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EXECUTIVE SUMMERY
Transport is a major contributor to greenhouse gas emissions and thus has a direct impact on climate change. Over 20% of all UK carbon emmissions come from cars &lorries on the road. Cycling is gaining popularity in many parts of the country for good reason. Gas prices are going up and many people now bike short distances instead of driving to get around. They do this either to save money or to save the environment. Many people already find cycling to be a fun way to get exercise. As gas prices go up, more and more people will realize that they can help themselves and help the earth at the same time if they switch to bicycling. Most tourists would find it very boring to travel by cars and not seeing the beautiful scenery more closely; this would not be a very good vacation for them. That's why they have decided to take a vacation after all. So, bicycle is a really good option available to them.

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INTRODUCTION
This report is to propose a new and innovative way of doing business taking into consideration of all the pros and cons possible. This is a proposal for starting a rent- a-bicycle business which is a new concept in india though followed in other countries. In India, owning and driving a big vehicle is considered to be a status symbol. Thats why, this practice of using bicycle is not so popular. But with environment requirements and increasing pollution day by- day, and idea of doing things in a different way and experimenting is gaining popularity, renting a bicycle can be a very different business with some investment. We are planning to start it in the land of hills Shimla. Shimla being most famous place for tourists, its employment is largely driven by the government and tourism. Being the administrative capital of the state of Himachal Pradesh, the city houses several central and state government offices. Government jobs account for almost half (47%) of the working population. Direct hospitality industry personnel such as tour guides, hotel and restaurant employees, etc., are few (10%). Individual crafts and small scale industries, such as tourist souvenir production and horticultural produce processing, comprise most of the remainder. Most tourists would find it very boring to travel by cars and not seeing the beautiful scenery more closely; this would not be a very good vacation for them.That's why they have decided to take a vacation after all. The bikes will let the tourists travel more lightly and enjoy their time. They can go to other cities on the bike, or even go mountain biking. This idea is even more wonderful because of the healthy reasons that come with biking.

Objectives
To provide tourists with a new and different way of exploring the city.
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Helping out tourists to enjoy the beautiful landscape in closer way. Promoting cycling practice in india. To protect the environment from pollution which is destroying scenic beauty.

To save natural resources. To earn profit in an economic way.

Statement of the purpose:

To do business with low investment and in environment friendly way.

Literary survey
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Cycling is gaining popularity in many parts of the country for good reason. Gas prices are going up and many people now bike short distances instead of driving to get around. They do this either to save money or to save the environment. Many people already find cycling to be a fun way to get exercise. As gas prices go up, more and more people will realize that they can help themselves and help the earth at the same time if they switch to bicycling. Cycling, far from being a past time of the poor, has mostly been a past time of the well paid. One estimate of commuter cyclist''s income showed an average of $60,000 a year. Many cities across the country are now planning ahead for a potential future energy crisis and are making themselves more cycle friendly. They are adding bike lanes, bike racks, bike garages, and even bike dedicated streets. These cities with foresight will be more ready in the event that gas prices suddenly shoot up to the point where many people can not afford to commute to work in a car. In heavy commuter traffic, cyclists actually find themselves getting to their destinations faster than their car commuter brethren. In some areas it is not legal for a bike to pass on the right, so check the local bike laws before you take this speedy shortcut through commuter traffic. Transport is a major contributor to greenhouse gas emissions and thus has a direct impact on climate change. Over 20% of all UK carbon emmissions come from cars &lorries on the road. Every car journey etc..adds to CO2 emissions. Particularly the first mile of every journey produces a disproportionately high level of CO2 and one in four car journeys are less than 2 miles. Thus rather than habitually jumping in the car to go to school, to the shops or to work, why not think about cycling for a change. Every time we choose to take a journey by bike rather than by car, we are helping reduce the impact of greenhouse gases. On average a car emits roughly 30kg every 100 miles. That is 3 tonnes of CO2 per year for a car doing 10,000 miles. This is roughly twice the CO2 emissions of an average train journey, but only half the emissions of an average UK plane journey. A bike CO2 emissions are Zero.

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Cycling is healthy, easy (relatively speaking!), simple and convenient. - Riding a bike is a simple and easy way to keep fit. From gentle exercise to serious sport, cycling burns off the calories, raises your metabolic rate and thus helps make you feel and look a whole lot healthier. - Cycling is also very simple and convenient. Simple, individual door to door transport, without so many of the hassles of parking and traffic jams etc.Freedom and independence. Not only is cycling good for you and good for the environment, it can also often be quicker and more reliable. Plus its a lot cheaper! - and its fun. Cycling alone, with family, friends or in organised groups, you are out in open air. The feeling is uplifting and highly sociable. Commuting on urban roads, a gentle family ride in the countryside, serious mountain biking or club racing.

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Methodology

We will start with 5 stalls in the city. Each stall will have 5 cycles. We need to have lots of knowledge on bicycles, so that we can start a bicycle business and rent them out to tourists. This is especially a good idea to select a place which attracts lots of tourists.that why we have taken Shimla as place which is considered to be land of hills. This place brings lot of tourism to the country. We need to make sure to have a wide array of bicycles, of different sizes and models. This way, we might even attract locals who might want to get out for a refreshing ride. We will also supply helmets, especially so if there is a state law enforcing it. Giving our customers maps for a small price is another good option. This will make sure that they won't get lost and return to you. We will give the list of all the popular spots on the map that will make it easy for them and provide satisfaction to them.
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RFID will be put on each cycle to track the location of all the cycles. Customers can leave the cycle at any of the stalls at the end of the day.

Charges

There will be different plans based on the quality and style of bicycles, duration of hiring, and extra services. As the duration will increase charges will decease per day. Depending on the quality and styles of your bikes, you can charge your customers from Rs 50 to 100 per day. Renting out bicycle trailers will also help the business, because customers can then place their children on the trailer and explore the city. There will be initial advance customer needs to pay which will be refunded at the time of returing cycle. If there is any injury to the cycle, amount will be deducted from their advance.

Location of stalls

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These are the locations of stalls .

Promotion methods
A good way to start marketing is to create a website and write information about the bikes and packages which people might be interested in. we will also offer the option of people reserving bikes through the website. If they do reserve the bike (for a small deposit), then they won't forget about business after they arrive in the city. We will offer a variety of packages so that the customers are interested in at least one of the packages. This way, we can capture customers whatever they are willing to pay. We need a good contact with the travel agency. Getting the business listed in a local phone directory help a lot too. And spread out leaflets and pamphlets with complete information about the business. We can utilize the public bulletin boards. If we can get those first few customers, expanding business will be easy, because excellent services will bring back more customers through references.

Cost estimation
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Some investment will be sponsored by the government as it is a good initiative taken t protect the environment. Initial investment Each stall cost = Rs 200 5 Stalls = Rs 200x 5 = 1000 1 cycle = 800( 50% discount by goverenmnt) 25 cycles in total = 25 x 800= 20000 RFID chip on each cycle = rs 100(sponsored by government) 25 chips = rs 2500 Monthly cost Sales person salary = rs 100/ day 5 sales person = 500/day Maintainence = 100/cycle Maintainence 25 cycles= rs 2500

Significance
Its a small scale business with sum investment, in which earning will be slow initially but once clicked, will be very popular in the city.
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It has a real good scope of expansion with many centers at various parts of the city.

It is regarded as a good initiative towards the environment. Goverement will funded this plan and will give appreciation.

Conclusion
This business plan is considered to be an initiative to promote awareness among the people towards our environment. This ways we are protecting the environment and saving natural resources like petrol. We are providing tourists with a new way of exploring the city in ecofriendly and economic way. They can enjoy the scenic beauty of the city closely.

Infrastructure There will be 4 stalls and 1 head office. Land Land required per stall: 300 sq ft. 250 sq ft for stall + 50 sq ft for greenery(uncovered area) There will be 5 bicycles each stall. Area occupied by cycles: approx . 50 sq. ft. Area occupied by table + chair: approx.40 sq.ft. There will be 1 rack for keeping tool kit, helmets, maps etc.

Total land required for head office: 450 sq.ft. 350 sq. ft. for stall + 100 sq. ft. for greenery. Total land occupied : 300 x 4 +450 sq.fts.= 1650 sq.fts.
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Stalls will have wooden construction.

Cost benefit Land Total land : 1650 sq.fts. Though rent charges for land will vary according to the location of the stall but we are taking in account an average rent per sq. ft. i.e. Rs 4/sq. ft. Total land rent : Rs 6600/ month Stall building cost( on contract basis)= Rs 40000 Furniture cost 6 tables = Rs 6000 20 chairs = Rs 10000 1 cycle cost: 2200 75 cycles: 2200x75= Rs165 000 Toolkit cost = 150/ kit 5 kits = Rs 750 1 Helmet = 50 50 helmets = 2500 First aid box = 300 5 first aid boxes = 1500 Maps= Rs 3/ map 10000 maps : 30000 Fire extinguisher: Rs 300 5 fire extinguishers : Rs 1500 RFID chip : Rs 200
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25 RFID chips : Rs 5000 Forms : 1000/10000 forms Banners :Rs 1000 Stall maps : 50/ map & 5 stalls = Rs 250

DESCRIPTION initial investment stall building furniture table chair cycle toolkit first aid box helmets fire extinguisher RFID chip banners stall maps total monthly investment Land forms maps computer salaries stall manager mechanic head manager total

QUANTI TY

COST/PIECE( in Rs)

TOTAL COST

40000 6 20 75 5 5 75 5 75 5 1000 500 2200 150 350 50 300 200 50 6000 10000 165000 750 1750 3750 1500 15000 10000 250 254000

1650 sq.ft. 4 / sq. ft. 2250 0.5 2250 8 5 1000 5 5 1 7000 5000 10000

6600 1125 18000 5000 35000 25000 10000 100725

promotional investment website

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pamphlets total

20000

0.3

6000 16000

TOTAL INITIAL INVESTMENT = Rs 270000 MONTHLY INVESTMENT = 100725 As this is an initiative towards environment, 50 % of investment is sponsored by government of HIMACHAL PRADESH. Maximum possible income No. of cycles = 75 Maximum income / day = 75 x 100 = 7500 Maximum income / month = 7500 x 30= 225000 If we get 70% approximation = 157500

months month 1 month2 month 3 month4 month5

investm ent Earning profit 370725 157500 -213225 471450 315000 -156450 572175 472500 -99675 672900 630000 -42900 773625 787500 13875

Break even point = 4.75 months In 5th month, we will start earning profit.

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In that case, we will reach break even point quite sooner.

months month 1 month2 month 3

investm ent Earning profit 235725 157500 -78225 336450 315000 -21450 437175 472500 35325

In 3rd month we will start earning profit.

Personnel

There are 4 stalls and 1 head office. 4 stalls need 1 manager and 1 mechanic each. There is 1 head manager as operational manager with 1 manager and mechanic at head office.

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