Vehicle Customization & Modification Business Plan 9953333071 Nitin Gupta
Vehicle Customization & Modification Business Plan 9953333071 Nitin Gupta
Vehicle Customization & Modification Business Plan 9953333071 Nitin Gupta
9953333071
Nitin Gupta
Are you about starting a car modification company? If YES, here is a complete sample car
customization business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a car customization company. We
also took it further by analyzing and drafting a sample car modification marketing plan template
backed up by actionable guerrilla marketing ideas for car customization companies. So let’s
proceed to the business planning section.
A car customization and modification business could be a fun and profitable business for
someone who is interested in the automobile industry. With the right location, top-notch services
and good marketing, you can serve several customers that require the interior and exterior of
their automobiles to be customized to fit into their style or the brand they represent.
Please note that starting a car customization and modification business also needs a significant
investment capital, solid planning and concentration to detail in order to keep your business
profitable.
So, if you have decided to start a car customization and modification business, then you should
ensure that you carry out thorough feasibility studies and also market survey. Business plan is yet
another very important business document that you should not take for granted when launching
your own business.
Below is a sample car customization and modification business plan template that can help you
to successfully write your own with little or no difficulty.
In the United States of America and even all over the world, the car customization and
modification line of business accommodates highly skilled auto mechanics who have what it
takes to give their customers far beyond what they are expecting; it is indeed a highly creative
industry.
Car customization and modification garages engage in customizing and modifying cars by
altering some parts or the whole car to improve its performance, often they alter or replace the
engine and transmission and also they work on the body and sound system.
A customized car may be a personal “styling” statement, making the car look unlike any car
delivered from the factory. A car customization and modification engineer may adopt the visual
and performance characteristics of some relevant modification styles, and combine these as
requested by the client.
The car customization and modification business is indeed a growing and profitable business.
Statistics has it that household customers account for the largest share of car customization and
modification revenue at approximately 76 percent.
Car customization and modification household customers are broadly defined as consumers that
have a driver’s license, own a car, and are older than 16 years of age. This demographic is
further segmented by income brackets, with households in the highest division representing the
greatest demand for car customization and modification services.
Business customers contribute 22% of industry revenue. Revenue from this segment is largely
derived from celebrity managers. Slower economic activity during the recession led to fewer
businesses using vehicles to conduct shows, however a resumption of economic growth since
2010, has seen this segment strengthen. Government customers comprise approximately 2% of
the car customization and modification revenue. This segment includes federal, state, and local
government organizations.
The car customization and modification line of business will continue to experience growth in all
parts of the world especially in developed countries such as United States of America, Canada,
United Kingdom, Germany, Australia and Italy et al. As a matter of fact, there are no companies
with a leading market share in the industry.
Statistics has it that in the United States of America alone, there are about 61,332 licensed and
registered car customization and modification businesses responsible for employing about
194,594 employees and the industry rakes in a whooping sum of $9bn annually with an annual
growth rate projected at 2.7 percent.
Over and above, car customization and modification businesses all over the world are still
enjoying good patronage particularly if they are well positioned and if they know how to reach
out to their target market.
Jolly Bosco® Car Customization & Modification Garage, LLC is a registered car customization
and modification company that will be located in Fort Lauderdale, Florida – United States of
America and we plan to also cover other cities such as Green – acres City, Miami, Jacksonville,
Clearwater, Tampa, Miami Beach, North Miami, West Palm Beach, Palm Harbor, Deltona,
Orlando, Palm Bay and Panama City et al.
We chose to operate in these cities because we know that our car customization and modification
services will be in high demand due to the growing number of automobile owners in these cities.
Jolly Bosco® Car Customization & Modification Garage, LLC is located in a full-service
automobile garage. We will offer standard car customization and modification services that
produce a pristine level of detail; it involves cleaning and restoring the surface of the car’s finish,
chrome trim, windows, wheels, and tires, as well as other visible components on the exterior and
of course interior of a vehicle.
We are well trained and equipped to service the market segments that require car customization
and modification services for their automobiles. Although our intention of starting a Jolly
Bosco® Car Customization & Modification Garage, LLC 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.
We will offer both in-station and off station services. Our customers will have the option of
choosing from our different packages – we have the plans to serve both individual clients
(households) and corporate clients (celebrities), which is why we designed various packages.
At Jolly Bosco® Car Customization & Modification Garage, LLC 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 car customization and modification business; we are in the
industry to make a positive mark.
We are quite optimistic that our values and quality service offering will help us drive our car
customization and modification business to enviable heights and also help us attract the number
of clients that will make the business highly profitable. We will be dedicated to establishing good
business relationship with our clients while 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 services and that is exactly what we will do. We are open to the use of latest
technology in the car customization and modification line of business. Our excellent customer
service will position us to always welcome repeated customers and handle massive deals from
both branding agencies and managers of celebrities.
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.
Jolly Bosco® Car Customization & Modification Garage, LLC is owned and managed by Jolly
Bosco and his immediate family members. He is a notable figure in the automobile industry in
Florida. Aside from this new car customization and modification business, the family owns an
automobile dealership business and also auto repair workshop in Florida.
Our Vision is to become the number one car customization and modification company in the
whole of Florida with active presence in major cities in the United States of America and
Canada.
Our mission as a car customization and modification company is to develop a highly successful,
profitable, all – round car customization and modification business which provides quality
services in our community and to become the standard for an ideal car customization and
modification business not only in the State of Florida but also throughout the United States of
America.
We are quite aware 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 car customization and modification
company on the right business foundation.
As a matter of fact, we are set to build a car customization and modification business that will be
a standard for the car customization and modification line of business 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.
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 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 car
customization and modification business will be anchored on the team not on any individual.
With the wide range of our service offerings, we are expected to employ more than is required to
run a conventional car customization and modification business. Jolly Bosco® Car
Customization & Modification Garage, LLC will employ professionals and skilled people to
occupy the following position;
Manager (Owner)
Accountant/Cashier
Marketing and Sales Executive
Client Service Executive
Car Customization and Modification Mechanic
Roles and Responsibilities
Manager (Owner):
Identifies, prioritizes, and reaches out to new clients, 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
projects.
Writes winning proposal documents, negotiate fees and rates in line with organizations’
policy
Responsible for handling business research, market surveys and feasibility studies for
clients
Responsible for supervising implementation, advocate for the customer’s needs, and
communicate with clients
Develops, executes and evaluates new plans for expanding sales
Documents all customer contact and information
Represents Jolly Bosco® Car Customization & Modification Garage, LLC in strategic
meetings
Helps increase sales and growth for Jolly Bosco® Car Customization & Modification
Garage, LLC.
Accountant/Cashier
Responsible for preparing financial reports, budgets, and financial statements for the
organization
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 the
organization
Responsible for developing and managing financial systems and policies
Responsible for administering payrolls
Ensuring compliance with taxation legislation
Handles all financial transactions for Jolly Bosco® Car Customization & Modification
Garage, LLC.
Serves as internal auditor for Jolly Bosco® Car Customization & Modification Garage,
LLC
Welcomes clients and visitors 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 organizations’ products and,
promotional campaigns etc. to ensure accurate and helpful information is supplied to
clients when they make enquiries
Receives visitors/clients on behalf of the organization
Receives parcels/documents for the company
Handles enquiries via e-mail and phone calls for the organization
Distributes mails in the organization
Handles any other duties as assigned by the line manager
Car customization and modification 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 car customization and modification business with variety of
services which is why we have decided to subject our business idea to SWOT Analysis.
Ordinarily we can successfully run a normal car customization and modification business
without the stress of writing a business plan, but because of the nature of the kind of car
customization and modification business we want to establish, we don’t have any option other
than to follow due process.
We hired the services of Mr. Levi Kastrup, a 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 Jolly
Bosco® Car Customization & Modification Garage, LLC;
Strength:
Jolly Bosco® Car Customization & Modification Garage, LLC is centrally located in a densely
populated industrial and residential estate in Fort Lauderdale, Florida; our location is in fact one
of our major strengths. We have state of the art equipment and tools and we are also one of the
very few car customization and modification companies in the whole of Fort Lauderdale –
Florida that offers a wide range of services for both Japanese and American cars.
Another strength that counts for us is the power of our team; our workforce and management.
We have a team of experts in the car customization and modification line of business, a team of
hardworking, highly creative and dedicated individuals.
Weakness:
Jolly Bosco® Car Customization & Modification Garage, LLC is a new business which is owned
by an individual, and we may not have the financial muscle to sustain the kind of publicity we
want to give our business. As a new business, we are aware that it will take time for us to build
trust with our clients.
Opportunities:
We are centrally located in one of the busiest areas in Fort Lauderdale, Florida and we are open
to all the available opportunities that the city has to offer. Our business concept also positioned
us to be a one stop shop in the car customization and modification line of business.
The truth is that there are no standard and well – equipped car customization and modification
garage within the area where ours is going to be located; the closest car customization and
modification company to our proposed location is about 6 miles away. In a nutshell, we do not
have any direct competition within our target market area.
Threat:
Some of the threats that are likely going to confront Jolly Bosco® Car Customization &
Modification Garage, LLC are unfavorable government policies, seasonal fluctuations,
demographic/social factors, downturn in the economy which is likely going to affect consumers
spending and of course emergence of new competitors within the same location where ours is
located.
Market Trends
The market for car customization and modification services is driven by the purchase of cars and
the increase in consumer spending – in essence, as the general economy of a country grows,
more people will buy cars and more people will patronize the services of car customization and
modification businesses especially if their driving habits encourage them to do so.
In the recent past, many cars were modified by adding extra carburetors, high compression
heads, and dual exhaust. Engine swaps were often done, the object of which was to put the most
powerful engine in the lightest possible frame and body combination.
Car customization and modification businesses respond to the increase in household spending
and also increase in the volume of cars in a particular area or city. The trend of the market can be
predicted without stress.
The trend in the car customization and modification line of business is that most companies in a
bid to survive the recent global economic meltdown included additional services to their core
service offerings. It is much easier for car customization and modification companies to increase
their revenues by diversifying as against increasing the scope of their market.
Before choosing a location for our car customization and modification business, we conducted a
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 offerings are car
owners, branding agencies and celebrities.
Car customization and modification business is a highly creative industry. We aware of this
which is why we decided to come up with a business concept that will position us to become the
leader in Fort Lauderdale – Florida. Our competitive edge is that we are a well – equipped car
customization and modification business that has loads of complimentary business offerings that
can easily assist us in attracting car owners within the radius of our garage.
We can confidently say that the location of our car customization and modification garage will
definitely count as a positive for us amongst any competitor that might start a car customization
and modification business in same location where ours is located.
For the time being, Jolly Bosco® Car Customization & Modification Garage, LLC has no real
competitors that can match the quality of service 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 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.
The marketing strategy for Jolly Bosco® Car Customization & Modification Garage, LLC is
going to be driven basically by unique finishing, excellent customer service 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 referrals from our satisfied customers.
We are quite aware of how satisfied customers drive business growth especially businesses like
car customization and modification services.
Jolly Bosco® Car Customization & Modification Garage, LLC is a car customization and
modification business that is strategically located and we are going to maximize the
opportunities that is available which is why we spent more to locate the business in a location
that will be visible to 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 Jolly Bosco® Car Customization & Modification Garage, LLC.
Our goal is to grow Jolly Bosco® Car Customization & Modification Garage, LLC to become
the leading car customization and modification company in Fort Lauderdale – Florida which is
why we have mapped out strategies that will help us take advantage of the available market and
grow to become a major force to reckon with in the car customization and modification industry.
Jolly Bosco® Car Customization & Modification Garage, LLC is set to make use of the
following marketing and sales strategies to attract clients;
Introduce our car customization and modification business by sending introductory letters
alongside our brochure to corporate organizations, branding companies, households and
key stake holders in Fort Lauderdale – Florida
Print out fliers and business cards and strategically drop them in offices, 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 bars, night clubs, 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 car customization and modification company in relevant auto magazines,
newspapers, TV and radio stations
Attend relevant 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 students
Join local chambers of commerce and industry to market our services
Sources of Income
Jolly Bosco® Car Customization & Modification Garage, LLC is established with the aim of
maximizing profits in the car customization and modification line of business and we are going
to go all the way out to ensure that we do all it takes to attract clients on a regular basis.
Jolly Bosco® Car Customization & Modification Garage, LLC will generate income by offering
the following services: car customization, modification, restoration, and finishing. We are also
open to generate income from other related services as long as it falls within the scope of the
industry we are operating in.
Sales Forecast
One thing is certain, there would always be corporate organizations and individual clients who
would need the services of car customization and modification services.
We are well positioned to take on the available market in Fort Lauderdale – Florida and we are
quite optimistic that we will meet our set target of generating enough income / profits from our
first six months of operation and grow our car customization and modification business and our
clientele base.
We have been able to critically examine the car customization and modification market, we have
analyzed our chances in the industry and we have been able to come up with the following sales
forecast. The sales projection is based on information gathered on the field and some
assumptions that are peculiar to similar startups in Fort Lauderdale – Florida.
Below is the sales projection for Jolly Bosco® Car Customization & Modification Garage, LLC,
it is based on the location of our business and of course the wide range of related services that we
will be offering;
Our pricing system is going to be based on what is obtainable in the car customization and
modification 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 Fort
Lauderdale – Florida.
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.
Payment Options
The payment policy adopted by Jolly Bosco® Car Customization & Modification Garage, LLC
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 Jolly Bosco® Car Customization & Modification Garage,
LLC will make available to her clients;
In view of the above, we have chosen banking platforms that will enable our client make
payment for our services 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 services rendered.
Car Customization & Modification Business Plan – Publicity and Advertising Strategy
Jolly Bosco® Car Customization & Modification Garage, LLC is set to create a standard for car
customization and modification businesses in Fort Lauderdale – Florida 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 car customization
and modification business. The challenge is that most car customization and modification
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 car customization and modification business. Here are the
platforms we intend leveraging on to promote and advertise Jolly Bosco® Car Customization &
Modification Garage, LLC;
Encourage our loyal customers to help us use Word of Mouth mode of advertisement
(referrals)
Advertise our car customization and modification business in relevant magazines, local
newspaper, local TV and local radio stations
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 billboards on strategic locations in and around Fort Lauderdale – Florida
Direct coupon mailing approach
Engage in roadshows from time to time in target communities
Distribute our fliers and handbills in target areas
We have been able to pull together cash that will be enough for us to successfully launch a
standard car customization and modification company in Fort Lauderdale – Florida US. These
are the key areas where we will spend our startup capital on;
The Total Fee for Registering the Business in Fort Lauderdale – Florida – $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, workers’ compensation and property casualty) coverage at a
total premium – $30,800
Cost of accounting software, CRM software and Payroll Software – $3,000
Cost for leasing standard warehouse facility- $100,000
Cost for facility remodeling – $10,000
Other start-up expenses including stationery – $1000
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 startup inventory – $15,000
Cost for store equipment (cash register, security, ventilation, signage) – $13,750
Cost for car modification equipment – $50,000
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
Cost for the purchase of utility truck – $15,000
The cost for our grand opening party – $1,500
Miscellaneous: $10,000
We would need an estimate of three hundred and fifty thousand US dollars ($350,000) to
successfully launch our car customization and modification business in Fort Lauderdale – Florida
US. Please note that this amount includes the salaries of all our staff members within 3 months of
operations.
Generating Startup Capital for Jolly Bosco® Car Customization & Modification Garage,
LLC
Jolly Bosco® Car Customization & Modification Garage, LLC is a business that will be owned
and managed by Jolly Bosco and his immediate family members. They are the sole financiers of
the business which is why they decided to restrict the sourcing of the startup capital for the
business to just three major sources.
Generate part of the startup capital from personal savings and sale of his stocks
Generate part of the startup capital from friends and other extended family members
Generate a larger chunk of the startup capital from the bank
N.B: We have been able to generate about $100,000 (Personal savings $80,000 and soft loan
from family members $20,000) and we are at the final stages of obtaining a loan facility of
$250,000 from our bank. All the papers and documents have been duly signed and submitted, the
loan has been approved and any moment from now our account will be credited.
Car Customization & Modification Business Plan – Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and
competence of the employees, their investment strategy and the business structure. If all of these
factors are missing from a business, then it won’t be too long before the business closes shop.
One of our major goals of starting Jolly Bosco® Car Customization & Modification Garage,
LLC 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 nothing short of excellent and
unique car customization and modification services at pocket friendly rates.
At Jolly Bosco® Car Customization & Modification Garage, LLC, we 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 retraining 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