Business Plan for Clean-Your Ride: Mobile Car Wash Business Services

This business plan focuses on Clean-Your Ride, a mobile car wash business service operating in Australia. It includes a breakeven analysis, financial projections, balanced scorecard, and business model canvas. The target customers are households, cab drivers, and vehicle owners.

Running head: BUSINESS PLAN
Business Plan
Name of the Student:
Name of the University:
Author’s Note:

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Executive Summary
The aim of the assignment is to develop a business plan where the new start-up business would
be focusing on rendering services in the Car Wash Industry Service. The operations of the
company would be based in Australia and the resultant services, would be provided in all over
the Australian Region. Setting up the desired business plan involves strategizing the various
operations and the activities. The company for the purpose of efficient operations of the
company, will be developing a balanced scorecard. This would be helping the company in
tracking the execution of activities that are done by the management of the company. On the
other hand the financial projection will be done for the company for the purpose of estimating
the finance needs of the company. The breakeven quantity that it needs to achieve for covering
the fixed cost and the associated variable cost of the company has been well explained with the
help of breakeven analysis performed for the company.

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Table of Contents
Introduction......................................................................................................................................3
Discussion........................................................................................................................................3
Vision...........................................................................................................................................3
Mission........................................................................................................................................4
Breakeven Analysis.....................................................................................................................4
Financial Projections...................................................................................................................5
Balanced Scorecard.....................................................................................................................6
Business Model Canvas...............................................................................................................9
Overall Feasibility.....................................................................................................................10
Conclusion.....................................................................................................................................10
References......................................................................................................................................11

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Introduction
A simple and a clear business plan that allows the entrepreneur with the growth
opportunity is what every investor’s looks for. The business plan that the new start-up venture
will be focusing on the Mobile Car Wash Business Services whereby providing a range of car
wash services. The new start-up plan for the business will be Clean-Your Ride where the
company will be operating in the Australian Region. The range of business services will be
primarily in the field of Mobile Car Wash Business Services, the reason behind starting up a
mobile services is due to the high cost that is usually involved in starting up a new venture. The
total start-up capital with, which the business will be operating there business will be primarily in
the form of equity investment amounting to around $30,000 (Chambers and Humble 2017). The
market penetration rate highlighting the growth of the business services was taken at around 10%
for the company. The associated cost of operations and the variable cost for the company will be
determined for analyzing the breakeven analysis or the number of car wash services that the
company needs to undertake. The balanced scorecard the purpose of efficient operations of the
company, will be guiding the company in identifying the objectives and goals of the activities
undertaken. This would be helping the company in tracking the execution of activities that are
done by the management of the company (Burns and Dewhurst 2016).
Discussion
Vision
The vision statement of the company is to become the number one mobile car wash and
auto detailing company in the whole of America. The business vision will be well achieved by

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the company with the help of the various business operations undertaken and the increasing
business services that the company aims to deliver in the near future. The vision statement of the
company will be well judged and addressed by the company with the help of the increasing
customer base for the company and the increasing market penetration of the various products and
services that are offered by the company. Achieving and earning a significant amount of return
on investment for the equity shareholders of the company would also be the key vision for the
company.
Mission
The mission of the company is to develop and set up a profitable car wash business
services in the Australian Region whereby the range of services provided by the company is well
acceptable by the customers, The business operations that the company will be undertaking
should be having a key mission of providing quality services in the community and to become a
standard for ideal mobile car wash and detailing business services provided. Achieving well
defined objectives of the company in terms of achieving cost efficiency, asset utilization
through-out the Australian Region will be some of the key factors that the company would be
focusing.
Breakeven Analysis
Breakeven Analysis will be done for the company by undertaking the variable and
operational expenses that the company will be incurring. The breakeven-analysis that would be
done for the company would be helping the company in analyzing the amount of car services that
should be done for the purpose of covering up the fixed costs of the company. The total fixed or
operational cost that the company would be incurring will be around $11,050 and the associated
variable cost of goods sold for the company will be around 40% of the sales amount that the

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company will be achieving (Chambers and Humble 2017). The total sales that the company
expects to derive in the first year of operations will be around $50,000 and the rise in the sales of
the company will be around 10% on an annual basis.
In order to conduct the breakeven analysis the company would be taking several key
components like the variable costs, fixed costs and the associated selling price for the various
goods offered by the company. The breakeven analysis for the business model is shown below:
Breakeven Analysis
Particulars
Car
Wash
Car
Wax
Polishi
ng
Fixed Costs (Total Fixed Costs*Revenue % Generated) 5,525 3,315 2,210
Revenue Per Unit $10.00
$12.5
0 $15.00
Variable Cost Per Unit (Total Revenue Percentage* COGS) $4.00 $5.00 $6.00
Cars Serviced 2500 1200 667
Breakeven Analysis: Fixed Cost/(Price-Variable
Cost) (In Units) 921 442 246
It was well estimated that in order to well achieve breakeven for the company the
company must be able to service around 1608 cars for the purpose of covering the associated
fixed costs for the company, the variable cost for the company will be in the form of the direct
costs that the company will be incurring in order to make the services. The selling price for the
various services that will be offered by the company has been kept competent so that the
company can grow the various offered products.
Financial Projections
The financial projection was done for the company for the set of three years where
relevant changes in the financials of the company were taken into considerations. The financial
projections for the company will be including the various revenue and expenses estimate for the

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company that the company will be incurring in the trend period that will be analyzed for the
company (McKeever 2016). The financial projections that has been done for the company has
been well done based on the industry estimates for the company and the associated expenses that
the company will be incurring. The sales for the company will be particularly earned from the
range of car services that the company will be catering in the Australian market.
Balanced Scorecard
A balanced Scorecard is a tool which is used by a business for the purpose of formulation
of long term strategies of the business so that the business is able to achieve its goals and another
purpose of the balanced scorecard is to effectively communicate the plans of the management of
the company to the staff members of the business (Akkermans and Van Oorschot 2018). The
balanced scorecard consists of four different types of perspectives on the basis of which
important decisions are taken by the management of the company. The chart which is presented
below shows a balanced scorecard and some common key performance indicators which are
included in the same:

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Figure 1: (Balanced Scorecard and its Four Perspectives)
Source: (Hoque 2014)
In the case of the new business Clean the ride, which would be providing car wash and
maintenance services, implementation of balanced scorecard approach is considered to be very
important as this would help in attaining long term goals and objectives of the business. The
business model which the management of the company intends to follow for the new car wash
business is focused on achieving growth in the operations of the business (Nikolaou and Tsalis
2013). The business of Clean the ride would be focusing on enhancing the efficiency of the
business so that the business is able to attract more customers so that the more revenues can be
generated from the operations of the business.

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The management of Clean the ride would be aiming to enhance the operational process of
the business and therefore the balanced scorecard would allow the management to consider
different area of performance and develop a strategy which can contribute to the long-term
sustainability of business (Ward 2016). The balanced scorecard which is formulated for the
business of Clean the ride is effectively shown below:
Balanced Scorecard
KRA (key
result
area)
Target KPI (key
performance
indicator)
Result
Financial  The management of the
company needs to take steps
to increase the operations of
the business by incorporating
more services in the process
of the business.
 The management also needs
to control the costs of the
business so that the profits of
the business from operation
is not affected in any manner.
 Financial results
and growth.
 Higher profit
Margin
Increase in
profitability of the
business and also
growth in the
operations of the
business.
Learning
and
Growth
 Development of proper
skills so that efficiency
can be maintained in the
operations of the business
(Perkins, Grey and
Remmers 2014).
 Application of Innovative
technologies in a
business.
 Increase in
number of
employees.
 Technological
Advancement
Increase in
efficiency of the
business
Customer  The management aims to
provide good quality
services to retain
customers
 The business aims to
provide after sales
services as well such as
free inspection, car
 Customer
Satisfaction.
 Retention of
Key
Customers.
The customers
would be happy
with the operations
of the business and
thereby would be
loyal to the
business.

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delivery home.
Internal
Business
Process
 The management aims to
set up an appropriate
organizational structure
so that decisions are
taken in quick time.
 The management also
plans to effectively train
employees so that quality
services can be provided.
 Competent
Staff
 Quick decision-
making
process.
The internal
business process
would help the
business to manage
every process in an
efficient manner,

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Business Model Canvas
Value Proposition: Providing 24*7 Car Wash Services, Proper Care and Maintenance of the
Car with the help of well-equipped machines and tools.
Key Issues: Availability of Range of Business Services for the Mobile Car Wash Mobile
Services, Pricing of the Range of Car Services are Particularly very expensive, Availability
of Professional Services in the Car Wash Services.
Solutions: Cheap Pricing of the Product Offered, Range of Services Available on a Mobile
Service basis, Service at anytime and anywhere. Customized Services including Auto
detailing services.
Key Financial Metrics: Consistent Return on Investment, Better Operating and profitability
Margins, Controllable levels of Operational Costs and Fixed Cost for the company.
Revenue: The revenue that the company will be charging for the range of car wash service
will be $10, for Car Wax $12.50 and for Car Polishing it will be around $15. The number of
car services that the company expects is around 1608 car services for all the above services.
The revenue for the first year will be around $50,000 and the same is expected to grow at a
market penetration rate of 10%.
Target Customers: Households, Cab Drivers, Vehicle Owners and others.
Channels: The channel of communication that the company would be using for the purpose
of communication with the client will be based on the online sales and the direct sales
activity that the company will be undertaking.

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Overall Feasibility
The feasibility of the business will be judged with the help of the return generated by the
business and the same will be primarily in the form of return generated on the equity investment
for the company (Dale 2019). The profitability that the company will be earning from the
business along with the customers it serves for the various business operations that it would be
serving will be some of the key estimate that would be marking the feasibility of the business.
Business model for the company will be simple and straight as in the initial stage of business
operations the company will be providing a limited range of business services (Ibidunni, Peter
and Ogbari 2017). However, as the demand and market penetration for the various products
offered by the company increases the company at the same time would be increasing the range of
business services.
Conclusion
The analysis of the business plan has been particularly done with the help of the
operational and financial analysis for the company for a trend of three year where relevant
changes in the operations has been captured. In order to well define about the various objectives
and statements of the company a balanced score-card has been prepared that will be allowing the
company in executing the objectives and tasks of the company.

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References
Akkermans, H.A. and Van Oorschot, K.E., 2018. Relevance assumed: a case study of balanced
scorecard development using system dynamics. In System Dynamics (pp. 107-132). Palgrave
Macmillan, London.
Burns, P. and Dewhurst, J. eds., 2016. Small business and entrepreneurship. Macmillan
International Higher Education.
Chambers, I. and Humble, J., 2017. Developing a Plan for the Planet: A Business Plan for
Sustainable Living. Routledge.
Chambers, I. and Humble, J., 2017. Plan for the planet: a business plan for a sustainable world.
Routledge.
Dale, B., 2019. One Shot Pub: A Business Plan.
Hopp, C., Greene, F.J., Honig, B., Karlsson, T. and Samuelsson, M., 2018. Revisiting the
influence of institutional forces on the written business plan: a replication study. Management
Review Quarterly, 68(4), pp.361-398.
Hoque, Z., 2014. 20 years of studies on the balanced scorecard: trends, accomplishments, gaps
and opportunities for future research. The British accounting review, 46(1), pp.33-59.
Ibidunni, A.S., Peter, F. and Ogbari, M., 2017. ENTREPRENEURSHIP EDUCATOR'S
COMPETENCEON UNIVERSITY STUDENTS’COMMITMENT TO LEARNING AND
BUSINESS PLAN WRITING. Academy of Strategic Management Journal, 16(2), pp.1-10.
McKeever, M., 2016. How to write a business plan. Nolo.

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Nikolaou, I.E. and Tsalis, T.A., 2013. Development of a sustainable balanced scorecard
framework. Ecological Indicators, 34, pp.76-86.
Perkins, M., Grey, A. and Remmers, H., 2014. What do we really mean by “Balanced
Scorecard”?. International Journal of Productivity and Performance Management, 63(2),
pp.148-169.
Ward, J., 2016. Keeping the family business healthy: How to plan for continuing growth,
profitability, and family leadership. Springer.