INTRODUCTION (Motorcar Pro Automative Shop)
Motorcar Pro was a business that focusing on selling various of automative car parts and related accessories to both consumers and professional repair shops. We just started this business operation on 1 January 2023 in a store that are located at Jalan Undan, 5/2 Miles, Off Jalan Tuaran Inanam Sabah, 88450 Kota Kinabalu.
We pick out this place as our business location due to its strategic position as a commercial area and not to mention that it has large capacity of citizens in that area. In order to start the business, we contribute cash in hand amounted RM 30 000 and cash in bank worth RM 1800000 as the capital for our business. In addition, all of these contributions are made on 1st January 2023.
The type of business that we are opening is known as public company. It provides many advantages as well as its disadvantages. The first advantages of public company are easy to raise capital by issuing shares to the public. Besides, it can grow and expansion opportunities to the company as it has more accountability in their operations and management structure than smaller private companies do, as there is a higher level of stringent rules and regulations applicable to such companies.
However, from another perspective, it has high level of regulations. Moreover, there is a strict adherence to global accounting standards. This occurs when they must prepare their financial reports in accordance with the Generally Accepted Accounting Principles (GAAP) or International Financial Reporting Standards (IFRS). Nevertheless, it will adapt perfectly according to the company needs.
We decided to open this business because we think there are a lot of car enthusiast out there that do not know where to find the cheapest shop that provide diversity of car spare parts and car accessories. Our target audience could be both genders that are into automative components where they are probably aged 20 to 50 years and live in urban areas. Therefore, we are really optimistic that our business will be very successful and can attract many customers from different kinds of backgrounds.
