CARS Inc.
Executive Summary
Custom Advertising for Real Solutions, also known as, CARS Inc. is a federally incorporated company,
revolutionizing the way businesses and individuals think about advertising. CARS Inc. harnesses a
reusable rubber product known as plastidip, to advertise on the exterior of any type of vehicles including,
small to large passenger cars, motorcycles, vans, trucks, & transport-trucks. If it is mobile, we will
accommodate the needs of all customers primarily within the GTA.
Versatility is key. Applying this product to all types of vehicles and all types of customers, allows CARS
Inc. to capitalize on a much wider target audience. This includes our primary market of small to medium
sized businesses, our secondary market of larger corporations and fleet vehicles, and finally our tertiary
market of individuals and enthusiasts who prefer custom forms of expression and style.
Plastidip is also a sustainable product because it can be reused by thinning older or used plastidip, and it
can also be peeled off the surface of any car at any given time. This gives the customer total
customization and satisfaction suiting their promotional needs as they occur. CARS inc. has discovered a
market for many businesses to advertise, reaching hundreds to thousands of people in a single day, at very
cost effective prices, undercutting all of our competition by 30% or better.
CARS Inc., opened its first location in 2014 in the North York region of the GTA and is now looking for
an investment of $1,000,000 based upon a 3% interest rate on this loan, and ROI within 3-5 years. This
investment will be used to expand the business exponentially in 2016, purchasing a large facility to meet
the needs of 20-45 vehicles per day. In addition, this investment will also go towards the new staff which
will be hired to meet the needs of such an expansion- including painters and sales people, new equipment
and larger quantities of materials. This investment will also include additional funds for the existing
marketing campaigns, however, they will be conducted on a higher level to attract and inform new
customers.
Investment Overview
CARS Inc. requires a long term investment loan of $1,000,000 in order to purchase a warehouse building
located in the heart of downtown Toronto. Owners are seeking a prime rate of + 3.0% on the investment
loan and a ROI within 3 to 5 years. As such, our company is asking for debt financing to expand our
services and reach to our customers. The five founders/owners are not willing to give up equity or equal
voting rights, in order to keep the business simple and profitable. Our company has a proven track record
that will continue to grow as we expand. Therefore, this new location will allow CARS Inc. to increase
production, staff members, sales and essentially profits.
1
CARS Inc.’s services offered
CARS Inc.’s targets small-medium sized businesses primarily and larger corporate clients as a secondary
market, in addition to individuals who would like a custom exterior paint job. CARS Inc. has harnessed a
reusable rubber product known as plastidip to advertise on the exterior of any vehicle. Vehicles include,
small to large passenger cars, motorcycles, vans, trucks, & transport-trucks.
Basic package- $900
* Color base paint backdrop
* One color lettering (limited to space and words)
Medium package- $1,200
* Color base paint backdrop (Special coloured paint flakes )
* Multi-colour lettering (limited to space and words)
Advanced package- $1500 (This price fluctuates depending on vehicle type and size)
* Color base paint backdrop (Special coloured paint flakes )
* Multi-colour lettering
* Customized printed pictures and designs (whole vehicle advertising decals)
Custom Package (For fleets, bigger vehicles and touch ups) - $???- Prices discussed with manager.
* Color base paint backdrop (Special coloured paint flakes )
* Multi-colour lettering
* Customized printed pictures and designs (whole vehicle advertising decals)
*Pricing may vary on all packages depending on the custom details required.
2
Marketing and Promotions
“DRIVING YOUR MESSAGE”
Competition
CARS Inc. closest and most direct competitors are Market Your Car in Mississauga (1146 Westport
Crescent, Unit 2), and Vehicle Wrapz in Vaughan (116 Viceroy Road, Unit 15).
Name
Market Your
Car
Vehicle
Wrapz
Product /
Services
Vehicle
Wrap,
Window
Graphics,
and Vehicle
Paint
Designs
Vehicle
Wrap
Pricing
Very high
even on the
smaller
vehicles
Strengths
Relaxing
Environment
Great Customer
Service
Weaknesses
Expensive, no sustainable alternatives, long
term designs, limited marketing with their
pricing strategy, and may cause damage to
the vehicles
Medium to
high
depending on
vehicle size
Over 25 years
Wrapping a vehicle is not cost effective, wear
within the
and tear can occur and the ability to change
Advertising and
the wrap is harder and more time consuming
Marketing
than applying plastidip
Industry
CARS Inc. prices are not very comparable to both competitors. We undercut our competition
because we have the ability to do so, while still maintaining a higher profitability margin. Without further
information this immediately gives us a competitive advantage.
Unlike our competitors we promote sustainability and going green initiatives by recycling and
reusing old plastidip. We do this by melting and thinning out the plastidip. We also offer a ‘rest assured’
work environment; the plastidip is very easy to fix and repaint, it does not harm your vehicle, and the
quality will always be there. We unlike most competitors offer a two-in-one in the sense that; we are
small enough to care but we are big enough to get projects done right. With that being said we will always
provide unparalleled customer service with a call-back if busy within 2 hours of the initial received phone
call.
The chart below lists all planned promotional activities for the first year in business; including
our expansion.
Promotional Activities
Activity
Digital Marketing /
Email Marketing
Where
Online
Website
Online
When
Strategic Updates daily within
(Hootsuite); Linked In, Facebook,
Google+, Instagram, and Twitter.
Emails bi-weekly through Mail
Chimp.
Completed, but we will have an
updated version with more
features by the fiscal year starting
in 2016.
Cost
Free
$5,000 one-time
design. Development
fee then $70 /
annually for webhosting/domain
through Eleven2.com
3
Activity
Where
When
Cost
YouTube Videos
Online
Completed 2; creating 3 per year
in 2015 and 2016.
$1,500 x 6
$9,000
Business Cards,
Brochures, and Flyers
In Person
Completed
$250 for the paper.
We have the printer.
Get 500 People to
Advertising on their
vehicles
Celebrity Marketing
In Person – Mobile
Advertising
Immediately upon expansion in
the 3rd year, 2016 and 4th 2017
$200x500= $100,000
In Person and Online
$20,000 +
$10,000
= $30,000
New Location Launch
Event
Toronto Auto Show
Event with Booth
Event In Person
Completed in the 2nd year, but we
will hire another celebrity during
the grand opening for 2 months
then the following year (2017) for
1 month
Grand opening of new location
Uniforms
In Person
Signage
In Person
Event In Person
Included in supplies
cost.
$10,000
Summer of 2016; because we
occupy a booth at the event we
get free magazine advertising with
the Toronto Auto Show.
Completed; get newly designed
$10 x 25 uniforms
and updated uniforms
$250
Then…
$25 x 25
= 625
Completed, adding 2 new bigger
$80 x 4
signs to the new location (2016)
= $320
Financial Overview
The chart below represents two years, 2014 and 2015, earned revenue and profit before taxes.
4
The chart below represents projected profits and losses of site A (1st location) and site B (new building)
Future Objectives
- Set up larger facility in a prime location of Downtown Toronto
- Produce 20-45 complete vehicles per day- 7 days a week
- Acquiring a greater portion of corporate clients including fleet vehicles
- Hire a larger staff including 5 sales associates and 16 new painters, and 2 administration staff members
5