I am Danish and a resident of Costa del Sol, Spain, where I in 2001 partially retired from my self-employment as an architect and entrepreneur in Denmark and Spain.
I have recently gained experience in the transport industry as I helped out a Danish carrier who drives for private individuals and businesses in Spain and Denmark, but also transport to and from other destinations in countries on the route.
I did retire, but when I discovered how poorly the aforementioned carrier ran his business, I saw an opportunity, through my former companies, to make this very easy, both for the customer and the carrier. In addition, I have a desire for an eco-friendly transport method, based on almost free sun and wind.
Carrying goods from A to B is not a rocket science … 😉
My previous construction of houses was far more complicated.
I am in favor of openness and transparency, as can also be seen on this website. I strongly oppose all forms of greed, and my philosophy is that this must be fought in this world…
When I was a contractor and built houses, I took care of constructing ten different quality houses for private customers. This was done with such low costs that it was actually possible for each family that one of the adults could be partially unemployed.
A unique chance that I thought they should seize.
Of course, I cannot choose on behalf of other people. But when I came back to the houses 2-3 years after, 8 out of 10 houses had changed ownership, and I could see that my former customers had just put about €130,000, in their own pockets … ;-( This happened in the years just before the crisis.
The basic idea of the concept is to digitize by using a tracking system on the website as well as an Internet-based payment system and mobile payment. Simplify ordering, pickup, and delivery to make it as cheap as possible.
The customer pays up front at the time of shipment of the goods, which naturally helps to create a fast cash flow for the actual costs of the transport itself.
Thus, there will be no need for overdraft facilities which will help reduce costs. This is also done in the, say, postal service.
You can also pay on delivery, if you want to, although the cubic meter price will increase slightly. Please feel free to ask about this!
As the budget shows, the business is very good with a nice contribution margin. This contribution margin remains even after I lowered the market price, which for the cheapest carrier is currently €120 per cubic meter. The most expensive carrier is priced at €200 per cubic meter.
Lowest Market Price
I have chosen a starting price of €129 per cubic meter, which is about 20 percent below LOWEST market price. In addition, the price of the first cubic meter will be only €99 incl. IVA.
All carriers (competitors and partners) operating this route are based in Denmark, and therefore have a much higher cost level, in the form of taxes and salaries.
I therefore consider this Spanish business concept as having great opportunities and potential for great earnings, and see great opportunities for fulfilling the company’s eco-friendly visions and goals …
Eco-Friendly Objective and the Future
In the long run, Internet-based video-controlled container depots will be set up with a mutual distance of approximately 200 kilometers, in strategic places, along the routes in Spain and Denmark. These depots will no later than 2020 be a base for changing and charging batteries where the electricity is made using our own solar cells and small wind turbines.
This is definitely the company’s goal.
However, this will only happen when it becomes possible to get small vans (3500kg) as electric / hybrid cars. Of course, this process will be pushed by manufacturers of vans. Perhaps even rebuild old diesel engine cars, with new electric motors.
This should be seen in view of the fact that the fuel cost is about 50% of total transport costs.
However, when more and more electric cars come to the market, I am convinced that the battery power will be almost as expensive per kilometer as traditional gasoline. My experiences in many areas suggests that.
Budget and Plan
Initially, a single vehicle and trailer are used, which together can hold approximately 40 cubic meters.
A driver can easily and legally make two return trips per month, which is a total stretch of about 15,000 kilometers and thus can move up to 160 m3 per month.
I forecast an occupancy of 80 percent, which is 130 m3 per month.
On arrival in Denmark, the driver will be able to speak Danish or English. The same is also the case in Spain.
In addition, contact will be made with Danish and Spanish freight forwarders and other operators, which we could service with lighter goods if there is space in the truck.
Yes, there would even be an opportunity to fill up surplus space with seasonal fruits and vegetables for interested parties in Denmark. Since the company is also registered as an Import / Export company.
On the question of why not use big trucks? The answer is that “small” cars (3500 kg) will be easier to navigate in the Spanish cities, while also driving faster on the highways.
Credibility of this business comes from the website layout, features, designed vehicles and uniformed employees.
And not least, by presenting our company papers, insurance on goods, transport permits, on the website.
With this transport concept, it is us alone, who ensure the cheapest prices, and we lower the prices further when the operating budget allows this, or it is decided through discussion on the Facebook page.
As for the question of where this company is in one to two years, I will assume that the transport market in this niche area for Spanish / Danish carriers will be with 2 cars and 3-4 Danish / Spanish full-time employees.
Time will then be ripe for offering the same transportation concept to the many English, German, and Dutch people who also live in Spain.
My basic philosophy is that I believe in universal cause and effect, and that good karma does not come by itself. My opinion is that economic greed will fall also in this area of work. My HOPE is that this initiative will spread to other industries.
Therefore, it is also my intention to interact with customers on our Facebook page, involving customers, and others interested in participating, in how this company should be continued in the long term. Price policy, the fleet and the other green electric car perspectives.
A kind of “power back to the people”. Pure communism some would say. Yes, but contrary to the communism we know today, I’m not the leader who cashes in the wealth. I will let the “Facebook people” decide how much I and the employees will be paid for in the long term.