Car Solver - Business Plan Hi Everyone, I am Denson. Last time, we talked about the operation plan and hr plan for C Presented by: Denson Liu

What we want to deliver?

Location

Products & Services Tires Auto Repairs Auto Body Repairs

Organizational Structure Store Manager Assistant Manager Salesperson A Salesperson B Salesperson C Back Shop Manager Tire Manager Tire Technician A Tire Technician B Auto Body Manager Auto Body Technician A Auto Body Technician B Mechanical manager Automotive Diagnostic Technician A Automotive Diagnostic Technician B

Target Market Nearby Residents White collars Senior Drivers

Competitors

Positioning Map Price (High) Car Solver Value of Products/Services Car Dealer Car Solver Fountain Tire KalTire Costco Value of Products/Services (Low) Value of Products/Services (high) OK Tire Canadian Tire Price (Low)

Promotions

Car Solver Financial Budget Items Cost (in Canadian Dollars) Bank Loan 1,860,000 Owner’s Equity 450,000 Other Shareholders’ Equity Total 2,760,000 D/E ratio = 2.07

Break-even Analysis

Sensitivity Analysis By number of customers per day: Number Cust/day Average 5 year Profit Net Payback IRR Year 5 Owner Comp 24 (112,289) (1,341,083) N/A 54,122 27 2,137 1,545,930 8.5% 30 (base case) 179,522 5,965,572 24.7% 188,194 33 202,916 6,291,781 26.6% 193,822 36 301,403 8,656,423 34.5% 248,695

Avg purchase/customer Sensitivity Analysis By avg$ per customer: Avg purchase/customer Average 5 year Profit Net Payback IRR Year 5 Owner Comp 200 11,263 1,689,466 9.2% 54,122 210 56,895 2,594,299 13.3% 100,797 220 (base case) 179,522 5,965,572 24.7% 188,194 230 148,158 4,905,225 21.9% 163,891 240 193,790 6,060,688 25.8% 188,834

Other Financials 2017 2018 2019 2020 2021 Sales 2,059,200 2,625,480 2,945,789 3,154,940 3,378,940 Net Income (73,699) 4,380 131,619 185,701 264,631 Dividends - 41,662 84,827 Owner’s Compensation 50,000 51,000 52,020 94,723 138,949

Questions?