BUSSINESS PLAN FOR THE PROCUREMENT AND RUNNING A HIRE SERVICE.
Excavator (1994 CAT 322L)
The Nigerian geographical region is currently going through a period of development and expansion due to the increase in population and this has necessitated previously abandoned hinterlands and rural areas to be cleared for human and industrial habitation. This fact is evident in the rapid development been seen in areas such as Lagos-Ibadan express road, Lagos-Badagry expressway, Lekki free trade zone etc.
In order to clear the fields for building constructions, road maps etc. The usefulness of some vital equipment such as the Excavator (1994 CAT 322L) cannot be over emphasized.
The Different Uses of Excavators
Excavator is a machine used mainly in civil engineering works. The main function of the excavator is to dig and move earth. Beside being used in construction sites, excavators are also commonly used in mining activities. It is comprised of a boom stick, which is a joined arm, a cab, which is fixed atop of the undercarriage equipped with tracks.
Different excavators are available in the market in different sizes. The smallest excavator is known as mini excavator. Mini excavator weighing near about 1470 kg or 3240 lb. The size of the bucket in this type of excavator is 0.036 cubic meter at most and the broadness of the track can accordingly be adjusted to 35 inches or 89 cm. From this mini size, the same company can also produce the largest excavator, which can weigh around 187,360lb or 84,980 kg. The size of the bucket is almost 4.5 cubic meters.
A modern excavator is a very verstile machine. As it has a powered hydraulic system, this can be adapted for many uses. Just by changing the attachment, instead of the bucket, the excavator function is changed. If it is to be used as a demolition excavator, a hydraulic power breaker or grapple is used.
An auger can be also attached and the excavator becomes a drilling machine. This is especially usefull where shallow excavation of a few meters are required. Example for foundation works or installation of poles.
A series of pictures below shows the different types of attachment and uses.

Here you can see an excavator is attached with an auger. The auger is hydraulic powered.


And when attached with a vibratory pile hammer, an excavator can be used to install sheetpiles.


Used in scrap yards, excavators are attached with electromagnets to sort out metals


In quarries or where breaking hard rocks are required, here an excavator is attached with a hydraulic rock breaker. The breaker is equally usefull for breaking concrete as in demolition works.


Broken rocks than can be removed using a rock grabber as shown here. A grabber is a versatile attachment with different designs. Beside rocks, it can be used to grab just about anything.

The above are just some of the different tools that can be attached to a modern hydraulic excavator. Take note that the types of attchment availble are not limited to the above only as there is a wide selection of attachment. Some can be custom built for a particular project or condition. But what is important in this article is that a modern hydraulic excavtor is a very usefull piece of equipment.
COST AND MAINTENANCE.
It is quite expensive purchasing a brand new Excavator as its price ranges between 120,000- 170,000 US Dollars excluding import duties and other tariffs. Used once are made available for sale by major manufacturers such as CAT, VOLVO etc. we are recommending from our experience that we purchase the CAT 322L Excavator (a 1994 model) due to its durability, reliability and affordability. The cost of purchasing and importing this equipment from CAT through the services of an accredited agent in Germany into the country arrives at an estimated amount of 10million including cost of clearing at the Nigerian seaport.
Due to the durability of this equipment, the cost of its operations doesn’t go beyond its fueling and maintenance which is quite reasonable. Also due to its year of manufacture, its parts are readily available in the Nigerian market and our technical expertise also knows how to manage it during period of breakdown and maintenance requirement.

IT’S BUSINESS PROSPECTS.
From the above mentioned description of this equipment it can be seen that its functions and usefulness are immeasurable. It has a ready and steady market amongst construction companies, property managers, individuals and lots more. This equipment has been proven to make an average of N60, 000 naira a day as cost of hiring which doesn’t include cost of fueling and other expenses. Also from current experience in the Lekki free trade zone, there is high demand for its services. This claim can be verified in the on-going construction projects that are taken place in the zone.

OUR PROPOSAL
We at GABOLS ENGINEERING SERVICES(GES), hereby propose to go into partnership with an investor with the following terms.
1) That the investor provides a capital of N10million for the purchase and clearing of the said equipment for operations purpose.
2) That the cost of maintenance and other required repairs as the need arises will be bon by GES.
3) That the said equipment would be purchased and duly registered under the name of the investor.
4) That a payment plan for the remittance of the invested funds including an agreed percentage interest on capital be reached within a stipulated time frame. (We at GES are proposing a 30 months payment plan which includes interest on capital).
5) That the remits would be made every 3 months and within the stipulated time frame.
6) That upon full payment of the agreed amount of the remittance, the ownership of the said equipment would be transferred to GES.
7) That failure to abide with the stated and other agreed plan would lead to the termination of contract.


BREIF HISTORY OF GEL AND ITS MANAGER
I Bolarinwa a Cost Engineer by profession, with a wide experience in civil engineering works and current manager of GES, major in building and road constructions. I started my professional career with RATCON Construction Company in Lagos, working on the constructions of roads which include; Okodua road in Apapa, Church Road in Yaba, Eko Atlantic City Projects and rehabilitation of Idiroko-Mile12 service lane, all in Lagos state. I also worked with Parsons Engineering Company on the construction of roads in Ekiti State. These roads include; Ijesa Isu-Ode road, Aisegba Ijesa-Isu road, Ode-Imesi Ile road etc. Presently I am an employee of Lekki Port LFTZ situated at Ibeju-Lekki Lagos State and I also manage the business activities of GES . I have spent a whole lot of time working with various construction equipments and I have a wide knowledge of managing and maintaining them.
We at GES also have a wide range of connectivity with construction companies both on the mainland and the highland in Lagos State and other neighboring State in the area of Equipment leasing and hiring. This network of business transactions would aid the marketing ability of any equipment in our possession for hiring purposes. I also have the technical know-how of most of the construction works out there for the machines and with the ability to recommend the appropriate equipment for a given task. Due to the formal knowledge I possess combined with my acquired working experience I can assure of the technical and managerial skill required for the smooth running of this business proposal.
SECURITY ON INVESTMENT.
The current market value of the Fiarly used CAT 322L Excavator (a 1994 model) ranges between N12Million to N14Million in the open market, this claim can also be verified at the appropriate markets. This fact guarantees that the capital invested by the investor is secured as he/she possess the equipment until the agreed remittance is made within the stipulated time frame and can terminate, re-sell the equipment due to contractual disagreement.
CONCLUSION
The proposed business plan is an avenue in the Nigerian economy which has not be fully discovered and exploited thereby making room for large profits by investor and participants in this sector of the economy. The odds and chances of failure are minimal and there is an assurance of reasonable returns on investment. Kindly find attached copies of the equipment and other necessary documents.

For financial cash flow please send emails to gabolseng@gmail.com, or call 08078327572, 08135919865

This information is too vital to put all up on an open forum. I suggest you bring it down and only give a brief intro.

Just my little thoughts