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Logistics Business Plan

20,000.00

Our Competitive Edge

PATILAD LOGISTICS will establish a competitive edge through its dogged focus on on-time deliveries for its specific target market. Software systems, communication systems, operational choices and marketing materials will all be oriented around this goal. By making customers more assured of on-time delivery with PATILAD LOGISTICS than with competitors, they will be more likely to use the business overall, as they can never be sure when a few hours can make an incredible difference to their potential revenues or expenses.

Financial Considerations

PATILAD LOGISTICS seeks N10 million in long-term financing to cover start-up costs, equipment, building expenses, and working capital.

Funding for the launch of the business is provided primarily by equity from the partners and investors.

Our market survey and research shows that PATILAD LOGISTICS holds the promise of reaching positive cash flow in its 7th month of operation. The advantage of this, is the provision it makes for accelerated repayment of its loan obligations, as well as for dividends to be paid to the owners.

Revenue is expected to amount to N12,984,326 and profit N3,592,736 in our first year of operation.

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Table of content                                                                                                        Page 

Executive Summary                                                                                                           4

Business Description                                                                                                         7

Vision                                                                                                                               8

Objectives                                                                                                                         9

Mission                                                                                                                             9

Keys to Success                                                                                                                 9

Our Services                                                                                                                      10

Market Analysis                                                                                                                 11

Market Segmentation                                                                                                        11

Pricing Strategy                                                                                                                 12

Competitor Analysis                                                                                                           12

Sales and Marketing Plan                                                                                                    13

Promotion                                                                                                                          15

Distribution Strategy                                                                                                           15

Pricing                                                                                                                                 15

Risk                                                                                                                                     15

SWOT Analysis                                                                                                                    16

PEST Analysis                                                                                                                      16

Operational Plan                                                                                                                 17

Management plan                                                                                                               20

Financial Plan and Projections                                                                                              21

 

Executive Summary

Overview

The purpose of this business plan is to raise N10,000,000 for the development of an state-of-the-art logistics and haulage business while showcasing the expected financials and operations over the next three years. PATILAD LOGISTICS is a new medium- and long-haul dry van trucking business based in Lagos Nigeria and founded by veteran entrepreneur Dayo Adetiloye. We are committed, honest and quality focused. Our LOGISTICS will serve businesses in Lagos (eventually expanding to include Abuja, Kano, Katsina, Port Harcourt, and Warri) with freight hauling and logistics management services. The business will develop a reputation for its on-time and accurate service as well as sophisticated Web and software functionality, allowing clients to align their business with PATILAD LOGISTICS’ services and scheduling automatically. The business will be managed by Dayo Adetiloye, CEO, and a Chief Operating Officer.

The Company

PATILAD LOGISTICS can be launched for about N10,000,000, largely with the investment of Dayo Adetiloye, and with some investment by investing partners. The business will be launched with three 18-wheeler trucks and will expand its operations to utilize eight 18-wheelers by the end of its third year, using auto loans to finance this expansion. Gross margins will be around 60%, allowing for significant profit by the end of the third year as the business scales up.

Beyond three years, the business will seek to expand to additional bases of operation in the Southwest and to add trucks with refrigerated and temperature-controlled trailers. The business will be positioned for sale to a national freight-hauling service seeking to expand to, or add operations in, the entire nation.

Products and Services

PATILAD LOGISTICS will offer the following services for businesses in from Lagos:

  • Pick-up and delivery of goods with a minimum per-delivery weight of 9000kg from and to locations in its geographic range by 18-wheeler trucks hauling dry van trailers
  • Both “less than a truck load” and “truck load” services
  • Online tracking information detailing the location of all GPS-tagged trucks and the status of deliveries, including expected arrival times for pick-up or delivery
  • Phone support for all customer questions, delivery changes, and scheduling
  • Preferred client services including online accounts, regular schedules of shipping, or linking of client order information directly to PATILAD LOGISTICS’ scheduling software to allow for seamless logistics.

The Market

PATILAD LOGISTICS will compete in the market for medium and long haul dry van trucking in Nigeria. This market serves businesses ranging from the packaged goods/grocery industry to the clothing industry to high-tech equipment, as well as commercial relocations.  

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