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Business Plan
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Corbin Motors' experience introducing new vehicle concepts to the market, interacting with customers, refining products and bringing low volume vehicles to profitable production is a unique company asset that can be replicated over and over again. During economic times where we see large automotive manufacturing companies with excess capacity around the world, the profits go to the companies that can utilize these capital assets by combining imagination with innovative ideas for the future of transportation. The business model of the last century of owning and controlling all of your capital assets and building very large industrial assets is being replaced with outsourcing as much as possible and focusing on brand building and product design. Collaboration and cooperation with much larger companies has empowered Corbin Motors to bring two new forms of transportation to the market. Instead of spending hundreds of millions of dollars, Corbin Motors has accomplished the same with only having spent a fraction of what large companies have spent. This allows us to make very large profits on very low volumes of vehicle sales.
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Low Volume to High Volume Production:
As a niches vehicle manufacturer, we must be able to begin production slowly. As our cash flow improves and demand for the product increases, we will be able to ramp up quickly to fulfill market demand. Tier One suppliers are first in line supplying parts to the very largest automobile and motorcycle manufacturers in the world. Many large Tier One companies have helped us incorporate existing available parts into the Roadster, Sparrow II and Merlin Coupe. They also will sell us low numbers of the high volume parts at excellent prices enabling Corbin Motors to ramp up slowly but profitably with parts manufactured to the highest automotive standards. Tier One assemblers (companies that assemble new vehicle models of less than 40,000 units a year for the large original equipment manufacturers, "OEMs") now would like to assemble 100% of Corbin Motors' vehicles as low as 15 units per week. This allows Corbin Motors to utilize millions of dollars of existing assembly line infrastructure.
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The Hollister facility will continue to be used for prototyping new models, limited pre-production manufacturing and low volume manufacturing of 5 to 20 units per week of a given model. The high volume assembly will be outsourced to Tier One assemblers enabling Corbin Motors to leverage millions of dollars of assembly line infrastructure already in place. The Tier One assemblers have the capabilities to begin production with volumes as low as 15 units a week and ramp up to 200 units a week in 90 days. This type of manufacturing strength and flexibility will enable Corbin Motors to respond to Market demand very quickly. Profits can be quickly realized by increasing production without having to capitalize costly production assembly operations. As a given model is 100% outsourced, Corbin Motors' Hollister facility will continue limited assembly of the outsourced vehicle but focusing on more expensive "Special Edition" models with different paint selections, interior material finishes and other upgrades targeted to the higher end customer.
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Corbin Motors is positioned for tremendous profits as vehicle sales move from a couple os thousand units to tens of thousands of units a year. Corbin Motors plans on leading the world in new forms of transportation for the 21st Century!
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