Finance

Allie Cook

Erin Knight

Breyauna Stubbs

Banan Alqethami

ENTR-460

Vehicles For Change Business Plan Rough Draft

I. Introduction:

II. Business Strategy Recommendations

a. Best Cars Sold at Auction

i. Most likely to sell

ii. Most likely to sell for the most money

iii. How to solicit donations to match

b. Value of Scrap Metal Fluctuations

c. Other Public Auctions

d. Purchase a tow truck

i. With VFC spending about an average of $135 on towing per car, with 1,700 cars needing towing per year that adds up to $229,500/year.

ii. A tow truck can be purchased for VFC for an estimate of $229,500 per year on towing expenses.

iii. We created an estimate of the total expense related to the purchase of a tow truck.

	Towing expense/year (Estimate)	Car Payment (Estimate)	Insurance payment (Estimate)	Gas Payments (Estimate)	Employee Expenses	Total
2022	$229,500	~$600/month = $7,200/year	$300/month = $3,600/year	$300/month = $3,600/year	$15/hour X 20 hours/week = $300 x 52 weeks/year = $15,600	$30,000
2023	$229,500	~$600/month = $7,200/year	$350/month =$4,200	$300/month = $3,600/year	$16/hour X 20 hours/week = $320 x 52 weeks/year = $16,640	$31,640
2024	$229,500	~$600/month = $7,200/year	$400/month = $4,800	$300/month = $3,600/year	$17/hour X 20 hours/week = $340 x 52 weeks/year = $17,680	$33,280
2025	$229,500	~$600/month = $7,200/year	$450/month = $5,400	$300/month = $3,600/year	$18/hour X 20 hours/week = $360 x 52 weeks/year = $18,720	$34,920

iv. Sample tow trucks can be found here:

1. https://www.commercialtrucktrader.com/Baltimore-Wrecker-Tow/trucks-for-sale?category=Wrecker%20Tow%20Truck%7C2006880&city=Baltimore&state=Maryland%7CMD

1. What are the best type of cars sold at an auction? most likely to sell and for the most money; how to get more of these cars - research – Bre

2.Research the value of scrap metal and why it goes up and down- Banan

3.Top choices for auctions- Gettysburg auction because they are a public auction; they also use a virtual auction and many cars are sold overseas – Allie

4. Investing in a tow truck which costs $135 per car- Erin 

https://www.commercialtrucktrader.com/listing/2017-FREIGHTLINER-BUSINESS+CLASS+M2+106-5015262855 – tow truck for $75,987

1,700 Cars at $135 per car = $229,500/year