KM Tyres Company

Prepared for: Bharat Viman Company Inc located at 32 bankra, west Bengal- 07

Prepared by: KM TYRES COMPANY, hereinafter (“KM Tyres company”) located at 12 BC road, kalasur,
and West Bengal-06.

Description: KM Tyres Company is seeking funding from Bharat Viman Company for manufacturing
aircraft Tyres for Bharat Viman Company’s jet stream air plane model. The funding
request, market analysis and return of investment analysis of the project are included in
this proposal. KM Tyres company is seeking the flexibility, guidance, funding of Bharat
Viman company for the growth of business in order to benefit both the parties.

Executive summary
The purpose of the proposal is to forge a strategic relationship between KM Tyres company and
Bharat Viman Company to leverage the customer base for KM Tyres Company’s newly developed
Product.

 4-ply rubber outer layer for durability

 Ribbed inner walls for tube strength
 33 psi pressure rating
 11 pounds per tire
 $650 per Tyres

The business has a window of opportunity to introduce its products and gain a significant piece of
market share. The new product/service caters to a wide range of customers and is expected to hold a
market share of 12%.
Project Description: The project will be completed at follows:

 Phase 1,tyres design :- 6 months

 Phase 2,tyres testing :- 6months
 Phase 3,tyres production :- 1 year

KM Tyres company is planning to employ certified engineers to design and test the tyres, and will
employ a tyres production plant in China to produce the tyres.

Sales and marketing: The main target markets for the business include:

 Aviation industry
 Aerospace industry

It is estimated that there are 250 potential customers within the business’s defined trading area that are
estimated to spend $ 200 million .To seek the most profitable market segments in the target market
overall ,the business will focus on the following areas within the target market:

 Landing gear components.

Financial summary
The business is expect to generate $2.7 million in the first year and gross profit is expected to be $0.432
million .out the gross profit 25% will be earmarked to pay back Bharat Viman company loans .Bharat
Viman company will also get a share of profit .The total investment shall be $20 million .Fixed costs are
limited to our office space and equipment lease at $10,000/month .Variable cost will include repair and
maintenance, sales and marketing expenses.

Closing section
Future growth prospects are extremely positive for the new business venture. The strategic partnership
between KM Tyres Company and Bharat Viman Company should ensure a 35% increase in the total
revenue from the new business.