pai sure 06feb final

Taxi Co., Ltd

Business Plan

Dated: February 7, 2012

Copy # 1 of 1 printed

Taxi Co., Ltd.

EXECUTIVE SUMMARY

Pai Sure Taxi was initiated from the idea that people living in Bangkok prefer to get better

service from its public transportation. Hence, group of founders finally came up with this new

business which mainly focuses on providing new taxi service. The key business concept is the

company will serve every customer request with a superior service and well-trained taxi drivers.

Besides, new technology including Global Positioning System (GPS) and radio communications will

equip with all of the vehicles in order to ensure the security of each individual passengers.

The target customers normally will be the people who particularly concern about their

belongings and/or punctuality with middle to high income including women, businessmen, foreigners

and tourists. Those people will gain benefits through company’s superior services. Another advantage

of the company is that passengers can also make an advance booking for using its services via call

center and online booking.

Pai Sure Taxi’s strategy plan is to start operating its service in Bangkok with the numbers of

fleet around 300 (Toyota Camry). Trusted drivers of each exclusive taxi are very competent, well-

trained driver committed to giving you a most comfortable ride. After five years of operation,

company will expand this quality and service into major cities in Thailand such as Chiang Mai,

Phuket, and Nakorn Ratchasrima. Therefore, company has to build more service centers along with

those cities in order to increase the network with the corporate culture to satisfy its customer demand.

With an experienced management team, Pai Sure Taxi can guarantee to its stakeholders that it

will sustain its growth and prosperity along with a strong corporate social responsibility.

The management team consists of five MBA graduates. Panithan Akarasriprapai, the CEO of

the company, has academic background in economics and extensive work experience in banking industry

with Krung Thai bank as an investment banker. Nipaphan Nicrodhanon, CFO, has academic background in

statistics and finance. She has four-year work experience as financial and risk management officer for Siam

Cement Group (SCG) that provides a wealth of experience in new venture business structuring and planning,

particularly in financial issues. Tanyatip Kharuhayothin, CMO, earned her Bachelor Degree in Communication

Management and extensive work experience in Public Relations at Hill & Knowlton Thailand. Kantika

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Taxi Co., Ltd.

Angsutornrangsi, R&D Director, has background in finance of various industries as she worked as a consultant at

Deloitte Touche. Suchai Noichaya, COO, has academic background in liberal arts and has 5-year work experience

in customer service.

Pai Sure Taxi’s revenue is anticipated to begin in 2012 and projected to grow to 127 million

in the next five years based on conservative assumptions about the market environment. This business

plan will yield a Net Present Value (NPV) of 137 million at a discount rate of 15%, and will have a

projected Internal Rate of Return (IRR) of 61.277%. The payback period is about three years and

nine month.

Pai Sure Taxi is seeking an equity funding of 15 million in 2012. In return for this

investment, the investor would receive an equity stake of 50% and two seats on the Board of

Directors. This investment fund will be recovered within three years and four months for the dividend

stream and yield an NPV of 106 million at the discount rate of 15%. The IRR for the investor will be

62.93%.

Pai Sure Taxi is an exciting and potentially very lucrative investment opportunity and the

management team looks forward to discussions with the investor.


Taxi Co., Ltd.

TABLE OF CONTENTS

THE COMPANY AND THE PRODUCT.................................................................................5Company History...............................................................................................................5The Product........................................................................................................................5Resource-Based Analysis...................................................................................................6

MARKETING PLAN.................................................................................................................7Market size and growth......................................................................................................7Underlying Trends.............................................................................................................8Current Rivals....................................................................................................................8Potential Rivals and Substitutes.........................................................................................8

Our Strategic Advantages.......................................................................................................8Strategic Options and Alternative Chosen.............................................................................9

Target Market.........................................................................................................................9Marketing Strategy...............................................................................................................10

OPERATIONAL PLAN...........................................................................................................12Company Structure and Organization Chart........................................................................12Key Personnel.......................................................................................................................12Production and Operations...................................................................................................13Research and Development..................................................................................................14Risk Reduction Strategies....................................................................................................15Exit and Harvest Strategies..................................................................................................15

FINANCIAL PLAN.................................................................................................................15Underlying Assumptions......................................................................................................15Pro-Forma Financial Statements (Expected Case)...............................................................16

Income Statements............................................................................................................16Cash Flow Statements......................................................................................................17Balance Sheets.................................................................................................................18

Summary Financial Results..................................................................................................19Sources and Uses of Funds..............................................................................................19Sensitivity Analysis...........................................................................................................19Worst Case Scenario........................................................................................................19

Proposal to Investor..................................................................................................................20APPENDICES..........................................................................................................................21

Exhibit 1: Background analysis (TERMS).......................................................................21Exhibit 2: Market Survey.................................................................................................21Exhibit 3: Summary of Environmental Analysis..............................................................21Exhibit 4: Porter’s Five-Forces Model (For taxi service industry) ................................22Exhibit 5: Characterizing the Business Model of Pai Sure Taxi.....................................22Appendix A: Management Resume..................................................................................23Appendix B: Pro-forma Income Statement (Worst Case Scenario) ................................28Appendix C: Pro-forma Cashflow Statement (Worst Case Scenario) ............................29Appendix D: Pro-forma Balance Sheet (Worst Case Scenario) .....................................30


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THE COMPANY AND THE PRODUCT

Company History

Taxi passengers are facing serious problems: taxi drivers refuse to drop them to any particular places

especially in raining and/or rush hour. Besides, this problem arises from the fear of both passengers and taxi drivers,

due to increase in crime rate. Consequently, his firm is founded in order to address these problems.

Pai Sure Taxi’s first goal had been to provide quality transportation services non-existent in Bangkok at

the time and also to maintain such a high standard of quality and service over the years. Itwill become the

pioneering taxi company to implement the strict use of taximeters, Global Positioning System (GPS) system, in-car

camera and radio communications on air-conditioned vehicles. Safety glass will be attached between the drivers

and passengers in order to guarantee the security for both sides. Also, several service stations will set up in Bangkok

to support daily operations of such vehicles. Moreover, the company plans to expand its operation into other big

cities in Thailand including Pattaya, HuaHin, Chiang Mai, Phuket and Nakorn Ratchasima.

Pai Sure Taxi’s mission is to achieve customer satisfaction and to build and defend the first position as

market leader in taxi service by providing reliable as well as superior service with efficient use of resource and

teamwork basis.

The Product

Pai Sure Taxi fulfills every customer’s requirement in Bangkok and suburban areas, with channels

spreading throughout major hotels and airports. Among the privileges that can be enjoyed by Pai Sure Taxi,

customers are experienced drivers trained to give a safe, comfortable, easy and personalized service, full

automotive insurance, and replacement vehicles ready at your beck and call. Besides that, the passengers can also

book the taxi in advance via its call center or on-line website, which will help save their time and cost. Therefore,

the passengers can enjoy customized services through the voyage.

Pai Sure Taxi will operate with the existing taxi fleet of around 50 and carries several coveted features

including spacious interior and ample legroom. For safety purpose, Pai Sure Taxi has equipped the taxi with glass

partition door between taxi driver and passenger seat. For further safety and tracking purpose, the taxi is also

equipped with DriveCam and GPS technology systems where call center and headquarter office could track where


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the taxi is, the distance to each destination and the duration for getting to the destination. Moreover, the DriveCam

is installed to monitor the driver and passenger in case if any unethical act or crime happened in the taxi and for

company’s quality control of the taxi drivers. These technologies incorporated in the taxi also helpful for tracking

Lost and Found service if passengers forget their belongings in the taxi later on. Due to variety term of payments

available for customers who do not want to carry too much cash with them, the company also offers credit card

payment apart from normal cash payment to its customers.

Pai Sure Taxi provides its customers with reliable, more safety, availability, on-time, and superior taxi

service. Since there is an issue regarding the increased in taxi crime rate, taxi drivers and passengers are scared at

each other, and sometimes taxi drivers refuse to go to certain destinations, this product is designed for customers

who concerns about safety and availability for taxi service. The service also covers booking service through call

center, internet, and mobile application booking. Also, noted that this booking service will be running for 24 hours.

To create brand identity of the product, Pai Sure Taxi is designed to be unique in its appearance such that

there will be Pai Sure logo with sign built on top of the taxi. To protect this technical resource,

which is considered the company’s VRHN, the company plans to register design used for the logo. The analysis of

value innovations for such taxi service using TERMS are summarized in the exhibit 1.

Resource-Based Analysis

Resource-Based AnalysisPhysical Resources Pai Sure Taxi is equipped with GPS to find and track the route, glass partition to separate driver and

passenger, communication tool to contact with the service center and EDC to accept payment besides the cash. Also, the company will provide the unique appearance including logo at the top of taxi’s name so the customers can easily recognize the company’s taxi.

Reputational Resources

To build and keep the reputation, Pai Sure Taxi not only takes advantage of being the first mover in the new taxi service with safety concern for customers, but also continues to train its employees to control the service quality. Therefore, customers will regard drivers who are Pai Sure Taxi’s employee as honest and service minded persons. Also, the company will seek to endorse the safety of the taxi service from accepted organization or government to strengthen the reputation. This system will support Pai Sure Taxi’s to charge with premium, get the profit, and thus contribute to the firm’s financial soundness.

Organizational Resources

Pai Sure Taxi operates the new taxi service systematically. To ensure the quality service and safety for the customer, the company employs the well-trained taxi drivers as permanent employees and has the main service center. The well-trained taxi driver will be the person, who has service minded and honest, and the main service center will have the system to track the route and support the passenger and driver to have a safety trip. The company develops a strong corporate culture such as teamwork, equality performance-based evaluation and reward the person, who is well perform. Pai Sure Taxi also manages its taxi in adequate number for each area.

Financial resources To begin the operation and service, Pai Sure Taxi aims to have Debt to Equity ratio at 1:1 so the company will get funding from 2 parts, which are 50% from shareholder equity, and other 50% from long-term commercial bank loan. If funds are not enough, the company plans to raise the new capital by funding additional strategic shareholder to invest in Pai Sure Taxi. Moreover, providing safety service with the operational excellent and being first mover, the company has an ability to generate the amount of cash flow to cover its expenses.

Intellectual & Pai Sure Taxi has the well-trained employees (e.g. taxi drivers and call centers, etc.) and motivates all


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Human Resources employees to work as a team and have service mind and honest that will contribute to the entrepreneur culture and quality of organizational resources.

Technical Resources Pai Sure Taxi integrates the existing technology such as computer network (communication and information system), EDC and GPS to provide the superior and safety service.

MARKETING PLAN

Market Size and Growth

The market for Pai Sure Taxi consists of 3 main groups of stakeholder which are taxi owner who already

owned taxi vehicles and provided taxi service to customers, taxi driver who already registered as a taxi driver and is

leasing taxi to drive, and passenger who is normal commuters that uses taxi service. Pai Sure plans to use both

push marketing – to taxi owner and taxi driver as well as pull marketing – to passenger.

Taxi Owner Market

Currently, there are approximately about 91 taxi companies in Thailand. Of these, 21 are licensed taxi

service companies1 around Bangkok and suburban areas. Those licensed taxi companies are our primary targets to

partner with when introducing our premium-safety taxi service.

Moreover, the number of registered vehicle for urban taxi in Bangkok as of December 2010, according to

Department of Land Transport, is 96,255 units2. Hence, at the moment, all taxi companies should supply taxi

vehicles around 97,000 units in the market.

Taxi Driver Market

Well-trained taxi driver is the key success in implementing Pai Sure Taxi service. According to

Department of Land Transport, total number of driving license for public automobile as of January 2012 is 219,588

issues2. Of these, around 100,000 issues belong to taxi drivers in Bangkok area. Pai Sure will use push marketing

to recruit those drivers to attend training session for safety purposes.

Passenger Market

The number of passengers who use taxi as main transportation is estimated to be 100,000 people and

expected to grow positively correlated with GDP at the rate of 4 percent.

Table 1: Statistical Population of Bangkok3

5,701,394 Population of Bangkok2,991,826 Female in Bangkok2,425,348 Foreigners in Bangkok (tourists and expats)1,995,487 Earning 15,000 THB or more per month

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1http://www.smiletaxi.com/v157/index.php?option=com_content&view=article&id=57&Itemid=662http://apps.dlt.go.th/statistics_web/statistics.html3http://www.agriinfo.doae.go.th/year54/general/population/pop53.pdf

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http://www.agriinfo.doae.go.th/year54/general/population/pop53.pdf

http://apps.dlt.go.th/statistics_web/statistics.html

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Underlying Trends

People are using more public transportation due to the following factors:

1. Oil price has been increasing. It is believed that using public transportation is a more economical way of

transportation. Consequently the number of people using their own private car has also been decreasing.

2. The extent of sky-train and metro rail line massively increases the number of commuters. Moreover, taxi is a

way to connect passengers from the stations to the desired destinations.

3. With the increasing trend in sedan purchase, the number of parking spaces has been decreased and was

perceived as insufficient. Ironically, many people tend to park their cars at home or big parking spot provided

at the sky-train or metro station and use public transportation.

4. The standard of living has improved. As income increases, the number of people using taxi, among people

who previously preferred cheaper means of public transportation has increased.

For further investigation on trend of firm’s business environment, please refer to exhibit 3 and 4 for

SEEDTIP and Five-Force Analysis.

Current Rivals, Potential Rivals and Substitutes

Current Rivals Potential Rivals and Substitutes1. Normal taxi: corporate and private taxi2. 1661 Taxi: taxi corporation with dial and radio service calls3. Limousine: customized service with advanced booking basis

1. BTS/MRT/Airport Link2. School bus3. Bus and other kinds of public transportation4. Personal vehicles

Our Strategic Advantages

Initial Competitive Advantages Sustainable Competitive Advantages First mover in developing high quality

and safety taxi service Developing HR and information technology system to ensure the consistent service quality

and safety services The taxi is equipped with GPS, fence,

communication tool and EDC. Continuing to improve the quality service level by employees and system development.

Accreditation by the renown organizations or government as safety and surety taxi

Retaining and motivating the employee by performance-based evaluation and reward to the person, who is well perform to stimulate worker productivity and keep valued human resource within the company

Building team-based entrepreneurial culture to provide service excellence Building the brand image of being the first in the innovative safety taxi service Keeping and maintaining the reputation by consistently deliver high quality service level. Ensuring the reputation by ongoing employee development to have service mind and

honesty


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Strategic Options and Alternative Chosen

Alternative Business Models

Strategic Options Advantages Disadvantages

1.Acquire established taxi corporation

Quick market entry Relatively low capital investment Better knowledge about the industry Immediate acquisition of previously owned license

Required some capital for business development

Harder to modify with intended equipment

2. Joint venture with established taxi corporation

Quick market entry Moderate capital investment Better knowledge about the industry Strengthen competitive advantage of each firm

Required some capital for business development

Conflict of interest among TMT Partial control of finance and policy

3.Lease new car Easy to modify with intended equipment Fully control of finance and policy

Require high capital investment High financial risk Management ignorance

Business Model Chosen

Pai Sure Taxi aims to provide safe and reliable taxi service in Bangkok with future expansion into other

major cities in Thailand. The company decides to operate by joint venture with established taxi corporation. To

deliver excellent service, Pai Sure Taxi employs in-house training and accreditation. This will ensure our superior

customer service through intensive training course and sustain our core competency. According to Morris model,

the six core components of business model for Pai Sure Taxi have been summarized in exhibit 5.

Target Market

While targeting at 3 distinct groups of people, Pai Sure Taxi believes that the most efficient market to

target for service launch is taxi owners which Pai Sure can partnered with them and launch the new service. The

targeted taxi owners are those 21 licensed taxi companies who want to improve their services while they can enjoy

and reap in more profit from premium price charged from the leveraged safety accreditation.

Taxi drivers who want to improve their quality in safety driving in order to earn more as well as protected

themselves from passengers’ dangers are our secondary target. They will be encouraged by licensed taxi owners to

sign up for training. Certificates will be given to those who pass the training session. Such drivers might be those

who are experienced and older than average taxi drivers, 50-60 years old, who want secure their driving job.

Women taxi drivers who need safety in their careers are also our target.

Passengers who live in Bangkok and suburban areas who want a better experience in using taxi service

are our third target. The company focuses on the target group who are particularly concerned about their safety,


Taxi Co., Ltd.

belonging and/or punctuality. The company targets passenger with middle to high income (social economic status

B to A). The secondary target is families with kids, businessmen, foreigners and tourists.

Marketing Strategy

Product Design Strategy

As previously discussed, Pai Sure provides safety taxi service to taxi owners who want to improve

service and charge more from safety accreditation, taxi drivers who want better driving experiences from

training, and customers who want to travel with safe and reliable taxi.

Pricing Strategy

Due to the superior service offered to customers by Pai Sure, the company selects to use differentiation

strategy for its market positioning. Thus, the company will command price premium based on additional quality of

services it provides. The startup taxi-meter price will be 60 baht and will increase relative to the distance to

destination as follows;

Distance in kilometers Price in Thai baht (THB) Introductory Price in Thai baht (THB)1 km 60 502-12 km 13.5 per each km 8 per each km

12-20 km 15 per each km 12 per each km20-40 km 16 per each km 15 per each km40-60 km 18 per each km 18 per each km60 km onwards 20 per each km 20 per each km

The company expects to get margin of 33.33 percent from the price previously set. Moreover, this price

will be higher than normal taxi-meter price. However, since this service is relatively new – which incurs customer

ignorance risk, the company decides to use introductory pricing for the first month which the price is 50 baht for the

first kilometer and then continue to increase.

The rationales behind using introductory pricing are as follows;

Potential passengers suffer from ignorance about the service quality of Pai Sure. Hence, they may refrain

from taking Pai Sure taxi due to their perceived quality risk in paying premium price. Lower introductory

price will invite the passengers to try to use Pai Sure taxi service.

Some passengers might face switching cost from using normal taxi to Pai Sure Taxi. This lower price-50

baht will induce them to purchase the service.


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Lower initial price will generate market base for repeat service purchase as well as referral (word-of-

mouth) sales.


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Promotion Strategy

During the first year of launch, Pai Sure will focus its marketing activities to potential customers in

Bangkok and surrounding suburban areas. 5% of sales will be allocated to marketing budget which is used to

create awareness among potential customers. Additional profit will also come from special placement advertising at

the back of driver’s seats. Marketing activities are listed below;

Promotional activity DetailsAdvertising Persuasive TV Commercial on prime time to persuade and induce customers for trial service

purchase. The claim will be ‘How much your life or that of your loved ones worth when travelling with unsafe taxi? Pai Sure provides you with a reliable and safe riding experience.’

Advertorial in men and women lifestyle magazine on Pai Sure service of what it is, how to get the service and what to look for Pai Sure will be provided in the content.

Word-of-mouth and celebrity endorsements

Famous young women celebrity endorsement to ensure the quality claims of the reliable and safety of the taxi. Word-of-mouth will be followed either from endorsement or from friends who have tried this new service.

Stealth marketing Pai Sure Taxi cab will show up in famous local sit-com TV program.Public Relations Free publicity by sending useful article regarding tips on self-defense when riding with perilous taxi

driver. Also, when get accredited, the company could get free publicity by having management team interviewed regarding this new accredited service for articles on magazine, online, and newspaper.

Corporate Facebook and Youtube site on new safety service, how to get the service, and what to look for Pai Sure (logo) will be established.

Warranty, Packaging, and other Marketing Strategies

There will be Lost and Found service where customers can come and pick up their belongings at Pai Sure

headquarter office in Bangkok. The customers’ belongings can also be tracked from DriveCam and GPS of the

route customers taking to verify the owner of the belongings. For packaging, there will be sign on the top of the taxi

to differentiate from other taxis.

Distribution Strategy

Customers can obtain Pai Sure service from Pai Sure center, on-line booking site, mobile application

booking, and on the road – customers can call when see Pai Sure sign. Besides that, Pai Sure plans to allocate

sufficient number (according to demand) of taxi to each major strategic spot- hotels and airports.

Operational Plan


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Company Structure and Ownership

Pai Sure’s Organizational Chart

The Board of Directors

The Board of Director comprises of four seats (two seats are reserved for venture capitalists) as follows:

1. Mr. Naris Sinthavathavorn (Private Taxi Owner) 2. Mr. Panithan Akarasriprapai

3. Venture Capitalist Representative 4. Venture Capitalist Representative

Key personnel

The Top Management Team

Panithan Akarasriprapai, Chief Executive Officer (CEO), is mainly responsible for planning and

implementing the company’s strategies which are aimed at maximizing shareholder value. He has a technical

background with an economics degree from Chulalongkorn University as well as extensive work experience in

banking industry with Krung Thai bank as an investment banker. Therefore, he can fulfill investor’s demand since

he worked with various types of companies.

Nipaphan Nicrodhanon, Chief Financial Officer (CFO), is responsible for financial strategy, including

investment and cash flow management. To maximize shareholder value, she optimized Pai Sure Taxi’s finances

and liquidity by managing working capital and minimizing risks through utilization of loans in the term of long-

term loans. Nipaphan earned a Bachelor of Science Statistics (Insurance) degree from Chulalongkorn University


BOARD OF DIRECTORS Panithan A.CEO

Nipaphan

N.CFO

Tanyatip

K.CMO

Kantika A.

R&DSuchai N.

COO

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and had professional work in financial and risk management for Siam Cement Group (SCG) that provides a wealth

of experience in new venture business structuring and planning, particularly in financial issues.

Tanyatip Kharuhayothin, Chief Marketing Officer (CMO), is mainly responsible for developing and

implementing marketing strategies of the company. She will interact with target groups - taxi owners, taxi drivers,

and customers to gain insights on their service preferences and adjust the service according to their demands.

Tanyatip earned her bachelor degree in Communication Management from Chulalongkorn University and had

extensive work experience in Public Relations at Hill & Knowlton Thailand.

Suchai Noichaya, Chief Operating Officer (COO), is responsible for production control, supply relations

and human resources. He monitors and enhances the quality of vehicles and human resources to meet the standard

of Pai Sure Taxi. He is also responsible for contacting and negotiating with suppliers. His academic background is

in liberal arts and his work experience is in customer service.

Kantika Angsutornrangsi, R&D Director, is primary responsible for conducting research, developing

existing and new products and establishing the products in potential geographical markets. Kantika earned her

bachelor degree in Business Administration from Asian University and had extensive background in various

industries as she worked as a consultant at Deloitte Touche.

Other Key Employees, Associates, and Relationships

Mr. Naris Sinthavathavorn (Private Taxi Owner)

Khun Boonsong Sedtho (Taxi Driver)

Production and Operations

Pai Sure Taxi is doing a joint venture business with various taxi owners including taxi

cooperation. The details are summarized as follows:

Nature of Strategic Alliances Taxi Owners Taxi Drivers

Name of PartnerPrivate Taxi Owners

&Taxi Cooperation

Taxi Drivers of those Taxi Owners and Taxi Cooperation

Type of Partnership Joint Venture Contract

Details of Partnership Hold 50% of Pai Sure Taxi Contracted to supply taxicabs and taxi

drivers

3-month probation 2-year contract (renewable)

Benefits to Pai Sure Taxi Continuous supply of taxicabs and taxi drivers

Knowledge from experience of the taxi owners and taxi cooperation

Control over quality of service Knowledgeable and skilled taxi drivers who

can be developed as SCA of the company


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Production Plan

Pai Sure Taxi will begin installing equipment in taxi cabs in April 2012 and train the first set of taxi

drivers in June 2012. At the end of the training session, taxi drivers who pass the test will receive a certificate and

will be required to take 1-day brush-up course every year.

Other Aspects of the Production Plans

Location: Pai Sure Taxi head office will be located near On-Nuch area. The size of the office is

approximately 600 square meters. In addition to the office, there is also a garage area in which up to 40 vehicles can

be parked. It gives advantage to service near the airport. This parking area has proved to be sufficient as most of Pai

Sure Taxi cabs are still kept for maintenance at the taxi owner’s garage.

Labor: Pai Sure Taxi relies on the qualified taxi drivers. Effective training program is developed to

achieve the objective. 1,000 taxi drivers will be needed to cover 9-hour shift a day. The training includes 1-day

driving training and 1-day customer service training, with brush-up course once every year. Various benefits for

taxi drivers include food at stop areas, recreational field, New Year Party and health benefits.

Research and Development

Pai Sure Taxi emphasizes on research and development area to enhance the company’s future growth.

The company plans to develop and introduce new products in several areas including executive taxi, limousine and

charter bus. Current product development activities include: development of appearance and feature of Pai Sure

Taxi, improvement of training program, taxi service testing in certain Bangkok areas and development of other

passenger transportation. The table below presents the product development plan of Pai Sure Taxi.

Product 2012 2013 2014 2015 2016

Pai Sure Taxi Develop training program, test product

and launch

Improve training program and refine appearance and feature of Pai Sure Taxi

Executive Taxi

Focused R&D on executive taxi market Develop training program and test

product

Launch Improve training program and refine

productLimousine Basic R&D on

limousine marketFocused R&D on limousine market Develop training

program and test product

Launch

Charter Bus Preliminary R&D on charter bus

Basic R&D on charter bus

Focused R&D on charter bus market Develop training program and test

productOthers Expand into other area of passenger transportation


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Future Geographic Markets

After Pai Sure Taxi has been well-established in Bangkok and suburban areas, the company expects to

expand its service into other major districts/cities in Thailand. The company focuses on the areas which projects

high demand of taxi service such as tourist and business district/cities, and highly populated cities. The target

district/cities are Pattaya, HuaHin, Chiang Mai, Phuket, and Nakorn Ratchasima. The market expansion can be

achieved by joint venture. The table below shows geographical expansion plans.

Districts/Cities 2014 2015 2016 2017 2018

Pattaya Seek partner Joint venture

HuaHin Seek partner Joint venture

Chiang Mai Seek partner Joint venture

Phuket Seek partner Joint venture

Nakorn Ratchasima Seek partner

Risk Reduction Strategy

Risks Perceived Pro-active Risks Strategies1. Licensed taxi owners and taxi drivers must incur

switching cost from renovating their cabs to align with the equipped safety technology – DriveCam and glass partition as well as training session cost in order to get accredited by Pai Sure service.

Engaging long term contracts – at least 5 years with licensed taxi owners and taxi drivers. Furthermore, Pai Sure is seeking the possibility of a backward integration by taking over some of the licensed taxi companies to gain full control of renovation and training. On the other hand, Pai Sure can also position itself for takeover by licensed taxi companies as their valuable resources in the future. Moreover, continually keep improving service quality as well as strong organizational reputation.

2. The emergence of competitors with similar services. The emergence of competitors can be controlled by issuing intellectual property protection such in which the logo and Pai Sure name is in the registration process.

3. There are other safety public transportations such as public bus, BTS, and MRT.

Providing service in areas that are inaccessible from other public transportations.

4. Disharmony among management – Pai Sure and licensed taxi companies and taxi drivers.

Management performance contracts can be tied to company’s performance indicators – sales, return on equity, and net earnings.

Re-active Risks Strategies Exit and Harvest Strategies1. If there are new similar safety accreditation taxi

service (me-too), Pai Sure must focus on improving quality of the service and continuously build strong organizational reputation and credibility over time.

1. Equity of shareholders will be valued and then put forward to other shareholders who still remain which will be proportionally to their existing holdings.

2. Initial Public Offering

FINANCIAL PLAN

The following assumptions and fact impact the financial statements:

All figures are in real Thai baht Joint venture with the regular taxi corporation in equal ratio


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Corporate Income Tax rate of 23% is effective in 2012 declared by Thai government Market Penetration is calculated from the penetration rate of the regular taxi service Dividend payment 50% of Net Income


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Pai Sure Taxi Income Statement (000s) (Most Likely Scenario)Year 0 Year 1 Year 2 Year3 Year 4

Year of Operation 2012 2013 2014 2015 2016July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June Total Total Total Total Total

Price/unit (net of discounts) 12.00 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.13 avg. 17 17 17 17Units Sold (000s) (see Sales Projections sheet) 351 351 351 351 351 351 351 351 351 351 351 351 4212 4739 5449 6397 7345Sensitivity Analysis Sales Deflator (e.g. -15%) 0%TOTAL SALES (THB000s) 4,212 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 67,919 82,095 94,409 110,828 127,246

Unit Direct Cost (see COGS sheet) 10.68 10.62 10.59 10.56 10.55 10.53 10.52 10.51 10.50 10.49 10.48 10.48 10.48 10 10 10 10Sensitivity Analysis CGS Inflator (e.g. +10%) 0%COST OF GOODS SOLD 3,748 3,728 3,716 3,708 3,702 3,697 3,692 3,689 3,685 3,682 3,680 3,677 44,404 49,469 56,639 66,281 75,909% of Total Sales 89% 64% 64% 64% 64% 64% 64% 64% 64% 64% 64% 63% 65% 60% 1 1 1GROSS PROFIT 464 2,064 2,075 2,083 2,090 2,095 2,099 2,103 2,106 2,109 2,112 2,114 23,515 32,626 37,770 44,546 51,337% Gross Margin 11% 36% 36% 36% 36% 36% 36% 36% 36% 36% 36% 37% 35% 40% 0 0 0

OPERATING EXPENSES Initial setup costs (expensed) 200 0 0 0 0 0 0 0 0 0 0 0 200 Sales and Marketing 444 523 523 523 523 523 523 523 523 523 523 523 6,198 2,945 3,215 3,392 3,619 General and Administrative 461 464 464 464 464 464 464 464 464 464 464 464 5,562 5,898 5,668 6,065 6,576 Depreciation of P&E 700 700 700 700 700 700 700 700 700 700 700 700 8,400 8,400 5,600 6,533 7,467 Depreciation of R&D & IPP 2 3 5 7 8 10 11 13 15 16 18 20 127 372 220 314 413TOTAL OPERATING EXPENSES 1,807 1,690 1,692 1,693 1,695 1,697 1,698 1,700 1,701 1,703 1,705 1,706 20,487 17,615 14,703 16,304 18,075 % of Total Sales 43% 29% 29% 29% 29% 29% 29% 29% 29% 29% 29% 29% 30% 21% 0 0 0

INCOME BEFORE INTEREST & TAXES -1,343 374 384 390 395 398 401 403 405 406 407 408 3,028 15,011 23,067 28,242 33,262Mnth Mnth

Interest income 0.1% 0.00 1.59 1.94 2.34 2.74 3.15 3.56 3.98 4.40 4.82 5.24 5.67 39 0.1% 119 145 173 232Interest expense 0.6% 89.11 87.60 86.09 84.58 83.07 81.56 80.05 78.54 77.03 75.52 74.01 72.50 969.69 0.6% 752.19 517 299 82NET INTEREST INCOME -89 -86 -84 -82 -80 -78 -76 -75 -73 -71 -69 -67 -930 -633 -371 -126 150

INCOME BEFORE TAXES -1,432 288 299 308 314 320 325 329 332 335 338 341 2,098 14,378 22,696 28,116 33,413Taxes on income (Zero if negative Income - 23% 0 66 69 71 72 74 75 76 76 77 78 78 812 23% 3,307 5,220 6,467 7,685Deduct accumulated losses if applicable)NET INCOME -1,432 221 231 237 242 246 250 253 256 258 261 263 1,286 11,071 17,476 21,650 25,728 % of Total Sales -34% 4% 4% 4% 4% 4% 4% 4% 4% 4% 4% 5% 2% 13% 0 0 0

GRANT INCOME RECEIVED 10 10 10 10 10 10 10 10 10 10 10 10 120 120 0 0 0

Retained Earnings (opening) -1,432 -1,422 -1,301 -1,176 -1,047 -916 -783 -648 -512 -374 -235 -94 -1,432 47 5,702 14,440 25,265Available for Distribution -1,422 -1,190 -1,061 -929 -795 -660 -523 -385 -246 -106 36 178 178 6,169 16,796 28,144 41,515Dividends Paid 0 111 115 119 121 123 125 127 128 129 130 131 1,359 5,535 8,738 10,825 12,864RETAINED EARNINGS (CLOSING) -1422 -1301 -1176 -1047 -916 -783 -648 -512 -374 -235 -94 47 47 5702 14440 25265 38129


Taxi Co., Ltd.

Pai Sure Taxi Cashflow Statement (000s) (Most Likely Scenario) Year 1 Year 2 Year3 Year 4

Year of Operation 0 2013 2014 2015 20160 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June Total Total Total Total Total

CASH INFLOW FROM OPERATIONSSales Revenue ($000s) 4212 5792 5792 5792 5792 5792 5792 5792 5792 5792 5792 5792 67919 82095 94409 110828 127246Plus: Accounts Receivable opening balance 0 176 241 241 241 241 241 241 241 241 241 241 0 241 285 1026 1197Less: Accounts Receivable ending balance 4% 176 241 241 241 241 241 241 241 241 241 241 241 241 4% 285 1026 1197 1368CASH INFLOW FROM OPERATIONS 4037 5726 5792 5792 5792 5792 5792 5792 5792 5792 5792 5792 67677 82051 93668 110657 127075

CASH OUTFLOW FROM OPERATIONSSETUP COSTS 200 0 0 0 0 0 0 0 0 0 0 0 200 0 0 0 0Cost of Goods Sold 3748 3728 3716 3708 3702 3697 3692 3689 3685 3682 3680 3677 44404 49469 56639 66281 75909Plus: Accounts Payable opening balance 0 156 155 155 155 154 154 154 154 154 153 153 0 153 171 615 715Less: Accounts Payable ending balance 4% 156 155 155 155 154 154 154 154 154 153 153 153 153 4% 171 615 715 816CASH PURCHASES 3592 3729 3717 3709 3702 3697 3693 3689 3685 3682 3680 3677 44251 49451 56195 66181 75809

Sales & Marketing Expenses 444 523 523 523 523 523 523 523 523 523 523 523 6198 2945 3215 3392 3619General & Administrative Exp 461 464 464 464 464 464 464 464 464 464 464 464 5562 5898 5668 6065 6576Research & Development 97 98 98 98 98 98 98 98 98 98 98 98 1174 1258 1356 1436 1519Intellectual Property Protection 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Taxes payable 0 66 69 71 72 74 75 76 76 77 78 78 812 3307 5220 6467 7685Net increase in Inventory 0% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Net increase in Equipment 42000 0 0 0 0 0 0 0 0 0 0 0 42000 0 8400 8400 8400CASH EXPENSE DISBURSEMENTS 43003 1151 1154 1155 1157 1158 1159 1160 1161 1162 1163 1163 55746 13407 23859 25760 27799NET OPERATING CASH FLOWS -42758 846 921 928 932 936 940 943 945 947 949 951 -32519 19193 13613 18716 23467

CASH INFLOW FROM FINANCINGInterest earned 0 2 2 2 3 3 4 4 4 5 5 6 39 119 145 173 232Grants Received 10 10 10 10 10 10 10 10 10 10 10 10 120 120 0 0 0Equity funding 30,000 0 0 0 0 0 0 0 0 0 0 0 30000 0 0 0 0Proceeds from Debt funding 15,000 0 0 0 0 0 0 0 0 0 0 0 15000 0 0 0 0CASH INFLOW FROM FINANCING 45010 12 12 12 13 13 14 14 14 15 15 16 45159 239 145 173 232

CASH OUTFLOW FROM FINANCINGInterest payable 89 88 86 85 83 82 80 79 77 76 74 73 970 752 517 299 82Debt retirement 250 250 250 250 250 250 250 250 250 250 250 250 3000 3000 3000 3000 3000Equity Buy-back 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Cash Dividends 50% 0 111 115 119 121 123 125 127 128 129 130 131 1359 5535 8738 10825 12864CASH OUTFLOW FROM FINANCING 339 448 451 453 454 455 455 455 455 455 454 454 5329 9288 12254 14124 15945NET FINANCING CASH FLOWS 44671 -437 -439 -441 -441 -442 -441 -441 -441 -440 -439 -438 39831 -9049 -12109 -13951 -15713

NET CASH FLOW 1913 409 482 487 491 495 498 501 505 507 510 513 7312 10144 1504 4765 7754OPENING CASH BALANCES 0 1913 2323 2804 3291 3782 4277 4775 5277 5781 6289 6799 0 7312 17456 18960 23725 ENDING CASH BALANCES 1913 2323 2804 3291 3782 4277 4775 5277 5781 6289 6799 7312 7312 17456 18960 23725 31479


Taxi Co., Ltd.

Pai Sure Taxi Balance Sheet (000s) (Most Likely Scenario) Year 1 Year 2 Year3 Year 4

Year of Operation 0 2013 2014 2015 20160 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June Total Total Total Total TotalASSETSCURRENT ASSETSCASH & MARKETABLE SECURITIES 1913 2323 2804 3291 3782 4277 4775 5277 5781 6289 6799 7312 7312 17456 18960 23725 31479A/ R Opening Balance 0 176 241 241 241 241 241 241 241 241 241 241 241 285 855 1026 1197A/ R Closing Balance 4% 176 241 241 241 241 241 241 241 241 241 241 241 241 285 1026 1197 1368ACCOUNTS RECEIVABLES 176 241 241 241 241 241 241 241 241 241 241 241 241 285 1026 1197 1368

INVENTORY (% of Cost of Goods Sold) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0TOTAL CURRENT ASSETS 2089 2564 3046 3533 4024 4518 5017 5518 6023 6530 7040 7553 7553 17741 19986 24923 32847

PLANT AND EQUIPMENT 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 50400 58800 67200Less: (Accum. Depr) 700 1400 2100 2800 3500 4200 4900 5600 6300 7000 7700 8400 8400 16800 22400 28933 36400NET PLANT AND EQUIPMENT 41300 40600 39900 39200 38500 37800 37100 36400 35700 35000 34300 33600 33600 25200 28000 29867 30800

R&D AND INTELLECT. PROP. 97 195 293 391 489 587 684 782 880 978 1076 1174 1174 2432 3788 5224 6743Less: (Accum. Depr) 2 5 10 16 24 34 46 59 73 90 108 127 127 500 719 1033 1446NET INTANGIBLE ASSETS 95 190 283 375 464 552 639 724 807 889 969 1047 1047 1932 3069 4191 5297

TOTAL ASSETS 43484 43354 43229 43107 42988 42871 42756 42642 42530 42419 42309 42200 42200 44874 51055 58980 68944

LIABILITIESCURRENT LIABILITIESShort term Debt 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Accounts Payable 4% 156 155 155 155 154 154 154 154 154 153 153 153 153 0 171 615 715 816TOTAL CURRENT LIABILITIES 156 155 155 155 154 154 154 154 154 153 153 153 153 171 615 715 816Shareholders Loans 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Long Term Debt 14750 14500 14250 14000 13750 13500 13250 13000 12750 12500 12250 12000 12000 0 9000 6000 3000 0TOTAL LIABILITIES 14906 14655 14405 14155 13904 13654 13404 13154 12904 12653 12403 12153 12153 9171 6615 3715 816

OWNERS' EQUITYCommon Stock 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000Retained Earnings -1422 -1301 -1176 -1047 -916 -783 -648 -512 -374 -235 -94 47 47 5702 14440 25265 38129TOTAL OWNER'S EQUITY 28578 28699 28824 28953 29084 29217 29352 29488 29626 29765 29906 30047 30047 35702 44440 55265 68129

TOTAL LIABILITIES & EQUITY 43484 43354 43229 43107 42988 42871 42756 42642 42530 42419 42309 42200 42200 44874 51055 58980 68944


Taxi Co., Ltd.

Summary of Financial Results (Most Likely Case Scenario)

Unit 000s baht2012 2013 2014 2015 2016

Sales 67,919 82,095 94,409 110,828 127,246EBIT 3,028 15,011 23,067 28,242 33,262Net Income 1,286 11,071 17,476 21,650 25,728Cash Balance 7,312 17,456 18,960 23,725 31,479

The Internal Rate of Return (IRR), calculated from the forecasted free cash flow and the end of 2016 (year

5) valuation of the company (P/E =10) is 61.277%. The Net Present Value (NPV) discounted at 15% is 137 million

baht with the payback period of 3 years and 9 months.

Sources and Uses of Funds

Pai Sure Taxi has already raised 50 million baht and is seeking for additional 550 million baht from 2

parts, which are 50% from equity and the other 50% from long-term loan. These funds will be used for supporting

the investment in training, service facilities, marketing efforts, working capitals, and R&D of the service system.

Sensitivity Analysis

YearChanged Aspects

Decrease in Revenue of 10%Increase in Admin Costs

of 30%Increase in Marketing Costs

of 25%Increase in COGS of 10%

Retained Earnings as a result of changes in the above2012 (4,244) (173) (313) (2,234)2013 (1,766) 5,277 5,341 1,5042014 3,323 13,942 14,078 8,0432015 9,857 24,690 24,901 16,2882016 17,790 37,473 37,763 26,191

Ending Cash Balances as a result of changes in the above2012 3,048 7, 092 6,952 5,0462013 10,023 17,031 17,095 13,2762014 7,955 18,462 18,597 12,6242015 8,452 23,150 23,361 14,8202016 11,297 30,823 31,114 19,622

Worst Case Scenario

Most likely versus Worst Scenario Assumption

Additional assumption for two scenarios are chosen differently as shown in the below table.

Assumption Most likely Scenario Worst Case Scenario

Pai Sure Taxi PriceAble to increase the average price from

16.5 to 17.33 baht per kilometersNot able to increase the average price from

16.5 to 17.33 baht per kilometersMarket Penetration Rate Equal to rate of comparable services Lower than comparable services


Taxi Co., Ltd.

Summary of Financial Results (Worst Case Scenario)

Unit 000s baht2012 2013 2014 2015 2016

Sales 67,568 78,185 89,913 105,550 121,187EBIT 2,695 11,108 18,595 22,995 27,245Net Income 951 8,058 14,013 17,576 21,045Cash Balance 6,978 15,631 15,441 18,180 23,603

The Internal Rate of Return (IRR) Calculated from the projected Free Cash Flow streams and the end of

2016 valuation of the company is 53.692%. The Net Present Value (NPV) discounted at 15% is 104 million and

payback period is 4 years and 4 months. (For more detail on Pro-forma Statements please see appendix B, C and

D)

Proposal to Investor

Pai Sure Taxi is seeking from investors: Investors will receive from Pai Sure Taxi The total fund of equity capital; 50% equity Familiarity with industry (preferable); and Two seats of the Board from the total seats of four Harmonious relationship (personality fit) Dividend payment

Performance contract with management team The future of management team will be decided by the Board if the

management contracts lapses because of failure to achieve the worst-case scenario financials

NPV to the investor of dividend stream and exit values discounted rate at 15% is 106 million baht with IRR of 62.93% ( Assuming the exit investment in 5 years or 2015)

The Equity Structure

To make Pai Sure Taxi has a solid financial position and is ready for future expansion and investments, the total

equity and long-term loan of 600 million baht are presented as follows:

Stock holder and loan Fund Contribution (THB) Equity structure (%)Management Team 15 million 50New Investor (Joint Venture) 15 million 50Long-term commercial bank loan 15 million 0Total 45 million 100

Summary

The management team believes that Pai Sure Taxi has profitable future in taxi service and hopes that you

are exited and interested in investment opportunity of this business plan. We look forwards to meeting you to

provide any additional information. Please be noted that the following spread sheet and appendixes contain specific

information to support the other issues raised in the new venture business plan.


Taxi Co., Ltd.

Appendices

Exhibit 1: Background analysis (TERMS) Add Increase Decrease Delete

Time Save waiting time for customers due to on time service & saved time to find another taxi

Increased customers’ time to do their other businesses

Time waiting for taxi to arrive when ordered

Time to find another taxi when get refused to go to particular destinations in rush hour

Emotional Pleasure from riding in a unique & safe taxi service

More comfortable ride on a safe taxi and more convenient for customers who in hurry

Fear of taxi crime, taxi drivers, passengers, and fear of refusing to go to particular destination

Anger when get refused from taxi driver to go to desired destination

Risk Risk of customer ignorance of the product

Risk of rivalry introducing similar service or substitutes to customers

Risk of taxi crime rate & risk of getting bad/ unpunctual drivers as well as bad/unpunctual customers

Risk of taxi refused customers to go to particular destination.

Monetary Cost of superior service and taxi cab

Increased cost of service compared to regular taxi service

Cheaper taxi service due to differentiate customer service

Decrease opportunity cost, which can translate into monetary cost, such as missing business

Situation Allow customers to get to their destinations safe and sound

Increase opportunity to find forgotten belongings through lost and found service

Situation where drivers rob passengers or passengers threaten drivers

Inability to catch a taxi in rush hour or get refused by drivers

Exhibit 2: Market Survey The majority of the answer has indicated that most people take taxi during 6 a.m.-12 p.m. and 6-9 p.m. Some group

of people, however, takes taxi during late night from 9 p.m. -6 a.m.

The top three reasons that the participants do not like to take taxi are: taxi refuse to go to passengers’ destination, taxi is not available in that area, the passengers concern about their safety, belongings and criminal.

The top two reasons of traveling by taxi are: convenient/time-saving and no parking space at the destination. The meter of safe and reliable taxi should start from 50 baht. However, some participants willing to pay the meter

which start from 60 baht. The majority of participants indicated that general taxi service is safe. However, 38% of the participants indicated

that taxi service is dangerous. Approximately 72%, of those who indicated that taxi service is dangerous, is female.

* Market survey was conducted to qualitatively collect information from potential customers regarding their use and opinion towards general taxi service. The 60 questionnaires were randomly distributed on the site of Chulalongkorn University. The 58 questionnaires has been retuned and analyzed

Exhibit 3: Summary of Environmental Analysis

SEEDTIP AnalysisSocial: Increase in crime rates Technological Quick pace of technological change

Better navigation technology Internet access and speed e.g. online booking, More variety of payment methods

Economic Better standard of living and more expensive cost of living lead to increase in disposable incomes.

International The globalization in business The increase in leisure trips

Ecological A decrease in personal vehicle usage due to global warming

Political: The government will increase the minimum wage in April 2012.

Constant political unrests New regulations regarding taxi service:

1,000 baht fine for refusing to use meter. 500 baht fine for turning down

passengers.

Demographic There are changes in consumer behavior. For example, with increase in income, they prefer more comfortable ways of life.


Buyers: Low Bargaining PowerPassengers act individually rather than collectively.

Taxi Co., Ltd.

Exhibit 4: Porter’s Five-Forces Model (For taxi service industry)

Exhibit 5: Characterizing the Business Model of Pai Sure Taxi Foundation level Proprietary level Rules levelFactors related to offering

Provide taxi services Customize offering Narrow breadth Shallow line Sell the service by itself Internal service delivery Direct distribution

Safety and reliable taxi service Punctuality Lost and found feature Guarantee to go Excellent customer service Telephone/online booking/mobile

booking

Waiting time should not exceed 10 minutes

Market factors B2C Local Final consumer Niche market Relational

Managed to operate in the metropolitan area given the demand and number of taxi to be serviced especially during rush hour and late night

Specific guideline for selecting number of taxi to be serviced in a given area and time

5 percent penetration of local market

Internal capability factors

Operating system Innovative intellectual

Highly selective hiring of taxi driver with an excellent qualification

Innovative operations approach including monthly salary payment and training program for taxi driver

Use of high technology equipment including GPS system, DriveCam and Radio Calling Service

Call center network

Specific guideline for qualified taxi driver

Specific guideline for requirement of taxi car design and appearance

Competitive strategy factors

Image of operational excellence/consistency/dependability

Service quality/Availability

Differentiation is achieved by accredited driver, safe and reliable taxi service, premium taxi fare, and punctuality

Consistently maintain zero taxi crime rate

Achieve 10 minutes minimal waiting time

Economic factors Pricing and revenue Medium volume Medium margin

Quality of service including safety and reliability with premium price and internal efficiencies result in annual profitability

Maintain cost per kilometer below 12 baht

Growth/exit factors

Growth model Expansion into other major cities in Thailand

Emphasis on any growth opportunities that are consistent with business model

Expand to other geographical market

Manage rate of growth

Appendix A: Management Resume

Panithan Akarasriprapai


New Entrant: Moderate Barrier to Entry High cost for start-up business The business model is not very hard to copy

unless Pai Sure has acquired its reputation as the first-mover.

Rivalry: High Numerous

competitors

Suppliers: Low Bargaining Power There are many suppliers

of equipment such as GPS and radio systems.

25

Taxi Co., Ltd.

Address: 88/3 Klang Muang Village Sukhumvit 77 RoadSuanluang Suanluang

Bangkok 10400Tel. (662) 184-8552, (668) 9-968-3161

E-mail: [email protected]

EDUCATION2011-2013 SASIN GRADUATE INSTITUE OF BUSINESS ADMINSTRATION

CHULALONGKORN UNIVERSITY BKK, ThailandMaster of Business Administration Graduate

2005-2006 CHULALONGKORN UNIVERSITY BKK, ThailandMaster of Arts Labour Economic and Human Resource Management

2001-2004 CHULALONGKORN UNIVERSITY BKK, ThailandBachelor of Economics, Quantitative Analysis

EXPERIENCE2007-2011 Krung Thai Bank Public Co., Ltd. BKK, Thailand

Wealth Management Dept. Officer Communicate with the consortium and issuer to execute the

debentures that respond the investor’s demand for both underwrite and best efforts basis.

Coordinate with KTB’s subsidiary and branches to do a survey in order to make the deal highly successful.

Performs miscellaneous job-related duties as assigned

2006 Toyota Technical Center Asia-Pacific (Thailand) Co., Ltd. BKK, ThailandHuman Resource Officer

Provides information and assistance to job applicants with respect to the job search and application process; assists applicants with routine questions about job vacancies and application status; refers requests for in-depth job search assistance to recruitment specialists.

Performs miscellaneous job-related duties as assigned.

CERTIFICATION Financial Advisor License Bond Traders License Investor Contact License

Tanyatip Kharuhayothin Address: 198/170 Therdthai Road

Pak-klong, PhasriJaroenBangkok 10160

Tel. (662) 457-2243, (668) 9-261-4837E-mail: [email protected]


mailto:[email protected]


Taxi Co., Ltd.



KELLOGG GRADUATE SCHOOL OF MANAGEMENT NORTWESTERN UNIVERSITY IL, USAForeign Exchange Student, Spring 2012

2004-2008 CHULALONGKORN UNIVERSITY BKK, ThailandBachelor of Arts, Communication Management (1st class honor)

EXPERIENCE2009-2011 Hill & Knowlton Thailand BKK, Thailand

Associate Develop press kits for PR news to media Supervise and coordinate with clients and media at press conference

and product launch events Consult with clients regarding communication issues Develop strategic PR planning Clients responsible include Intel, L’Oreal, and Nescafe Red Cup

2008-2009 Francom Asia Ltd. BKK, ThailandJunior Account Executive

Monitor PR news Develop press releases for media Coordinate with media at press conferences and events Develop PR planning Clients responsible include CNN, Wall Street Institute, and Raimon

Landplc., and Eucerin

2007 European UnionDelegation of the European Commission to Thailand BKK, ThailandInternship at Political, Press, and Information section

Monitor EU-Asian relations news Translate EU-Asian relations news from Thai to English Develop communication campaign to create awareness of EU

among Thai youths Coordinate with officers and media at press conferences and event

Nipaphan NicrodhanonAddress: 12/1 Ramkamhaeng 24 Yaek 2

Huamark, Bangkapi,Bangkok 10240




Taxi Co., Ltd.



2003-2007 CHULALONGKORN UNIVERSITY BKK, ThailandBachelor of Science, Statistic (Insurance) (1st class honor)

EXPERIENCE2007-2011 The Siam Cement PLC BKK, Thailand

Assistance Manager Handle all insurance policies and loan agreements Manage in-house captive insurance company, Cementhai Captive

Insurance Pte Ltd (CCI) Plan strategy for renewal insurance policy Negotiate with local and international broker

2007 MSIG Insurance (Thailand) Co., Ltd BKK, ThailandGraduated Trainee

Negotiate with broker companies Take care and quote insurance premium rates to private and

corporate accounts

Kantika AngsutornrangsiAddress: 60/122 Krisadanakorn 21

Bangna-Trad, Pravais, DokmaiBangkok 10260




Taxi Co., Ltd.



KELLOGG GRADUATE SCHOOL OF MANAGEMENT NORTWESTERN UNIVERSITY IL, USAForeign Exchange Student, Spring 2012

2003-2007 ASIAN UNIVERSITY Chonburi, ThailandBachelor of Business Administration, Major in Finance (1st class honor)

EXPERIENCE2007-2010 Deloitte Touche Tohmatsu Jaiyos Advisory BKK, Thailand

Transfer Pricing Analyst Conduct functional analysis interview with clients and write report

according to the interview Perform research on companies and industry information, Review and analyze financial data of the clients and comparable

companies Calculate financial ratio using Transfer Pricing Architect (TPA) Prepare transfer pricing reports according to requirements of Thai

Revenue Department

2007 The Stock Exchange of Thailand (SET) BKK, ThailandGraduated Trainee

Monitor and report status of stock market Analyze stock market data Assist supervisor conducting research

2006 Bank of Thailand: FIDF Department BKK, ThailandInternship trainee

Monitor and report status of stock market Analyze financial statement and calculate financial ratios

Suchai NoichayaAddress: 18 Somkid Gardens 11B, SoiSomkid, Pleonchit, Pathumwan

Bangkok 10330Tel. (662) 254-2228, (668) 9-688-4116

E-mail: [email protected]



Taxi Co., Ltd.



SAMUEL CURITS JOHNSON GRADUATE SCHOOL OF MANAGEMENT CORNELL UNIVERSITY NY, USAForeign Exchange Student, Spring 2013

2002-2006 CHULALONGKORN UNIVERSITY BKK, ThailandBachelor of Arts, Spanish Major(1st class honor)

EXPERIENCE2007-2011 Thai Airways International BKK, Thailand

Cabin Crew

2006-2007 Exotissimo Travel Thailand BKK, ThailandTour Operator for Spanish-Speaking Countries

Elaborate travel itinerary Organize services and accommodate tourists

2005 Ministry of Foreign Affairs, BKK, ThailandInternship at Latin America Department

Develop and update database of 20 countries in Latin America Initiate and organize “Football Clinic Project” with Argentine

Footballers and Thai schools


Taxi Co., Ltd.

Appendix B: Pro-forma Income Statement (Worst Case Scenario)

Pai Sure Taxi Income Statement (000s) (Worst Case Scenario)Year 1 Year 2 Year 3 Year 4

Year of Operation Year 0 2012 2013 2014 2015 20162012 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June Total Total Total Total Total

Price/unit (net of discounts) 11.00 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.50 16.04 avg. 17 17 17 17Units Sold (000s) (see Sales Projections sheet) 351 351 351 351 351 351 351 351 351 351 351 351 4212 4739 5449 6397 7345Sensitivity Analysis Sales Deflator (e.g. -15%) 0%TOTAL SALES (THB000s) 3,861 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 5,792 67,568 78,185 89,913 105,550 121,187

Unit Direct Cost (see COGS sheet) 10.68 10.62 10.59 10.56 10.55 10.53 10.52 10.51 10.50 10.49 10.48 10.48 10.48 10 10 10 10Sensitivity Analysis CGS Inflator (e.g. +10%) 0%COST OF GOODS SOLD 3,748 3,728 3,716 3,708 3,702 3,697 3,692 3,689 3,685 3,682 3,680 3,677 44,404 49,469 56,639 66,281 75,909% of Total Sales 97% 64% 64% 64% 64% 64% 64% 64% 64% 64% 64% 63% 66% 63% 1 1 1GROSS PROFIT 113 2,064 2,075 2,083 2,090 2,095 2,099 2,103 2,106 2,109 2,112 2,114 23,164 28,717 33,274 39,269 45,278% Gross Margin 3% 36% 36% 36% 36% 36% 36% 36% 36% 36% 36% 37% 34% 37% 0 0 0

OPERATING EXPENSES Initial setup costs (expensed) 200 0 0 0 0 0 0 0 0 0 0 0 200 Sales and Marketing 427 523 523 523 523 523 523 523 523 523 523 523 6,180 2,945 3,215 3,392 3,619 General and Administrative 461 464 464 464 464 464 464 464 464 464 464 464 5,561 5,892 5,645 6,036 6,535 Depreciation of P&E 700 700 700 700 700 700 700 700 700 700 700 700 8,400 8,400 5,600 6,533 7,467 Depreciation of R&D & IPP 2 3 5 7 8 10 11 13 15 16 18 20 127 372 220 313 412TOTAL OPERATING EXPENSES 1,789 1,690 1,692 1,693 1,695 1,697 1,698 1,700 1,701 1,703 1,705 1,706 20,469 17,608 14,679 16,274 18,033 % of Total Sales 46% 29% 29% 29% 29% 29% 29% 29% 29% 29% 29% 29% 30% 23% 0 0 0

INCOME BEFORE INTEREST & TAXES -1,676 374 384 390 395 398 401 403 405 406 407 408 2,695 11,108 18,595 22,995 27,245Mnth Mnth

Interest income 0.1% 0.00 1.33 1.66 2.06 2.47 2.87 3.29 3.70 4.12 4.54 4.96 5.39 36 0.1% 109 121 131 168Interest expense 0.6% 89.11 87.60 86.09 84.58 83.07 81.56 80.05 78.54 77.03 75.52 74.01 72.50 969.69 0.6% 752.19 517 299 82NET INTEREST INCOME -89 -86 -84 -83 -81 -79 -77 -75 -73 -71 -69 -67 -933 -643 -396 -168 87

INCOME BEFORE TAXES -1,765 287 299 308 314 320 324 328 332 335 338 341 1,762 10,465 18,199 22,826 27,331Taxes on income (Zero if negative Income - 23% 0 66 69 71 72 74 75 76 76 77 78 78 811 23% 2,407 4,186 5,250 6,286Deduct accumulated losses if applicable)NET INCOME -1,765 221 230 237 242 246 250 253 256 258 260 263 951 8,058 14,013 17,576 21,045 % of Total Sales -46% 4% 4% 4% 4% 4% 4% 4% 4% 4% 4% 5% 1% 10% 0 0 0

GRANT INCOME RECEIVED 10 10 10 10 10 10 10 10 10 10 10 10 120 120 0 0 0

Retained Earnings (opening) -1,765 -1,755 -1,634 -1,509 -1,381 -1,250 -1,117 -982 -845 -708 -569 -428 -1,765 -287 3,862 10,869 19,657Available for Distribution -1,755 -1,524 -1,394 -1,262 -1,129 -994 -857 -719 -580 -440 -298 -156 -156 4,203 12,772 22,007 32,961Dividends Paid 0 111 115 118 121 123 125 126 128 129 130 131 1,358 4,029 7,007 8,788 10,522RETAINED EARNINGS (CLOSING) -1755 -1634 -1509 -1381 -1250 -1117 -982 -845 -708 -569 -428 -287 -287 3862 10869 19657 30179


Taxi Co., Ltd.

Appendix C: Pro-forma Cashflow Statement (Worst Case Scenario)

Pai Sure Taxi Cashflow Statement (000s) (Worst Case Scenario) Year 1 Year 2 Year 3 Year 4

Year of Operation Year 0 2013 2014 2015 20162012 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June Total Total Total Total Total

CASH INFLOW FROM OPERATIONSSales Revenue ($000s) 3861 5792 5792 5792 5792 5792 5792 5792 5792 5792 5792 5792 67568 78185 89913 105550 121187Plus: Accounts Receivable opening balance 0 161 241 241 241 241 241 241 241 241 241 241 0 241 271 977 1140Less: Accounts Receivable ending balance 4% 161 241 241 241 241 241 241 241 241 241 241 241 241 4% 271 977 1140 1303CASH INFLOW FROM OPERATIONS 3700 5711 5792 5792 5792 5792 5792 5792 5792 5792 5792 5792 67326 78155 89207 105387 121024

CASH OUTFLOW FROM OPERATIONSSETUP COSTS 200 0 0 0 0 0 0 0 0 0 0 0 200 0 0 0 0Cost of Goods Sold 3748 3728 3716 3708 3702 3697 3692 3689 3685 3682 3680 3677 44404 49469 56639 66281 75909Plus: Accounts Payable opening balance 0 156 155 155 155 154 154 154 154 154 153 153 0 153 171 615 715Less: Accounts Payable ending balance 4% 156 155 155 155 154 154 154 154 154 153 153 153 153 4% 171 615 715 816CASH PURCHASES 3592 3729 3717 3709 3702 3697 3693 3689 3685 3682 3680 3677 44251 49451 56195 66181 75809

Sales & Marketing Expenses 427 523 523 523 523 523 523 523 523 523 523 523 6180 2945 3215 3392 3619General & Administrative Exp 461 464 464 464 464 464 464 464 464 464 464 464 5561 5892 5645 6036 6535Research & Development 97 98 98 98 98 98 98 98 98 98 98 98 1174 1256 1354 1433 1516Intellectual Property Protection 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Taxes payable 0 66 69 71 72 74 75 76 76 77 78 78 811 2407 4186 5250 6286Net increase in Inventory 0% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Net increase in Equipment 42000 0 0 0 0 0 0 0 0 0 0 0 42000 0 8400 8400 8400CASH EXPENSE DISBURSEMENTS 42984 1151 1153 1155 1157 1158 1159 1160 1161 1162 1162 1163 55727 12499 22800 24511 26356NET OPERATING CASH FLOWS -43076 832 921 928 932 936 940 943 945 947 949 951 -32851 16206 10212 14696 18859

CASH INFLOW FROM FINANCINGInterest earned 0 1 2 2 2 3 3 4 4 5 5 5 36 109 121 131 168Grants Received 10 10 10 10 10 10 10 10 10 10 10 10 120 120 0 0 0Equity funding 30,000 0 0 0 0 0 0 0 0 0 0 0 30000 0 0 0 0Proceeds from Debt funding 15,000 0 0 0 0 0 0 0 0 0 0 0 15000 0 0 0 0CASH INFLOW FROM FINANCING 45010 11 12 12 12 13 13 14 14 15 15 15 45156 229 121 131 168

CASH OUTFLOW FROM FINANCINGInterest payable 89 88 86 85 83 82 80 79 77 76 74 73 970 752 517 299 82Debt retirement 250 250 250 250 250 250 250 250 250 250 250 250 3000 3000 3000 3000 3000Equity Buy-back 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Cash Dividends 50% 0 111 115 118 121 123 125 126 128 129 130 131 1358 4029 7007 8788 10522CASH OUTFLOW FROM FINANCING 339 448 451 453 454 455 455 455 455 455 454 454 5327 7781 10523 12087 13604NET FINANCING CASH FLOWS 44671 -437 -440 -441 -442 -442 -442 -441 -441 -440 -439 -438 39829 -7552 -10402 -11957 -13436

NET CASH FLOW 1595 395 482 487 491 495 498 501 504 507 510 513 6978 8653 -190 2739 5423OPENING CASH BALANCES 0 1595 1990 2472 2958 3449 3944 4442 4943 5448 5955 6465 0 6978 15631 15441 18180 ENDING CASH BALANCES 1595 1990 2472 2958 3449 3944 4442 4943 5448 5955 6465 6978 6978 15631 15441 18180 23603


Taxi Co., Ltd.

Appendix D: Pro-forma Balance Sheet (Worst Case Scenario)

Pai Sure Taxi Balance Sheet (000s) (Worst Case Scenario) Year 1 Year 2 Year 3 Year 4

Year of Operation Year 0 2013 2014 2015 20162012 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June Total Total Total Total TotalASSETSCURRENT ASSETSCASH & MARKETABLE SECURITIES 1595 1990 2472 2958 3449 3944 4442 4943 5448 5955 6465 6978 6978 15631 15441 18180 23603A/ R Opening Balance 0 161 241 241 241 241 241 241 241 241 241 241 241 271 814 977 1140A/ R Closing Balance 4% 161 241 241 241 241 241 241 241 241 241 241 241 241 271 977 1140 1303ACCOUNTS RECEIVABLES 161 241 241 241 241 241 241 241 241 241 241 241 241 271 977 1140 1303

INVENTORY (% of Cost of Goods Sold) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0TOTAL CURRENT ASSETS 1756 2231 2713 3200 3690 4185 4683 5185 5689 6196 6707 7219 7219 15903 16418 19320 24906

PLANT AND EQUIPMENT 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 42000 50400 58800 67200Less: (Accum. Depr) 700 1400 2100 2800 3500 4200 4900 5600 6300 7000 7700 8400 8400 16800 22400 28933 36400NET PLANT AND EQUIPMENT 41300 40600 39900 39200 38500 37800 37100 36400 35700 35000 34300 33600 33600 25200 28000 29867 30800

R&D AND INTELLECT. PROP. 97 195 293 391 489 586 684 782 880 978 1076 1174 1174 2430 3784 5217 6733Less: (Accum. Depr) 2 5 10 16 24 34 46 59 73 90 108 127 127 499 719 1032 1444NET INTANGIBLE ASSETS 95 190 283 374 464 552 639 724 807 888 968 1047 1047 1930 3065 4185 5289

TOTAL ASSETS 43151 43021 42896 42774 42655 42537 42422 42308 42196 42085 41975 41866 41866 43033 47483 53372 60995

LIABILITIESCURRENT LIABILITIESShort term Debt 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Accounts Payable 4% 156 155 155 155 154 154 154 154 154 153 153 153 153 0 171 615 715 816TOTAL CURRENT LIABILITIES 156 155 155 155 154 154 154 154 154 153 153 153 153 171 615 715 816Shareholders Loans 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Long Term Debt 14750 14500 14250 14000 13750 13500 13250 13000 12750 12500 12250 12000 12000 0 9000 6000 3000 0TOTAL LIABILITIES 14906 14655 14405 14155 13904 13654 13404 13154 12904 12653 12403 12153 12153 9171 6615 3715 816

OWNERS' EQUITYCommon Stock 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000 30000Retained Earnings -1755 -1634 -1509 -1381 -1250 -1117 -982 -845 -708 -569 -428 -287 -287 3862 10869 19657 30179TOTAL OWNER'S EQUITY 28245 28366 28491 28619 28750 28883 29018 29155 29292 29431 29572 29713 29713 33862 40869 49657 60179

TOTAL LIABILITIES & EQUITY 43151 43021 42896 42774 42655 42537 42422 42308 42196 42085 41975 41866 41866 43033 47483 53372 60995


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