost (Assumption).................................................................................................12
Table: Income statment..........................................................................................................12
Table: Balance sheet................................................................................................................13
Table Cash Flow......................................................................................................................14
Appendices.....................................................................................................................................................
1.0 Executive Summary
YELLOW TYRES is a mobile tire repair shop located in RAWALPINDI. This business plan will help
us to project sales, profits, personnel changes, balances, and the nature of our business. As a well-
established business our expansion will benefit us as much as it does the local community, with whom
we have created a loyal business.
1.1 Objectives
Yellow Tires will sell and repairs commercial automobile tires and small tractor tires. While these
services are very necessary, it will be very much to the benefit of our company for selling and repairing
large tractor tires for specialty vehicles. This includes mobilizing some components of Yellow tires
meaning that our representatives will need to be able to travel to nearby locations for on-site tire changes
and repairs. Because large tractor tires are difficult to transport, and the transportation of the vehicles is
even more difficult, mobility has the potential to be a vital asset that construction companies and large
farms will notice and appreciate.
1.2 Mission
Our mission is to represent both our store and ourselves. In doing so, we hope that every customer
remembers us as fair, diligent, and reliable.
2.0 Keys to Success
The Key to success for Yellow tires are:
Good services
The fair and honest treatment of the customer will be a fundamental component to the success of our
company.
We will provide services at economical price.
We treat every customer as they are only customer we serve.

3.0 Financial Requirement:

Yellow Tires will be started with 8.5lakh from which 50% will be provided by and rest of 50% will be
provided by. Our company start up cost includes legal fee, advertising fee, office rent, necessary office
equipment, inventory .The legal fee is 10,000 that will be used for the formation of company. The
advertisement fee is 50,000 that will be used for the marketing of company through social media,
banners, pamphlets and brochures etc.

4
4.0 Competitive Advantage:
In the tire work it is difficult to be a sustainable if you haven’t a unique competitive advantage. It is not
always easy to give all your services at home due to the hustle and bustle of everyday life., focus on tire
service save your extra cash because when we go outside, we pay not only for the work but also
includes the costs of running that business. So we provide our customers a best way to get their good
services in the minimum time and budget.

4.1 Tagline

“Yellow tires, comfort at your door step”

4.2 Values
Yellow tires will work very hard to have the strongest place in the tire service industry that is already
very competitive and will try to develop long term relationships with our customers to better understand
their needs and requirements.
5.0 Structure

5.1 Legal State of Business

As the business will be run by both and so the legal state of our company will be a Partnership Business
which will be registered under the Partnership.

5.2 Product/service Oriented

Yellow tires will sell and repair tires for costumer automobiles as well as for commercial vehicles, which
will especially benefit the owners of large commercial vehicles.

5.3 Service:

Our company will provide quick service to our customers the service time will be 24 hours.
6.0 Industry

6.1 Future Possibilities:

Industry is going to get considerable growth in future but in near future. In general opinion, when business
establishes they use high quality products to make their image in market. As their businesses grow then most
of them start using low quality. So it may be a possibility that businesses that will focus on quality along
with good service and economical prices may earn more profit.

7.0 Marketing Plan:

The Tires service intends to maintain an extensive marketing campaign that will ensure maximum
visibility for the business in its targeted market.

7.1 Target Market:

Yellow tires will target their clients in different categories.

● Malls and shopping centres

● offices

● Hostel students

They will approach us mostly from the advertising campaigns especially through brochures, pamphlets and
through social media pages. Our mainly target markets are Malls offices and Hostel students because they
all need services throughout the week so we can target them and serve them in a better way.

6
7.2 Competition (Competitor Analysis):

We have discussed our client base is predominantly hostel students, and public or private organizations
employee. We must look at the needs and demands of these markets and we promise the same great results,
every time.

Competitors Charges

(minimum)
Bright way tire services 400

Yellow tire services 250

8.0 Channel of Distribution

8.1 Direct Channel

We have direct channel of distribution in which we are directly giving services to our end costumers.

Yellow tire services Customer

9.0 Placement:
Yellow Tires will make its office at Harley Street Rwp near Rose Hall. Meanwhile we also will have the
official Face book and Instagram page, our clients can contact us from there. We will take order through
telephone call, WhatsApp, Facebook and through Instagram pages

9.1 Promotion:
Promotion will be done through brochures, pamphlets, social media and we will also use our standees in the
organizations for our publicity.
10.0 Booking Facility:

How can customer reach us?

We have following facilities through which our valuable customers can make way to place order:

1- By Visiting our Head Office.

2- Through Facebook and Instagram page

3- Through Calls and Whatsapp

10.1 Details of booking the order

In order to provide comfort and convenience to our clients, we have found few ways for booking of our
client’s orders so that the time of our customers could be saved.

10.2 Head office:

Customers can book their orders by directly visiting our office at Harley street. When customers will arrive
at our office then our Customer Relationship Manager will welcome them in the most pleased way and
he/she will provide them all the details and information regarding our products, prices, and booking.

10.3 Facebook and Instagram Page

Yellow tires will also launch its Facebook and Instagram page. These pages will be handled by our
Marketing Manager who will properly manage pages, will provide information about our products, offers
and promotions through animated and attractive posts and stories. Customers will be able to book their
orders by directly messaging on our pages.

10.4 Calls and Whatsapp

8
Customers will be able to book their orders by simply calling on our office number. Complete information
will be provided on call. Customers can also book their order by contacting on Whatsapp . Customers will
provide their name, complete address and phone number for booking purpose.

11.0 Management Plan:

Yellow tires top management includes and who will manage all strategic planning, marketing planning,
staffing, and accounting activities for building experience in the service industry.
 12.0 Organization Chart:

Yellow Tires mobile puncture shop

Operation Manager
Finance Manager

Quality Assurance Marketing Manager Relationship

Manager Manager

13.0 Description of Managers:

Yellow tires is very much concerned with allowing delegation to the employees to let them to
grow, to carry out their creative ideas and sharpen their skills and abilities that will eventually
benefit the organization as a whole. The role of each manager is described below.
13.1 Finance Manager:

Finance Manager will be responsible to distribute the financial resources of the company. He
will be responsible for checking whether payments are made on time to the suppliers of the
company and mean while responsible for managing organization’s revenues and overall cost
spend on the services.

13.2 Operations manager:

Operations manager is the one who will look into the operations that every process is going
smoothly or if any change is needed he should be responsible for it. He will be responsible
to make sure all of the material should be received on time and should reach to destination
on scheduled time.

13.3 Quality Assurance manager:

Quality Assurance manager will be responsible for inspecting the services to make sure that it
has been made to compliance legal standards and also meets the customer expectations.

13.4 Marketing Manager:

Marketing Manager will see the promotions, advertisement and publicity areas, by identifying
the existing needs of customers and to make sure that our services should be totally in
accordance with what customer really needs. They will be responsible to develop marketing
strategies.

13.5 Relationship Manager:

The main function of relationship manager is to keep in touch with the service provider along
with that they are also responsible for having good relations with clients too.
13.6 Other Employees:

Yellow tires will hire two experienced and talented mechanic who will be responsible for
services.

Yellow tires will hire two drivers in order to make efficient supply of services.

Team Yellow Tires basically comprises of nine persons including the top management working
hard to make Yellow Tire successful puncture business.

14.0 Financial Management:

14.1 StartUp Cost: Assumptions

We have assumed that we will have 115 customers from which 70 will be

Office employees, and remaining 45 will be hostel students and other.

We will charge depreciation of our fixed assets for five years with straight line method
with a depreciation rate of 20% per year.

Yellow Tires

Start U p Cost
Cash in Hand 50,000
Legal Documentation Fee 10,000
VAN 540,000
Advertisement 50,000
Furniture 40,000
Office Decoration 20,000
Computer System 40,000
Office Rent 100,000
Total Start Up Cost 850,000
Income Statement:

Yellow tires

Projected Income Statement

Sales 6,210,000
COGS 2,298,618
Gross Profit 3,911,382
Less: Operating Expenses
Salaries 1,140,000
Utilities 100,000
Rent 1,200,000
Marketing Expenses 100,000
Depreciation Expenses
36,553
Total Operating Expenses
Net Income 2,576,553
1,334,829

Balance Sheet:

Yellow tires

Projected Balance Sheet

Assets Rs
Current Assets
Cash 1,691,381
Inventory 191,551
Accounts Receivable 0
Total Current Assets 1,882,932
Fixed Assets
Furniture 40,000
Computers 40,000
Less: Accumulated Depreciation (36,553)
Total Fixed Assets 43447
Total Assets 1,926,379
Liabilities & Owners Equity Rs
Current Liabilities
Accounts Payable 0
Total Current Liabilities 0
Owner's Equity
425000
425000
Retained Earnings 1,334,829
Total Liabilities & Owner's Equity 2,184,829

Cash Flow:

Yellow tires

Projected Cash Flow Statement

Cash Received From Customers 6,210,000

Less: Payment for Operating Expenses (2,576,553)

Less: Payment to Supplies (2,298,618)

Net Cash Flows from Operating
Activities 1,334,829

Cash Flow From Financing Activities

Capital

425000

425000
Net Cash Flows From Financing
Activities 850000

Net Cash Flows 1,882,932

Appendices
Company Banners:

Company Logo

Resume of Key Employees: