Freight Xchange Initiative
Table of Contents
Executive Summary Strategic Approach Core Service Offering Investment Required
Opportunity Assessment
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Executive Summary Freight represents a significant GDP expenditure for South Africa and the African Continent. Loadit objective is to offer a comprehensive contact solution to improve efficiency within the freight sector, whilst exploiting current market conditions such as projected rapid economic expansion in the SADC region, and policies such as BBBEE (Broad Based Black Economic Empowerment). A transactional charged solution for the selling of space on freight transporters focusing on: » Returning with no load. » New load » Excess Capacity » Unique requirements
Strategic Approach Interactive Contact Centre. Reverse Auction Ecommerce Solution. Live Support Centre with active contact on the website. Outbound call centre Industry Linkages with RFA (Road Freight Ass) and RRA (Road and Rail Ass) Media Partnerships Free membership for all users with a transactional fee and a once off activation fee on first transaction.
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Core Service Offering
Free Registration on Website Free advertising of opportunities Transactional Fee based Activation fee on the first successful application. Paid for services Email quotation SMS quotations and notifications Management reports. Additional Services – Insurance on Cargo – DriverMan – Transactional services (on-delivery-payment) Call centre inbound services
Required items are sourced by sending out a Request for Quotation (RFQ) to a pre-approved supplier panel by email with an optional SMS notification Suppliers quote by replying to the RFQ email or by submitting the quote online When all suppliers have quoted or the closing time has been reached the RFQ is closed, emailing a report to the user as well as to all suppliers that quoted stating their positions according to price.
User awards the sale to the successful supplier which automatically sends out a purchase order via email as well as an optional SMS to the client A notice will be sent to the administrator if the user's settlement mandate has been exceeded Supplier authenticates the purchase order and arranges delivery or collection of the items
Feedback request sent to supplier to determine transaction status (PRO) Supplier responds to feedback request requesting invoice to be generated (PRO) Invoice generated and sent to user User organization pays invoice on receipt or per Bordereaux agreement
Reports Closed - calculate savings on a continual basis Audit Trail - view complete procurement process View by Quote - view quotes in a supplier basket Transaction Fees - view service fees generated Supplier management User management Area management Category management Tender management Statistics (PRO) Daily, weekly and monthly email reports (PRO) Contract Management (PRO)
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Investment Options 1. 45% Partnership > R250,000.00 2. 35% Partnership > R150,000.00 3. Build Operate and Transfer ownership(1 year)> R350,000.00 Investment Required for, Initial technology and call centre setup and development of concept to 1000 verifiable transactions.
Opportunity Assessment This opportunity offers a potential investor a long term sustainable annuity and transactional revenue opportunity. The upfront development of the market will cost the initiative in the first year and thereafter will be drastically be reduced. Unqualified projections for the first year based on an average transaction @ R375.00 + Activation of 100 users @ R500 With an assumed 1000 min transactions in the first year works out to turnover of R425 000.00 in year 1. A 100% year on year growth of the business can be achieved with 2 -5 employees. With up to 45% profit before tax and other items. This business will best suit an organization involved in procurement related services.
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In Confidence You have received this email based on your company’s assessed involvement in procurement services and related. Confidentiality is implied by your accessing this document and will be consider de facto. For a presentation and further discussion on the opportunity please contact : Sakhile Malinga
[email protected] 0768584520
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