Business plan
0. EXECUTIVE SUMMARY
Ango Rapid Transit System SPRL, a limited liability company, is a transit company (mass transport company) that focuses first on the transport of people from Luanda, the capital of Angola, to regional cities in the western provinces of Angola, and from theses cities to Luanda (transit service), 7 days a week from 6 AM to 10:00 AM at scheduled round trip service and defined frequency for each route.
Ango Rapid Transit System (ARTS) will start its intercity transit service with five (5) routes. After a year of operation, ARTS will expand its intercity transit by adding more intercity routes and introduce a “customized” city transit service in Luanda.
There are a huge shortage and high demand of passenger transport systems from the general public in Luanda and in Angola. Luanda and Angola with respective population of 3 millions and 16 millions residents do not have reliable public intercity transit system that operates in all major provincial cities, nor in Luanda, the capital. Most of the transport needs are barely covered by private, not reliable minibuses or buses owned by different small private owners.
Ango Rapid Transit System will provide intercity transit service to the people of Angola and a customized transit system to students in Luanda and workers/employees of companies operating in Luanda.
Mr. Mundel Lufitha, founder of the company will be the CEO and General Manager of the company. Mundel Lufitha is the owner of the company and will serve also as its chief executive (CEO) and general manager. Mundel Lufitha is bringing to the company more 15 years experience in automotive and truck mechanical engineering and management from USA.
To operate the transit company of 16 vans in Luanda, ARTS is looking to raise a capital of $972,002 broken down between $484,000USD for the fleet and facility equipment acquisition cost (fixed cost) and $488,002 USD for total operation cost.
As result, ARTS will have yearly net profit of about $244,721USD in the first year (2011), $887,138 USD in the second year (2012) and $ 2,820,585 USD in the third year (2013).
If the full capital can not be raised from the investors, ARTS will accept to start with small investment to operate couple vans (less than the targeted 16 units) and increase the investment/ fleet as the business becomes profitable.
The transit service will be provided by using solid and reliable heavy duty frame based 15- passenger Ford E350 and Chevrolet G3500 vans (mini buses). ARTS will start with a fleet of 16 vans. To improve the comfort and the safety of the passengers, the vans will be equipped with front and rear air conditioning system and mobile phone connected to the company head office in case of vehicle malfunction or other service problems. Further, the company fleet will include one (1) spare van to support service and maintenance of active fleet, emergency cases, or van malfunction/ breakdown on the road, and two (2) service trucks.
The ARTS head count will be at 41 employees in the first year (2011), 73 employees in the second year (2012), and 178 employees in the third year (2013).
