BA Inc. is looking to conduct operations at its location to meet an ever-growing level of demand for light-weight aluminum alloy wheel products. The company's initial product offering will include the "BA Basic," "BA Deluxe," and "BA Premium." These products are expected to be very popular among car manufacturers as well as individual car owners because of their durability, fresh design and light weight. Strong contact relationships and referral networks among car manufacturers, car and tire services as well as individual car owners are expected to allow for a rapid entry into this market.
Bright Aluminum Inc. will primary product light-weight aluminum alloy wheels for cars preferable for hybrid and EV vehicles and will save consumers on ever-rising costs of fuel and alternative resources. For every 10% reduction in vehicle weight, there is a 5-7% fuel savings. Bright Aluminum provides even greater benefits to hybrid vehicles with advanced power trains, improving fuel economy by 13.5% compared to an equivalent hybrid vehicle comprised of steel. We plan to overcome the current manufacturers with fresh new designs, artwork and attractive packaging and to be priced very competitively and we also intend to continually introduce new products and refinements to the line.
Based on the current prices in Automotive industry, Bright Aluminum INC. has the potential of making sales of $232,000 within the first twelve months of operation. With good management, a revenue growth of approximately 24.53% is expected. The projected ratios at the end of Fiscal Year 2 are quite solid.
This is a start up business, although with years of entrepreneurship and experience in managing private businesses between us. Bright Aluminum INC. will be a privately held firm co-owned by myself, Sandor Szabo and my wife, Allison Szabo.
Key company principals:
- operating with a very low overhead
- being quick to make changes and upgrades to our line of products
- exceeding customer expectations
- manufacturing the highest quality products at competitive costs
- introducing and using state-of-the-art technology
- responsibility to environmental concerns
- striving to be a benefit to our employees
- being a valuable asset to the community
- being a positive experience for all who will contact with the company. In 2010, the global aluminum wheel output reached about 200 million, up 25.9% from 159 million in 2009. It is expected that the output in 2011 will be 216.6 million, up 8.3%. Despite the output of North America was 26.2 million, roughly the same with that in 2009. Superior witnessed a growth rate of 54%.
To achieve the company objectives, we are seeking $345,000 in investment and $67,500 in long-term loans for Bright Aluminum, Inc.
Initial startup will consist of setting up the equipment, and remodeling shipping area, and inventory areas in the 2,500 sq. ft. of production space, with provisions for further expansion when needed.
In the production area, approximately $67,500 of machinery will be added, allowing the firm to produce its products. Further leased equipment will be added starting in the first month of the plan. This equipment will be both manually operated and computer controlled, depending on availability. At present the machine tool market has an excess of available equipment which is driving the costs to purchase these items down considerably. Included in this amount is $30,000 of specialty prototyping equipment which will allow us to solicit specialty prototype work.
Our end-user profile is for the younger customer who is not impressed by old-line brand names and