Car Dealer Business Plan, Financial Model, and Pitch Deck – Case Study

Background

This case study is about an automotive dealer who wanted to acquire an investor based on a concrete business plan, financial model, and pitch deck. The mentioned car dealer company belonged to UAE and Saudia Arabia. The biggest problem faced by our client was the professional fulfillment of each and every aspect to be filled into the template provided by the investor. This template was based on a comprehensive automotive dealership business plan.  

The company’s business plan and financial model are presented in this case study so that you can have a better understanding of its financial status and potential investment. 

Objectives

The five main objectives of this project were to:

1. First, develop a business plan, financial model, and pitch deck for the client.
2. Present the information as per the template provided by the client’s investor.
3. Finally, provide the investor with all the available information regarding the company and its product.
4. Evaluate the current automotive market in the mentioned areas and conduct various analyses, including SWOT analysis, competitors’ analysis, etc.
5. Conduct Details Market Trend Analysis, Supply and Demand, and Competitor Analysis with TAM, SAM, and SOM 

Challenges/Problems

The client’s biggest challenge was acquiring a comprehensive business plan and a supported financial model for 5 years for international investors. In addition, the client’s business plan was not a template or a sample; it was completely customized to fit the investor’s requirements. Therefore, filling out the required information into the template required a lot of effort. We also customized the financial model and pitch deck for the client. Previously, the company had an existing relationship with the investor, making the entire project more challenging.

Solution

The solution for the project was to create a framework that would cover all the aspects of the project and the client’s requirements. It was also required from the Oak Business team to come up with the exact statistics, facts, and figures of the existing automotive market in UAE and Saudi Arabia.   

Automotive Dealership Business Plan

The team at Oak Business Consultant developed a business plan to cover all aspects of the automotive dealer business, including the following:

• Market Research

Market research is important for the automotive dealer business because it helps to understand the competition in the marketplace and how customers perceive the dealership. This is also very helpful in understanding the customer needs and understanding the dealership’s potential market.

• Market Analysis

The market analysis includes understanding the potential customers’ needs and wants and how the dealership can fulfill these needs. It also includes understanding the dealership’s potential competition and why customers would choose the dealership over the competition.

• Competitor Analysis

Competition analysis is very important for the automotive dealer business because it helps to understand the dealer’s potential competitors, as well as the industry in general.

• Competitive Advantage

The automotive dealer can leverage the competitive advantage to become a success. This is also important in understanding the dealership’s potential competitive advantage over its competitors.

• Marketing Plan

The marketing plan covers all the marketing activities to promote the dealership, including marketing strategy, advertising, marketing mix, and so on.

Automotive Dealership Financial Model

 

 

 

The Oak Business team developed this specific financial model to help the client define a clear set of assumptions and key parameters for their business model. The main purpose of the financial model is to demonstrate the expected value of the company’s future operations. It includes all major components. In addition, the financial model provides a complete overview of the dealership, including information on the following:

• Key business drivers, 
• Sales volumes, 
• Detailed Market Analysis including TAM, SAM, and SOM 
• Top Brand Trend Analysis of Previous Years 
• Costs including Fixed costs and Variable costs 
• 5 years Forecasted Income Statement 
• Cash Flow Statement for 5 years
• 5 years Balance Sheet Statement 
• Company Net worth 
• IRR and ROI 
• What is the Payback Period of Investment 
• Dashboard 

The financial model also provides information about the dealership’s location and competition, as well as a detailed forecast of sales and profitability. Furthermore, it has a comprehensive analysis of the dealership’s financing options.