An exciting new business idea is possible in Eugene. University Mopeds rents mopeds from students at the University of Oregon. There is currently no business like this, in Eugene, which caters to this market.
It is possible to rent a student’s own vehicle during school for just a little more than a monthly cellular telephone bill. Mopeds are more cost-effective than cars and have lower fuel consumption. It is also possible to insure these vehicles for around $30-$50 per year.
This business target market would be approximately 15,000 full time students. Many students commute daily from Autzen Field. Parking on campus is hard to find, and the bus offers few options. The economical moped is the answer.
Students don’t have the money to buy a moped but can rent one for $50 per month. University Mopeds would purchase used mopeds for $400-$700 and lease them out. The average moped would be paid off within one year.
University Moped will attempt to reach 1% of full-time students in year one. This would translate into 150 rented mopeds. The 5-year growth rate should be no less than 15%.
Assuming an average purchase price of $550, and a ten month rental contract at $50 per month, it is possible for University Mopeds to be profitable in year two.
1.1 Objectives
- Rent 150 units in one year.
- University Mopeds can be self-sufficient and economically viable by year 3.
- Rent at least 263 units per year (5% annual growth rate)
1.2 Mission
University Mopeds will serve the student first. University Mopeds will allow clients to rent quality transportation at a fair rate. University Mopeds will be a financially sound business, which will reward employees and its owners.
1.3 Keys to Success
- Great customer service and value.
- Rent affordable.
- Reaching the target markets
- Integrity in service to our customers results in repeat business.