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BUSINESS PLAN | SUMMER 2010
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Paint by Camille // Business Plan Page 1
00.Executive Summary
Paint by Camille (PBC) is a business that operates as a service provider whose primary business is the repair and painting of motorcycles.The motorcycles primarily worked on are import street and race bikes. PBC was founded by and is operated by Camille Yanez-Pastor. The
established business has tremendous market potential.
The mission of Paint by Camille is to provide high quality collision and refinishing services for motorcycles, specializing in super bikes and
road race bikes. The most important aspect of this business is to create/maintain high customer satisfaction in quality of work, customer
oriented/knowledgeable staff, and repairs completed in a timely matter at an affordable cost.
The purpose of this plan is to provide insight into this established, niche California-based, female-owned business with the intent of
soliciting and securing expansion capital for future growth and operations.
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TABLE OF CONTENTS //
00 Executive Summary i01 Market Analysis 1
02 Company Description
03 Sales and Marketing
04 Operations
05 Financials
06 Summary
07 Exhibits
08 FAQs
09 References
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01.Market Analysis
A. INDUSTRY DESCRIPTION AND OUTLOOK
Figure 1: RITA logo
We love motorcycles. The US Census Bureau says that out of a total 129,141,982 commuters in this country (USA, 2003) 147,703 of them ride
motorcycles to work regularly, or 0.11 percent. The Motorcycle Industry Council reports that ofall the motorcycles registered in the USA, 4.3% of
them are used for year-round primary transportation (282,389), with an additional 9.9% used seasonally for this purpose (932,542 total). The other
95%+ are more recreational or weekend warriors. Granted some of these people have more than one motorcycle and some are stockpiled in
dealerships around the nation.
According to the Research and Innovative Technology Administration, a department of the Bureau of Transportation Statistics, there were
~7.1 million motorcycles registered in 2007, 751,000 of which are in California, the highest concentration in the US1.
According to BikeWorld, in 2005 alone motorcycle and Scooter sales topped 1 million units2, seen in Figure 2 below . Sales of motorcycles
(including street, off-road and dual-purpose) and scooters totaled 1,088,994 in 2005, up from 965,399 in 2004, a rise of 4.5%. Overall sales have
been on a gradual increase since 1992. Street bike sales increased by 6.8% to 645,503 in 2005 from 604,396 in 2004.
1 http://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2008/index.html
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Figure 2:2005 Motorcycle Sales Statistics
2 Motorcycle Sales Statistics (2005) http://www.webbikeworld.com/motorcycle-news/2005-motorcycle-sales.htm
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Figure 3: 2005 Motorcycle Monthly Sales by TypeAccording to the 2005 report, The U.S. Market for Motorcycles3, the $14.6 billion U.S. market for motorcycles is set to see its 13th
consecutive growth year with the support of the of a key consumer bloc. Baby boomers are heading out on the highway in droves. This Packaged
Facts report covers the explosive market for motorcycles, including cruisers, sport bikes, touring and dirt bikes, which accounted for about 91% of
motorcycle sales in 2004 and scooters, standard bikes and dual-purpose bikes, which accounted for the rest of the market. All segments will get a
boost in the coming year, due to skyrocketing gas prices, bringing more cycle devotees into the core user group and further changing the face of
the motorcycle consumer.
3 http://www.marketresearch.com/product/display.asp?productid=1097893#pagetop
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Although the total number of registered motorcycles has stayed fairly constant the trend is on the upswing. Assuming theres about 1
million new motorcycle sales annually and about 7 million total registered motorcycles that roughly translates to the retiring of roughly 1 million
motorcycles each year, for one reason or another or a lifespan of about 7 years for each motorcycle.
B. INDUSTRY CHARACTERISTICS AND TRENDS
The trend of riding motorcycles is on the rise. Along with that, unfortunately, comes an increase in accidents and crashes. According to the Bureau
of Transportation and Safety (BTS)s Motorcycle Rider Safety Data report from 2009 there were an estimated 114,000 motorcycles involved in a
crash4
(see Figure 4, following page), where a police accident report was completed and the crash resulted in property damage, injury, or death.
The resulting figures do not take into account crashes that were not reported to the police or that did not result in property damage. That number
translates to roughly 1.6% of all registered motorcycles. Most likely the number of bikes being repaired is far greater than that each year, with
many on the track, and in turn, not reported. Many of these bikes are considered a total loss, others salvaged, and others repaired.
Paint by Camilles target market is the repair of street bikes. With an estimated 645,000 street bikes sold in the US annually (as seen in
Figure 3, previous page), or ~65% of all motorcycles. When you scale this number to Californias 751,0005 registered motorcycles that t ranslates
to approximately 488,000 registed streetbikes in California our target segment. This typically does not include the trackbikes which are not street
legal due to their myriad of performance enhancements. When you calculate the 1.6% of bikes actually crashed that equates to about 7,810
motorcycles that would are estimated reported crashed annually in California including unreported crashes dramatically increases that number.
4 http://www.bts.gov/publications/national_transportation_statistics/html/table_02_22.html5 http://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2008/html/table_05_01.html
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Figure 04: Motorcycle Rider Safety Data; 2009; http://www.bts.gov/publications/national_transportation_statistics/html/table_02_22.html
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C. TARGET MARKETS (CUSTOMER DISCOVERY)
Figure 05: DealerNewsTwo-Wheel Motorcycle Sales Forecast 2006
We have carved a niche with our target market import performance street bikes. The majority of our work to date has been on the higher-end
Italian Ducati motorcycles. A large ratio of the Ducati owners race their bikes and drop them on the track and weve actually painted some of thebikes multiple times. Beyond we also work on street bikes made by Honda, Kawasaki, Suzuki, and Yamaha. In September 2006 DealerNews
Magazine reported the most popular midrange sportbikes were the Suzuki GSX-R600, Honda CBR600RR and Kawasaki Ninja ZX-6R all bikes
we work on.
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Figure 06: Some Demographic statistics from SportBike.com; http://www.sportbikes.com/about011a.html?id=60
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Figure 07: Some Demographic statistics from SportBike.com; http://www.sportbikes.com/about011a.html?id=60
Based on a Spring 2000 survey by popular online destination for motorcycle enthusiasts, SportBikes.com (600 person sample size), a
typical SportBikes.com6 visitor is:
93% male
Aged 18 to 35 Well educated
Highly skilled
Affluent with disposable income
6 http://www.sportbikes.com/about011a.html?id=60
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95% use the Internet to research vehicles and motor accessories beforebuying
63% plan to buy a new motorbike in the next year
87% indicated they plan to buy motor accessories in the next year including items such as oil, helmet,insurance , gloves, tires, leather
jacket, boots, exhaust, windscreen and more
The majority are comfortable with buying online:
73% have made an online purchase in the past 90% indicated they would consider purchasing their motor accessories online
66% indicated they would consider purchasing a motorbike online
We are more than confident we have more than enough work with our demographic. Our customers are seeking people or companies who
can provide this service. Something we hear over and over again. There are companies that exist that either provide horrible customer service and
quality or focus on different niche of motorcycles (ie: Harley Davidson, etc).
http://www.sportbikes.com/about011a.html?id=60http://www.sportbikes.com/about011a.html?id=60http://www.sportbikes.com/about011a.html?id=60http://www.sportbikes.com/about011a.html?id=60http://www.sportbikes.com/about011a.html?id=60http://www.sportbikes.com/about011a.html?id=60http://www.sportbikes.com/about011a.html?id=60http://www.sportbikes.com/about011a.html?id=608/8/2019 Paint by Camille marketing plan
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D. COMPETITIVE ENVIRONMENT & MARKET PENETRATION TARGET
Even with the economy at a downslope, PBC is not affected by the economy because of the high demand for repair and paint services. With the
fast growing, popular motorcycle sports, the need for repair and paint shops have increased significantly over the years. In contrast, for one
reason or another there are smaller amounts of shops available to a now large community of motorcycle riders.
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There are not many motorcycle body repair and paint specialists around. This leaves a wide open market segment to fill. We have had
people contact us from all over the West Coast and beyond more than willing to ship their parts. Some of our customers have gone as far as
looking for a replacement service provider due to horrible (lack of) response from competitors, and even worse, inferior work.
The market already exists, obviously. Our penetration in the San Francisco Bay Area was certainly rapid and with impact. We aggressively
network with associates with alliances on message boards, rider groups, our website and social networks and most importantly, word-of-mouth.
Our explosive growth in the market within the riding community is hard to ignore something we hear repeatedly (and with pride). Having people
satisfied with their experience and finished product is what we are in business for.
E. PRICING, GROSS MARGIN TARGETS
We offer our clients a great value for a service they dont have to think about. They can rest-assured when they place their faith in us. A simple
one color spray job starts around $600 and depending on paint, number of colors, any custom work, fabrication, repairs, etc it can be in the
thousands.
Typically the cost of supplies is very low. When customers want replacement or aftermarket panels we get a markup there as well. We are
authorized dealers of multiple vendors and get a discount typically of 25-50%.
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F. REGULATORY RESTRICTIONS
California is helping tread lighter on the planet with waterborne paint technology and supplies7. Californians in the automotive refinishing industry,
including motorcycle paint and repair and auto body shop owners in California are not the only people who should be concerned about the
changes in regulations surrounding volatile organic compounds (VOCs). In the United States, two air districts in California are leading the way in
changing VOC emissions and output in their areas. In addition, their changes are leading the way in encouraging paint manufacturers to develop
paints (basecoats, clearcoats and color coats) that meet the suggested control measures established in California.
In a move to stay ahead of the herd PBC has started training for waterborne and should be certified by early summer. PBC is committed to
meeting all California requirements and implements other earth-friendly practices in our operations.
There are many companies and products rising to the challenge and help provide solutions to meet this increasing regulations including
DuPont, Sherwin Williams, BASF, PPG and others.
7 http://www.asashop.org/autoinc/march2007/collision.htm
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|
According to Jay Kaiser, representative for DuPont8, "California and Canada are the two active places for VOC regulation right now. Other areas
of the country might be discussing change, but the places with real activity are California and Canada."
Darlene Eilenberger, BASF marketing director, said, "The new VOC recommendations will take effect in some California districts in July 2008. The
suggested control measure has been adopted or is pending adoption by the different air quality management districts across the state.
"There are several states that are currently considering the same or similar VOC regulations in the United States. Also, Canada has proposed
similar regulations that are projected for 2009-2010."
"Some air districts are considering adopting stringent VOC compliance levels in 2010, and some will follow after that," said Kaiser. "Also, some ofthe requirements for compliance for different paints - such as specialty coats, clearcoats, etc. - take effect at different times."
Figure 09: Camille at work
8 http://www2.dupont.com/Automotive/en_US/products_services/paintCoatings/paintCoatings.html
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Changing Paint Technology
California has quickly become the focus of new product promotion, as most paint companies are on board in an effort to control the level of VOCs
emitted during the refinishing process. Waterborne paint is the most available new product designed to reduce VOC emissions during the
automotive painting process. Many paint companies are working to make this transition smooth and less costly for body shop owners.
Sherwin-Williams Automotive Finishes9 recently introduced AWX, a waterborne basecoat/ clearcoat system.
"Utilizing a proprietary resin system that behaves like the solvent-borne system of today, AWX is designed to meet the strict VOC-emissions limits
recently adopted in California," said Nick Bartoszek, Sherwin-Williams product manager. "[This product] adheres to the environmentally friendly
guidelines soon to be implemented in Canada and throughout the Midwest and Northeastern United States."
BASF's waterborne system is another well-known paint option for auto body shops seeking to become VOC-compliant. BASF brought waterborne
products to the market 14 years ago. "BASF anticipated the future a decade before the recent regulatory changes in California with the launch of
the Glasurit 90-Line,"said Eilenberger.
9 http://www.sherwin-automotive.com
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Although the European Union has implemented VOC regulations through many European countries, the products that paint companies developed
to remain in compliance in Europe are making their way to the United States. For example, PPG's Aquabase Plus waterborne basecoat system
was launched in California in the fall of 2006. According to PPG, Aquabase Plus was Europe's #. 1-selling waterborne basecoat system.
"Fully compliant with all current and impending VOC legislation, Aquabase Plus gives body shops an easy route to conversion," said Doug Beuke,
PPG compliant segment manager for North America. "Aquabase Plus ... is fully supported by a comprehensive range of cross-referenced color
tools and state-of-the-art training." Camille is completing her PPG certification.
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02.Company DescriptionPaint by Camille is a sole-proprietorship which provides collision repair, and paint services for the expansive street motorcycle population on the
West Coast.
A. NATURE OF BUSINESS
As stated, PBC is in the business of repairing damaged motorcycle body work and providing motorcycle paint service, including custom paint
work.
Figure 10:Paint by Camille Mens Promotional T-shirts
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A segment that PBC is planning on expanding into being able to offer complete motorcycles. PBC would typically purchase bikes from
dealer auctions, insurance companies or private parties, repairing or performing value-added service and reselling the completed bikes. We feel
this would be a profitable business niche. Of course PBC would only buy motorcycles significantly under market value so we can make our profit
margins. The required state fees are outlined on Californias DMV website10
.
The motorcycle-specific Surety Bond is $10,000. Additionally, the fees to become a licensed dealer are nominal, but include:
$175 Non-refundable application fee $1 Family Support Program fee $70 For each branch location (if applicable) $57 For each dealer plate and $59 for each motorcycle plate (plus county fees, if applicable)
o This figure will vary depending on the county where your business is locatedo Dealer plates are not requiredo Auto brokers are not eligible for plates (no inventory)
$225 New Motor Vehicle Board Fee, per location (new automobile, commercial, motorcycle, ATV, motorhome, and recreational trailer
dealers only) $100 Autobroker Endorsement fee
B. DISTINCTIVE COMPETENCIES
Our core competency is first and foremost our service and the high quality we provide for our customers for their prized motorcycles. Since
Camille is trained in all facets of vehicle repair, including body and mechanical. Paired with her driving passion for motor vehicles she has a unique
understanding for quality and will not let a bike leave without her stamp of approval.
10 http://www.dmv.ca.gov/vehindustry/ol/dealer.htm
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One of our prominent core competencies is our Marketing and Promotions component of our business, headed by Eric Lee of Accuracy
Marketing. This encompasses all advertising as well as a highly advanced online presence, including dynamic website, social networking and
more. This really has been a tremendous asset is getting the word out quickly about our products. We have been aggressive with traditional
promotions as well as showcasing and promoting at targeted special events.
Some of PBCs keys to success include:
1. High quality work
2. Maintaining high customer satisfaction
3. Maintaining and creating recurring clientelle
4. Qualified and experienced staff in the motorcycle industry
5. Quick turnaround time
6. Dependable and reliable shop
7. Reasonably priced services
8. Taking pride in our work
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C. MANAGEMENT TEAM / EXECUTIVES
Camille Yanez-Pastor // Founder
Camille attended the respected Universal Technical Institute (UTI) in Houston, Texas, graduating in2004, already having well over 1500 hours under her belt. Since then the young vixen, Camille, has
moved back home to the SF Bay Area been helping restore the inner beauty of untold cars, trucks and
motorcycles.
Camille has since relocated to the San Diego metro area and is set to make an impact, expand business
and grab market share. If her success in the Bay Area is an indicator Southern California will be
providing Camille with work for years to come.
D. MANAGEMENT TEAM / ADVISORS
Eric Tom Lee // Marketing
Eric serves as a business consultant for PBC. Eric brings 19 years entrepreneurial experience in several
sectors to the table. Eric has a degree in Business Management with a concentration in Marketing and a
minor in Environmental Studies.
Eric started riding in high school and has owned Honda CBR-600s, Kawasaki Ninjas and Vespas.
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03.Sales & Marketing/ Marketing PlanPBC has a strong and proven Sales and Marketing strategy in place. The highlights of our strategy are noted below.
A. OVERALL MARKETING STRATEGY
1) Have Strong Public Relations
The importance of the PR team is to maintain consistent, quality communication with our customers. We must have a deep understanding
to their demands in order to provide the best service to them. It will also give us opportunities on having 1-on-1 meeting with our clients to
educate them on the benefit of using our repair, painting and customizing services. Our repeat business, word-of-mouth reputation has
even had us do several jobs without ever talking to our customers.
2) Advertising and Promotions
PBC has a strong marketing presence, certainly utilizing the reach and flexibility of the internet. In addition to our dynamic, web2.0 website
we incorporate social networking. Offline we are just as strong with printed flyers, business cards, apparel, vinyl banners and more. We
are involved with many motorcycle riding clubs and do cross promotion with them.
3) Create Added Value for Clients
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Many of our clients whose business we earned in the Bay Area remain loyal for their service needs at a distance and have pledged to ship
their parts to us. Their trust is something we do not take for granted and we strive to deliver more than expected quality and with the least
amount of stress and hassle. Providing an easy, bolt-on solution is something our clients greatly value.
4) Easy Access
Out of the motorcycle repair and/or paint facilities that do exist we stand out from the pack. We are already among the top in search
ranking on mostly all search engines. We answer our calls, emails, Tweets, etc with consistency and promptly.
Figure 11: Official PBC online presence samples. PaintByCamille.com homepage, Twitter, and MySpace pages.
B. OVERALL MARKET PENETRATION STRATEGY
As a start-up in the industry, our goal is to penetrate the market and build up our reputation. In order to do that, we are waving the set up cost for
our business partners. We believe it will attract more companies to use our service at the beginning stage.
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C. DISTRIBUTION CHANNELS
PBC will continue targeting and selling our services throughout California. We will be launching our services in the San Diego area, expanding to
the rest of southern California, and retaining our established clientele in the San Francisco Bay Area. We anticipate being able to expanding our
service outside of California, and not much longer after that, nationwide.
Another great avenue for expanding business is networking with dealerships and mechanic service shops who can refer us work. Mechanic
service shops always have their clients asking about available body repair and paint shops. Having that established connection with service shop
will guarantee mass volumes of work for us.
PBC will also be focusing a lot on racers, and track riders. Racers and track riders are notorious for crashing and wrecking their motorcycles. This
means repeat business, and residual income.
D. COMMUNICATIONS
As previously stated we help nurture open, two-way communication with our current and prospective clients. The marketing aspect is what plays a
key role in gaining new clients. The current clients refer their fellow racers, and everyday riding friends to us. That is always a good thing because
the word-of-mouth multiplies quickly. Beyond general web searches we communicate via the PBC website, popular social networking sites, as well
as seeing our popular t-shirts, flyers etc. Also, we plan on expanding our presence at events giving us a way to meet people and network.
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Figure 12: PBC booth at 6th
Annual Curve Unit fundraiser for the Pediatric Brain and Tumor Foundation
E. SALES STRATEGIES
To date we have a very soft sales approach and let the work, portfolio and word of mouth speak for us. We have consistent, repeat business and
keeps us busy enough, that, at this time, we do not have to seek out additional work.
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We are planning on implementing a referral program that gives incentives to people who refer business to us. People have been happy to
refer business to us as they are able to spread the word first. We do give out some of our custom shirts as an informal incentive but we do plan on
implementing a formal program in the near future.
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04. Operations
A. PRODUCTION AND SERVICE DELIVERY
When clients order new bodywork from other companies (ie: SharkSkinz, Hotbodies, AIr Tech, Armor bodies, etc.), they have the option to have
the company ship the bodywork directly to PBC, or the client has the option of ordering the bodywork and bringing it to our shop. PBC is an
authorized reseller for many of these companies products and can also order the bodywork for the customer, saving them the hassle, saving them
some money, and increasing PBCs overall profit.
In submitting parts to PBC, the client has the options to drop off their bike, or bring in the damaged parts directly to the shop. The latter
has proven to be a preferred option, eliminating the need of having to transport the whole motorcycle, allowing them the use of the bike. Many
customers have multiple sets of body work so they can ride while the damaged parts are repaired. Parts can easily be taken off of the bike and
brought in. This also helps create more working space in the shop. I can have more jobs in the shop if there is less complete bikes that have to be
stored.
PBC accepts work via mail. A client can remove their damaged parts from the motorcycle and ship it. Many motorcycle riders are willing to
ship their motorcycle parts to other states, or across the county because of the lack of repair facilities available. Depending on what method the
client would like, their completed bodywork can be picked up in person, or shipped back.
B. PRODUCTION AND SERVICE DELIVERY CAPABILTY
PBC should be able to complete two to three race bikes daily (depending on the job), which we estimate to roughly eight to ten bikes a
week. To increase PBC's volume and turnover of work, more staff would necessary. Having a body man, a mechanic/estimator, prep worker, and
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someone to manage the shop we expect to more than double the output capability. Having a larger shop and another spray booth can also have a
significant impact of the amount of work being completed.
C. OPERATING COMPETITIVE ADVANTAGES
Communication
We place communication as utmost importance is our continued success. Promptly responding to emails and answering calls helps us
keep the client well informed of their repair and paint process. PBC will always focus on open and accessible communication with the
client. Being accessible is something clients greatly value and why many people have sought out different service providers.
Quality
PBC, hands down, will be top-notch in quality of work being produced. Spending that extra time with attention to detail and getting the job
done correct the first time will eliminate having to redo the job. We put so much pride and passion in our work, and it shows in the end
result, as proven by praise and repeat business from our clients. We love working on bikes, and enjoy every project and in helping bring
each bike back to their potential.
Many other shops try and get the job out the door as quick as possible without paying attention to detail. Most of the time they
repair things in ways that would not be acceptable here at PBC.
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Dependable
Being known for dependability makes clients feel very comfortable with PBC's services, and work being completed on time. This is very
important because most racers need to have their bikes repaired or painted before their next race and shouldn't have to worry, or have the
extra stress about having a complete bike to race.
Value
Motorcycle riders are always looking for shops that are reasonably priced and offers a great value. We are not the lowest price but we offer the
value they seek. This also creates more of a possibility for PBC to get the job over other shops that are not affordable.
Personality
PBC is always known for being very helpful and positive. This makes the client feel very comfortable, and welcomed to our shop anytime.
PBC also likes to be able to relate to clients with their style of riding and getting to know each client individually. Whether it is always
wanting to hear about their successes in races, or down to their weekend adventure rides, PBC always has an interest in the clients bikes
or riding.
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D. SUPPLIERS
Our vendors and suppliers are crucial to our success and Paint by Camille works with several established suppliers. Our primary suppliers are for
body work and also for paint. Theres obviously other suppliers we have for tools, spray booths, and other assorted supplies.
Aftermarket Bodywork //
Sharkskinz- Racing Bodywork
Started the revolution in material technology and production and continues to lead the market in quality and innovation. Sharskinz
advanced process enables them to build the most durable, best fitting and best-f itted bodywork available.
www.sharkskinz.com
Hot Bodies Racing
After market bodywork and accessories for motorcycles specializing in race bikes. Affordable bodywork.
www.hotbodiesracing.com
http://www.sharkskinz.com/http://www.sharkskinz.com/http://www.hotbodiesracing.com/http://www.hotbodiesracing.com/http://www.hotbodiesracing.com/http://www.sharkskinz.com/8/8/2019 Paint by Camille marketing plan
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Air Tech
Worlds largest manufacturer of exotic motorcycle bodywork and fairings. Fairings from Aprilia to Zundapp, from little 50cc, to huge 3000cc
streamliners, and any year from vintage 50's to current models.
www.airtech-streamlining.com
Armourbodies-
Aftermarket racing body work from Canada. Roadracing World comparison test findings rated ArmourBodies #1 in finish, flexibility,
exceptional fit and no burn through.
www.armourbodies.ca
http://www.airtech-streamlining.com/http://www.airtech-streamlining.com/http://www.armourbodies.ca/http://www.armourbodies.ca/http://www.armourbodies.ca/http://www.airtech-streamlining.com/8/8/2019 Paint by Camille marketing plan
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PPG has a full arsenal of finish systems and products. Brands like theGlobal Refinish System, Deltron, Nexa
Autocolor 2K,DelfleetEvolution, EnvirobaseHigh Performance, the Vibrance Collection andCommercial Performance
Coatingsare among the most popular and proven products in their respective segments.
As an advanced 2nd generation waterborne basecoat, PPGs Aquabase Plus is the ideal compliant solution for high-production body
shops seeking to make the transition from solventborne without sacrificing quality, color accuracy or throughput performance. Well- proven
in Europe where stringent VOC regulations have been in effect for the past several years, Aquabase Plus is now available in North
America.
https://corporateportal.ppg.com/NA/Refinish/PPGRefinish/1-0-About/EN
https://corporateportal.ppg.com/NA/Refinish/PPGRefinish/1-0-About/ENhttps://corporateportal.ppg.com/NA/Refinish/PPGRefinish/1-0-About/ENhttps://corporateportal.ppg.com/NA/Refinish/PPGRefinish/1-0-About/EN8/8/2019 Paint by Camille marketing plan
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Omni (Owned by PPG)
The OMNI system offers outstanding value for the collision repair shop seeking good performance from a refinish system at a very
economical price. The full-line system offers a choice of 5 topcoats and a wide choice of primers and clears, so a system can be
configured to meet very specific operation requirements and cost considerations.
https://corporateportal.ppg.com/NA/Refinish/PPGRefinish/2-0-Products/100_Omni/EN
|
Dupont
DuPont Automotive Systems is the largest global manufacturer of automotive OEM coatings providing technologically sophisticated and
environmentally responsible coatings. DPC Refinish Systems is the largest global manufacturer of coatings for aftermarket car repair.
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DuPont is the second largest world-wide manufacturer of powder coatings offering a complete product range including polyurethane,
acrylic and thermoplastic polymers.
http://www2.dupont.com/Automotive/en_US/products_services/paintCoatings/paintCoatings.html
House of Kolor
Custom paint colors that are brighter and richer than their competitors, using the best pigments and solvents that money can buy. The 50
year old House of Kolor specializes in creating paint that stands out from all of the rest.
http://www.houseofkolor.com
http://www2.dupont.com/Automotive/en_US/products_services/paintCoatings/paintCoatings.htmlhttp://www2.dupont.com/Automotive/en_US/products_services/paintCoatings/paintCoatings.htmlhttp://www2.dupont.com/Automotive/en_US/products_services/paintCoatings/paintCoatings.htmlhttp://www2.dupont.com/Automotive/en_US/products_services/paintCoatings/paintCoatings.html8/8/2019 Paint by Camille marketing plan
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05.FinancialsWith our years of experience in project turnover and actual operation costs from operating in Northern California we have accurate projection for
our fixed and variable costs and income. Following are our projected operations budget, revenue outlook and income projections.
The current estimated costs of goods provides allowances for experienced workers at or above market rate. These prices are negotiable
and will be adjusted for the fair wages in San Diego. The actual profit is expected to be significantly higher, especially in the beginning as Camille
will be doing the majority, if not all, of the work herself. As the business gets more established we expect PBC to scale up and expand to be able
to accommodate a higher volume of work, without sacrificing quality.
A. PROJECTED OPERATIONS BUDGETThere are two primary categories of income our motorcycle painting service and sales of aftermarket body panels. The gross margin of a bike is
significant. The actual cost of goods is primarily paint. There are some materials that are needed and vary by job. Overall we estimate this to be
between 28-30% of our job cost. For example a $700 track bike job requires an estimated $170 in materials and a $1,200 street bike about $300
in materials. Street bikes are marginally higher as the quality of raw materials, such as paint quality, is slightly more expensive. We estimate the
actual labor for a Race bike at 5 hours and a Street bike at 12 hours, a significant difference. However, jobs such as detailing and assembly
require less skill than bodywork or paint, and in turn, allotted less pay. An example of estimate Cost of Goods is below, in Figure 13, following
page.
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Figure 13:Paint by Camille Cost of Goods Sold Itemization
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(continued next page)
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Figure 14:Paint by Camille Projected Operations Budget - Full (Scenario One)
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Figure 15:PBCs Streamlined Annual Operations Budget (Scenario Two)
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B. 3 YEAR REVENUE OUTLOOK
Figure 16:Paint by Camille Gross Sales Projections
C. SUMMARY OF SIGNIFICANT ASSUMPTIONS
Our business hinges on two significant assumptions. The first assumption is that there will be no radical shifts from current motorcycle statistics
(sales, registrations, crashes). The second assumption is that we will continue to expand market share as there are no major regional players.
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D. ANALYSIS
I am confident that Paint By Camille can continue to be a successful business and can grow exponentially with expansion capital. There is very
low risk and the ability to repay loans is expected to be easy. I am ready to commit all of the energy to my company. All my passion and money
has already been invested and I am excited to help take this to the next stage of success.
E. PRO FORMA INCOME STATEMENT
Figure 17:Paint by Camille Projected Income Statement
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F. BREAK EVEN
One scenario would be to operate as I did in the Bay Area. I paid rental per job, typically $60-100 a day to lease a shop. This worked well to a
point but does not allow me the freedom to operate in the space or hours I choose and represses me from being as effective and productive as I
could.
In the other two expansion capital scenarios I would operate my own shop and be able to be more productive, have the freedom to work
more and flexible hours and help bring jobs to other people. My actual operation costs can be covered by less than four jobs per month. The
amount of people requesting work from me is significantly higher than that and operation costs can be recoupable.
Additionally, I have people that I can sublet space to, such as custom painters, pinstripers, decal makers, etc to help offset my costs,
making the recurring costs much easier to handle.
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06.SummaryPaint by Camille (PBC) is an established motorcycle paint and body repair company based in California. We are recently relocated to San Diego
from the San Francisco Bay Area Peninsula and are looking to expand our operation. We are seeking expansion capital to help us grow. We have
two scenarios we are looking. The first scenario would completely fund our entire operation for one year, including the purchase of a spray booth,
the single largest expense, besides rent. The amount is approximately $86,000, $70,000 of which we are seeking.
The second scenario is a streamlined budget which would include a leased-to-own spray booth and does not include tools, marketing
costs, etc. This budget is estimated at $41,400 for an entire years operation expenses. The main difference between the two scenarios is that the
first scenario includes the spray booth paid forward. The first scenario includes more itemized detail.
We are confident that either scenario of expansion capital will help us dramatically increase our work output and customer base. The loan
payments would be easily recoupable from just one or two jobs.
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07.Exhibits
Figure 18:Camilles training and certifications
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Figure 19:Business insurance quote from 5th
Avenue Insurance
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Figure 20:PPGWaterborne Certificate
Figure 21:PPGWaterborne Certificate
Figure 22:Dealer
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D. WORKSPACE
Following is a sample of some listings that I found. I like the areas that are more North, and North East of San Diego including San Marcos andOceanside. East San Diego is also a good value for the kind of industrial space I need.
1. 810 SQFT | $1000 | $1.23/sq fthttp://sandiego.craigslist.org/nsd/off/1752232724.html(Oceanside)
2. 1500 SQFT | $1450 | $0.97/sq fthttp://sandiego.craigslist.org/csd/off/1751305305.html(Mission Valley East, two blocks away from where I currently live. It is behind a shop that sells custom choppers)
3. 1500 SQFT | $1200 | $0.80/sq ft
http://sandiego.craigslist.org/nsd/off/1746965349.html(Poway; Utilities included)
4. 1125 SQFThttp://sandiego.craigslist.org/esd/off/1752813920.html(Rancho San Diego Plaza, Spring Valley)
5. 1213 SQFThttp://sandiego.craigslist.org/nsd/off/1751415637.html(Escondido)
http://sandiego.craigslist.org/nsd/off/1752232724.htmlhttp://sandiego.craigslist.org/nsd/off/1752232724.htmlhttp://sandiego.craigslist.org/csd/off/1751305305.htmlhttp://sandiego.craigslist.org/csd/off/1751305305.htmlhttp://sandiego.craigslist.org/nsd/off/1746965349.htmlhttp://sandiego.craigslist.org/nsd/off/1746965349.htmlhttp://sandiego.craigslist.org/esd/off/1752813920.htmlhttp://sandiego.craigslist.org/esd/off/1752813920.htmlhttp://sandiego.craigslist.org/nsd/off/1751415637.htmlhttp://sandiego.craigslist.org/nsd/off/1751415637.htmlhttp://sandiego.craigslist.org/nsd/off/1751415637.htmlhttp://sandiego.craigslist.org/esd/off/1752813920.htmlhttp://sandiego.craigslist.org/nsd/off/1746965349.htmlhttp://sandiego.craigslist.org/csd/off/1751305305.htmlhttp://sandiego.craigslist.org/nsd/off/1752232724.html8/8/2019 Paint by Camille marketing plan
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08.FAQs
Questions about the business:
How much money do you need?
PBC is seeking $75,000 in expansion capital. This amount is necessary to supply the shop with the proper tools, equipment, materials,
operations, vehicle, marketing, etc., and cover shop rent for one year. The itemized budget is estimated, including everything needed to
operate for one year.
What are you going to do with the money?
I am going to use this money to expand my company. Included in the budget is one year of shop rent about $1,500/month, including
utilities. I am going to need money for equipment such as tools, spray booth, paint system set-up, and motorcycle lifts. Materials needed
will include bodywork materials, paint materials, and shop materials. Marketing expenses are also included to help fuel consistent demand
for work.
What is the future of the industry?
The future demand and need for motorcycle repair and paint is steady and growing. The sales of motorcycles is increasing, and the
demand for repair and paint shops are skyrocketing.
Who is your competition and what are their strengths and weaknesses?
PBC doesnt have much competition in California and throughout the rest of the country. There are either small hole in the wall shops, or a
few small shops that dont accept a lot of jobs, with quality of work being very poor. I have noticed a large amount of emails from all over
the country, stating the same thing over and over; there cant find any local shops. I havent heard any positive talk from motorcycle
owners about the other motorcycle repair and paint shops.
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There are some shops that do specialize in choppedtype motorcycles or auto shops that also do motorcycle repair and paint
work but not ones that really specialize in meeting the needs or the specialize niche of street and track motorcycles.
Questions About The Owner:
Do you have a good credit rating?
My credit score is above average. I am building my credit line as much as I can. I have a few credit cards, and nothing is delinquent.
Are your income tax returns up-to-date?
Yes, all of my income tax returns are up to date.
How much money is in the business?
I have invested approximately $10,000 into the business so far. Most of the money invested has been on tools for the trade.
How long have you worked in the industry?
I have worked in the body repair and paint industry for about ten years now. I also took extra training to receive industry certifications for
repair and paint. These courses were a total of 1,500 hours.
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09.References2005 Motorcycle Sales;http://www.webbikeworld.com/motorcycle-news/2005-motorcycle-sales.htm
Cutting Edge Illusions;http://www.cuttingedgeillusions.com
Motorcycle Statistics for Accidents and Crashes;http://www.edgarsnyder.com/motorcycle-accident/statistics.html
Motorcycle Accident Statistics;http://www.webbikeworld.com/Motorcycle-Safety/crash.htm
Motor Vehicle Registrations (2007);
http://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2008/html/table_05_01.html
Ride to Work: Transportation Fact Sheet;http://www.ridetowork.org/transportation-fact-sheet
State Transportation Statistics (2008);http://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2008/index.html
The U.S. Motorcycle Market, November 2005
1975-2007: U.S. Department of Transportation, National Highway Traffic Safety Administration, National Center for Statistics and Analysis, TrafficSafety Facts, Final Edition, (Washington, DC: Annual issues), table 10, available athttp://www-nrd.nhtsa.dot.gov/as of March 2009.
2008: U.S. Department of Transportation, National Highway Traffic Safety Administration, National Center for Statistics and Analysis, TrafficSafety Facts, Early Edition, (Washington, DC: Annual issues), table 10, available athttp://www-nrd.nhtsa.dot.gov/as of Dec. 2, 2009.
1975-2004: U.S. Department of Transportation, National Highway Traffic Safety Administration, National Center for Statistics and Analysis, FatalityAnalysis Reporting System Database and General Estimates System Database, personal communication, May 25, 2006.
2005-07: U.S. Department of Transportation, National Highway Traffic Safety Administration, National Center for Statistics and Analysis, TrafficSafety Facts, Final Edition, (Washington, DC: Annual issues), table 35, available athttp://www-nrd.nhtsa.dot.gov/as of March 2009.
http://www.webbikeworld.com/motorcycle-news/2005-motorcycle-sales.htmhttp://www.webbikeworld.com/motorcycle-news/2005-motorcycle-sales.htmhttp://www.webbikeworld.com/motorcycle-news/2005-motorcycle-sales.htmhttp://www.cuttingedgeillusions.com/http://www.cuttingedgeillusions.com/http://www.cuttingedgeillusions.com/http://www.edgarsnyder.com/motorcycle-accident/statistics.htmlhttp://www.edgarsnyder.com/motorcycle-accident/statistics.htmlhttp://www.edgarsnyder.com/motorcycle-accident/statistics.htmlhttp://www.webbikeworld.com/Motorcycle-Safety/crash.htmhttp://www.webbikeworld.com/Motorcycle-Safety/crash.htmhttp://www.webbikeworld.com/Motorcycle-Safety/crash.htmhttp://www.ridetowork.org/transportation-fact-sheethttp://www.ridetowork.org/transportation-fact-sheethttp://www.ridetowork.org/transportation-fact-sheethttp://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2008/index.htmlhttp://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2008/index.htmlhttp://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2008/index.htmlhttp://www.ridetowork.org/transportation-fact-sheethttp://www.webbikeworld.com/Motorcycle-Safety/crash.htmhttp://www.edgarsnyder.com/motorcycle-accident/statistics.htmlhttp://www.cuttingedgeillusions.com/http://www.webbikeworld.com/motorcycle-news/2005-motorcycle-sales.htm8/8/2019 Paint by Camille marketing plan
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2008: U.S. Department of Transportation, National Highway Traffic Safety Administration, National Center for Statistics and Analysis, TrafficSafety Facts, Early Edition, (Washington, DC: Annual issues), table 36, available athttp://www-nrd.nhtsa.dot.gov/as of Dec. 2, 2009.
1970-2008: U.S. Department of Transportation, Federal Highway Administration, Highway Statistics(Washington, DC: Annual issue), table VM1,and similar tables in earlier editions, available athttp://www.fhwa.dot.gov/policy/ohpi/hss/hsspubs.cfmas of Feb. 17, 2010.
US Fast Facts; http://www.bts.gov/publications/state_transportation_statistics/state_transportation_statistics_2006/html/fast_facts.html
Spray Booths //
www.autobodytoolmart.com
http://www.autobodytoolmart.com/cross-flow-bike-booth-p-12569.aspx
http://www.paint-booths.com/motorcycle.htm
http://www.bencostuff.com/mpages/paintbooths.html (they dont have prices listed)
http://cgi.ebay.com/ebaymotors/NEW-PAINT-SPRAY-BOOTH-Made-USA-
/320534412025?cmd=ViewItem&pt=Motors_Automotive_Tools&hash=item4aa156faf9#ht_500wt_1182 (ebay car booth)
http://www.spraytech.com/products.asp
http://www.accudraftpaintbooths.com/product-details.php?r_ID=8 (cost not listed)
http://www.spraysystems.com/Autodd.html (cost not listed)
http://www.tecorbooths.com/automotive.html (cost not listed)
http://motors.shop.ebay.com/__?_from=R40&_trksid=m39&_nkw=spray+booth
Powder Coat Booths //
http://www.autobodytoolmart.com/industrial-batch-powder-booth-p-10785.aspx
http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www-nrd.nhtsa.dot.gov/http://www.fhwa.dot.gov/policy/ohpi/hss/hsspubs.cfmhttp://www.fhwa.dot.gov/policy/ohpi/hss/hsspubs.cfmhttp://www.fhwa.dot.gov/policy/ohpi/hss/hsspubs.cfmhttp://www.autobodytoolmart.com/http://www.autobodytoolmart.com/http://www.autobodytoolmart.com/cross-flow-bike-booth-p-12569.aspxhttp://www.autobodytoolmart.com/cross-flow-bike-booth-p-12569.aspxhttp://www.paint-booths.com/motorcycle.htmhttp://www.paint-booths.com/motorcycle.htmhttp://www.bencostuff.com/mpages/paintbooths.htmlhttp://www.bencostuff.com/mpages/paintbooths.htmlhttp://cgi.ebay.com/ebaymotors/NEW-PAINT-SPRAY-BOOTH-Made-USA-/320534412025?cmd=ViewItem&pt=Motors_Automotive_Tools&hash=item4aa156faf9#ht_500wt_1182http://cgi.ebay.com/ebaymotors/NEW-PAINT-SPRAY-BOOTH-Made-USA-/320534412025?cmd=ViewItem&pt=Motors_Automotive_Tools&hash=item4aa156faf9#ht_500wt_1182http://cgi.ebay.com/ebaymotors/NEW-PAINT-SPRAY-BOOTH-Made-USA-/320534412025?cmd=ViewItem&pt=Motors_Automotive_Tools&hash=item4aa156faf9#ht_500wt_1182http://www.spraytech.com/products.asphttp://www.spraytech.com/products.asphttp://www.accudraftpaintbooths.com/product-details.php?r_ID=8http://www.accudraftpaintbooths.com/product-details.php?r_ID=8http://www.spraysystems.com/Autodd.htmlhttp://www.spraysystems.com/Autodd.htmlhttp://www.tecorbooths.com/automotive.htmlhttp://www.tecorbooths.com/automotive.htmlhttp://motors.shop.ebay.com/__?_from=R40&_trksid=m39&_nkw=spray+boothhttp://motors.shop.ebay.com/__?_from=R40&_trksid=m39&_nkw=spray+boothhttp://www.autobodytoolmart.com/industrial-batch-powder-booth-p-10785.aspxhttp://www.autobodytoolmart.com/industrial-batch-powder-booth-p-10785.aspxhttp://motors.shop.ebay.com/__?_from=R40&_trksid=m39&_nkw=spray+boothhttp://www.tecorbooths.com/automotive.htmlhttp://www.spraysystems.com/Autodd.htmlhttp://www.accudraftpaintbooths.com/product-details.php?r_ID=8http://www.spraytech.com/products.asphttp://cgi.ebay.com/ebaymotors/NEW-PAINT-SPRAY-BOOTH-Made-USA-/320534412025?cmd=ViewItem&pt=Motors_Automotive_Tools&hash=item4aa156faf9#ht_500wt_1182http://cgi.ebay.com/ebaymotors/NEW-PAINT-SPRAY-BOOTH-Made-USA-/320534412025?cmd=ViewItem&pt=Motors_Automotive_Tools&hash=item4aa156faf9#ht_500wt_1182http://www.bencostuff.com/mpages/paintbooths.htmlhttp://www.paint-booths.com/motorcycle.htmhttp://www.autobodytoolmart.com/cross-flow-bike-booth-p-12569.aspxhttp://www.autobodytoolmart.com/http://www.fhwa.dot.gov/policy/ohpi/hss/hsspubs.cfmhttp://www-nrd.nhtsa.dot.gov/8/8/2019 Paint by Camille marketing plan
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THE END.
Paint by CamilleMission Valley, CA
650 533 8858
PaintByCamille.com
http://www.facebook.com/paintbycamille
http://www.linkedin.com/companies/paint-by-camille-motorcycle-repair-and-paint
http://MySpace.com/paintbycamille
http://Twitter.com/paintbycamille
http://www.facebook.com/paintbycamillehttp://www.facebook.com/paintbycamillehttp://www.linkedin.com/companies/paint-by-camille-motorcycle-repair-and-painthttp://www.linkedin.com/companies/paint-by-camille-motorcycle-repair-and-painthttp://www.linkedin.com/companies/paint-by-camille-motorcycle-repair-and-painthttp://www.linkedin.com/companies/paint-by-camille-motorcycle-repair-and-painthttp://www.linkedin.com/companies/paint-by-camille-motorcycle-repair-and-painthttp://www.facebook.com/paintbycamille