ATU

ATU-AUTOMATED TOILET UNIT

Anytime…Anywhere…

A BUSINESS PLAN PROPOSED BY,

H.MOHAN KUMAR MBA I YEAR, PSGIM

S.VIJAY KUMAR MBA I YEAR, PSGIM

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TABLE OF CONTENTS

Executive Summary...........................................................................................................................................2
1.1. Objectives................................................................................................................................................4
1.2. Mission....................................................................................................................................................4
1.3. Keys to Success.......................................................................................................................................4
Company Summary............................................................................................................................................5
1.4. Company Ownership...............................................................................................................................5
1.5. Company Locations and Facilities..........................................................................................................5
Services..............................................................................................................................................................5
1.6. Service Description.................................................................................................................................6
1.7. Competitive Comparison.........................................................................................................................6
1.8. Fulfillment...............................................................................................................................................7
1.9. Technology..............................................................................................................................................7
1.10. Future Services......................................................................................................................................7
Market Analysis Summary.................................................................................................................................8
1.11. Market Segmentation............................................................................................................................8
1.12. Target Market Segment Strategy...........................................................................................................8
1.12.1. Market Needs.................................................................................................................................8
1.12.2. Market Growth...............................................................................................................................9
Strategy and Implementation Summary.............................................................................................................9
1.13. SWOT Analysis.....................................................................................................................................9
1.13.1. Strengths.........................................................................................................................................9
1.13.2. Weaknesses....................................................................................................................................9
1.13.3. Opportunities..................................................................................................................................9
1.13.4. Threats..........................................................................................................................................10
1.13.5. Pricing Strategy............................................................................................................................10
1.13.6. Promotion Strategy.......................................................................................................................10
Management Summary....................................................................................................................................10
1.14. Organizational Structure.....................................................................................................................11
Financial Plan...................................................................................................................................................11
1.15. Start-up Funding..................................................................................................................................11
1.16. Projected Cash Flow............................................................................................................................12
The cash flow statement for the first five years is presented above. It is possible to see a positive net cash
balance beginning in the first year and increasing gradually to 1,42,00,000 in the third year.........................12
Conclusion........................................................................................................................................................12
After gaining the market in the local industry the company will expand its services to an international level.
ATU will provide hygienic toilet services to every single user of the service.................................................13

Executive Summary

ATU, automated toilet unit offers fully automated pay & use restroom services. Although you have seen
this concept emerge widely in metropolitan cities, it is still not widespread and also the fact remains that
it is not fully automated. Being a major business hub the number of people who transit to and via
Coimbatore, always demand such services. As a start we are planning to implement this at Coimbatore

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railway junction, Town hall and mofussil bus stand. At such places there would be no limit to the
number of people who demand our services.

The company is a combination of high quality automation with due importance to cleanliness and being
eco friendly. Statistical surveys and Regressive analysis based on basic market research proves the need
for such toilets in Coimbatore.

The Company:

ATU is a Coimbatore based company, whose mission is to provide services to make people comfortable
by using our services while they travel. The profits from operation at Coimbatore will be used to further
expand our services across India.

The product:

All the units will be designed and manufactured at two places at Coimbatore. It consists of a 3*3 feet
stainless steel room with a western pot. The input and output of the unit is connected to an automated
machine which uses programmable logic controllers to control inflow and outflow. People have to insert
a five rupee coin for the door to open and as soon as they are out, it takes 30 seconds to clean the room
automatically. A green light on the door signifies that the restroom is free for use, blue to signify in use,
and red to signify cleaning in progress.

Market growth

Acquiring of contracts for implementation is government offices, private organizations, educational

institutions, places of worship and public functions. Competitors in this field are very minimal so there is
scope for exponential growth.

Finance:

The company is seeking 3 crores in both short term and long term loans to finance the purchase of raw
materials and marketing. The company will make profits within the first six months of operations. The
company does not expect to have any cash flow problems during the first four years of operation.

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1.1. Objectives

The company's objective is to build quality, hygienic, round the clock automated toilet service to the
people.

Currently, there is no automated toilet service in Coimbatore or the surrounding areas. The company
believes that by entering the marketplace first and by establishing quality facilities, it will become,
and remain, a leader in the lavaratory service industry in the Coimbatore region.

Our fundamental objective is to make people realize our service is indispensable.

Our goal is to expand our service to an international level.

1.2. Mission

Automated toilet unit aims to offer hygienic and pleasant lavaratory service at all times.
ATU offers a reliable, high-quality alternative to existing lavaratories on a commercial scale.

• ATU is a commercial product and service enterprise, and as such, exists to serve its
customers. It also exists for the purpose of generating sales & profits for its investors.
• ATU will offer the lavaratory service in a soothing environment.
• ATU will be focused on pleasing our customers.

The company will seek to provide these services in the most satisfactory manner and with an
ongoing comprehensive quality control program to provide 100% customer satisfacstion.

1.3. Keys to Success

Keys to success for the company will include:

1. Maintaining a good reputation in the community.

2. Quality service
3. Hygiene

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4. 24/7 Service
5. Reduces People’s Expenses
6. Exceeding Customer's expectations
7. Right place, right time.

Company Summary

ATU, automated toilet unit offers fully automated pay & use restroom services. Although you have seen
this concept emerge widely in metropolitan cities, it is still not widespread and also the fact remains that
it is not fully automated. Being a major business hub the number of people who transit to and via
Coimbatore, always demand such services. As a start we are planning to implement this at Coimbatore
railway junction, Town hall and mofussil bus stand. At such places there would be no limit to the
number of people who demand our services.

The company is a combination of high quality automation with due importance to cleanliness and being
eco friendly. Statistical surveys and Regressive analysis based on basic market research proves the need
for such toilets in Coimbatore.

1.4. Company Ownership

This business will start out as a simple proprietorship, owned by its founders. As the operation
grows, the owners will consider re-registering as a limited liability company or as a corporation,
whichever will better suit the future business needs.

1.5. Company Locations and Facilities

The initial office will be established in the heart of the Coimbatore city with basic amenities.

Services

We will have a network of over 10 toilets within the district and maintain them in a safe and clean
condition.

We will:

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• Open the toilets for 24 hours all the day

• Clean each toilet on each day every 2 hours

• Provide attendants during busy seasons at toilets where there are a large number of daily users

• Make our public toilets more efficient in their use of water and electricity

• Use fixtures and fittings that are durable

1.6. Service Description

The ATU toilets are designed for high volume use with comfort in mind. Ideally suited for public
places, private functions and events.

The units feature modern, sleek styling both inside and out. We ensure our ATU users their
sanitation needs are met. ATU ensures the cleanest and most presentable toilets at all times.

ATU toilets have outstanding features such as

•Fresh water flushing

• Smooth, sleek styling
• Hand washing station built in
• Interior lighting
• Spray hand soap dispenser
• Toilet seat sanitizer
• Toilet paper
• Odour control unit

We supply each toilet stocked with all consumables ready for your use.

1.7. Competitive Comparison

ATU will be the first automated toilet service in Coimbatore. ATU will differentiate itself from
the traditionally available pay&use toilet services in Coimbatore by providing its customers with

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• Portability

• Hygiene

• Water and Electricity conservation

• Pleasing Odour

• Availbility

1.8. Fulfillment

The key fulfillment and delivery of the services will be provided by the principals of the business.

• The real core values are

• Helping people is our goal, not selling a service.

• Clean Quality Service

• Timely service

1.9. Technology

By hiring the industries top consultants, we limit the risk and are in touch with the reliability of
technology.

1.10. Future Services

In the future, ATU will broaden the coverage by expanding its services all over India. Based on the
success on national level we will expand our services futher into international markets.

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Market Analysis Summary

ATU is faced with the exciting opportunity of being the first-mover in the coimbatore market. In this fast
paced world ATU becomes a basic necessity. Coimbatore for example has a lot of commuters who
transit to and fro for various business, for them the services available now are not upto the standards be it
at bus stands or railway stations. Our company provides solutions to such customers who are willing to
afford for hygenic toilet use. For various public and private events such as potlitical functions, trade
fares, temple processions it is often difficult to establish a toilet for a limited amount of time. In such
cases our portable automated toiltet units offer such a services.

1.11. Market Segmentation

Market segmentation in coimbatore is based on the density of people at various places.

1. Over crowded: Bus stands, Raliway stations, Temples.

2. Moderately crowded: cinema theaters, Schools, colleges and organisations.

3. Ad-hoc crowds: processions, trade fare, political meetings.

1.12. Target Market Segment Strategy

As a start we plan to focus on targeting the over crowded places, since they are bound to use the
toilet at such places. Based on the inital success and reception of people the other segments in the
market to be covered on a gradual basis.

1.12.1. Market Needs

Pay and use toilet already exists but it is not fully automated. Existing toilets do not offer
standards interms of ease of use and cleanliness which ATU offers. It is a fact that local
services providers do not meet customer expectations and those expectations will be met by
ATU services.

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1.12.2. Market Growth

An automated toillet unit at coimbatore does not exist. A new market has to be created and
there is scope for tremendous increase in market share.

Strategy and Implementation Summary

1.13. SWOT Analysis

1.13.1. Strengths

Clear vision of the market need: The need for a pay and use toilet always exist and that the
customers are willing to pay a little extra for premium services is undisputed fact.

Full automation: Reduces the need for labour in terms of maintenance and general handling.

State of the art technology: Since the product is innovative and offers a pleasent experience
people would come back to experience ATU.

Offers portablilty: A toilet which moves is always a competitive advantage. The unit can be
fixed at any place and therefore new opportunites arise.

Improves Usage of Public Transport

1.13.2. Weaknesses
• A dependence on quickly changing technology.
• Cost factor associated with keeping state-of-the-art hardware.
• Not knowing how to use the automated toilet. Fear that the technlolgy will not work
might prevent people from using it in the first place.

1.13.3. Opportunities

Coimbatore becoming a biggest business hub of tamilnadu.

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Expanding population.

Expanding Transport networks.

Choice of preference for publice meetings, processions and events.

1.13.4. Threats

Already existing local players in the market.

Sudden failure of the system causes problems.

Threats of new entrants to the market.

1.13.5. Pricing Strategy

Since the services are premium we have fixed the price per use to be Rs 5.

1.13.6. Promotion Strategy

Demonstrate the product at various shows and events such as trade fairs and market. Ads in
news papers, T.V, radio, pamplets and posters to reach the local public will be implemented
in a phased manner. Creating awareness at schools and colleges by providing them ATU for
free for a short period. Awareness programmes will be conducted on a regular basis on
hygiene.

Management Summary

The initial management team depends on the founders themselves, with little back-up. As we grow, we
will take on additional consulting help, plus research & development, sales, and marketing.

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1.14. Organizational Structure

Since this business is a new initiative the founders of ATU will take care of most of the companies
important functions. Other functions like research which require external back up could be
outsourced to consultants.

Financial Plan

1.15. Start-up Funding

Start-up

Requirements
In Rupees

Start-up Expenses
Legal 2,50,000
Research & Development 4,00,000
Maintenance 1,50,000
Insurance 10,00,000
Labour 5,00,000
Promotional 10,00,000
Electricity 2,00,000
Administrative 20,00,000
Miscellaneous 5,00,000
Total Start-up Expenses 60,00,000

Start-up Assets

Other Current Assets 60,00,000

Long-term Assets 1,80,00,000
Total Assets 2,40,00,000

Total Requirements 3,00,00,000

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1.16. Projected Cash Flow

YEAR 1 2 3

CASH INFLOW

CAPITAL 3,00,00,000 - -

Revenue from 1,33,00,000 1,78,00,000 2,10,00,000

Services

Interest 5,00,000 5,00,000 5,00,000

CASH OUTFLOW

Start-up 60,00,000 - -

Maintenance - 50,00,000 50,00,000

Long-term assets 1,75,00,000 - -

Current assets 60,00,000 - -

Cost of units 8,00,000 8,00,000 8,00,000

Interest 30,00,000 20,00,000 10,00,000

Tax&Miscellaneous 5,00,000 5,00,000 5,00,000

CASH 1,00,00,000 1,00,00,000 1,42,00,000

REMAINING

Repaying of Debt 1,00,00,000 1,00,00,000 1,00,00,000

The cash flow statement for the first five years is presented above. It is possible to see a positive net cash
balance beginning in the first year and increasing gradually to 1,42,00,000 in the third year.

Conclusion

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After gaining the market in the local industry the company will expand its services to an international
level. ATU will provide hygienic toilet services to every single user of the service.

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