Zlatkova, E. A. (2013). Launching a car sharing company : business plan development [Master Thesis, Technische Universität Wien]. reposiTUm. http://hdl.handle.net/20.500.12708/159206
"European urban areas have a key role for the member states development, as they are the major source for economic and social growth, contributing up to 85% of the European Gross Domestic Product (GDP). The high dependence of private transportation vehicles such as car and trucks has led to traffic jams and the increased time spend in traffic congestion is expected to grow by 2050 three times more - up to 106 hours per year from today's levels. Not all European countries are so up-to-date with such an organization and transportation network. Bulgaria is one such example which is lacking behind in regards to offering a modern, accessible for everybody and reliable public transportation network, which can make passengers to give up the comfort of the privately owned car - it rather even increases the requirement to own a car. This puts significant pressure in the larger cities in Bulgaria and especially in Sofia. Car-sharing is already an established mode of transportation in Western cities. The goal of this paper is to develop the business model for new a car-sharing company (Car4all) in Bulgaria, with the starting point of the business, being Sofia. Developing both a strategic and an operational view on the business, this paper provides insights into how such a business should be established, what is the proposition and what are the financial requirements and projections for 5 year period. Car4all mission is to provide an alternative for flexible, modern and sustainable way of transportation for the people, living in the capital Sofia. By doing so everybody can be part of making Sofia better and cleaner place to live with less traffic jams and air pollution and providing a smart urban mobility solution affordable for everybody. The business model is the heart of the company as it describes how a company engages with its customers in order to drive value creation. Car4all service provides an easy and fast way for the citizens to access every point in the city center without the hustle of searching for a free parking space as it has dedicated parking spots especially reserved for its members. The ride will be as comfortable as with an own car, but customers do not carry the ownership responsibility. The service consists of a car fleet that will be available for using to all Car4all members, a ride from point A to point B, return of the car within the operating area of Car4all. Even though starting the business requires substantial initial investments, profitability is reached only after sixteen months and free cash flow is generated on the eight month. Only one year later an acquisition of another 100 vehicles with an own capital is possible. Therefore, it can be concluded that with good marketing strategy and proper cooperation of the government the car-sharing business model is paying off."