Copperfrontline Logistics Business Plan

Investor-ready SADC corridor haulage business plan: US$4.4m equity, 54 combinations, 1,100 round trips and US$9.78m FY2031 revenue.

Copperfrontline Logistics — a heavy tractor unit of the kind operated on the corridor

Business Plan & Investment Proposal · South Africa

Cross-Border Trucking Business Plan — SADC Corridor Model

Copperfrontline Logistics Limited · The Unit Of Production Is A Completed Round Trip.

Cross-border haulage on the Central and Dar es Salaam corridors — copper cathode and
concentrate southbound from the DRC and the Zambian Copperbelt, with sulphur, reagents and mining consumables
northbound, operating from a Kitwe depot with border operations at Kasumbalesa and Nakonde and reaching 54 tractor
and trailer combinations by FY2031. US$4.4 million of equity for 65 per cent of the company, alongside a
US$0.9 million term facility and asset finance on 75 per cent of each vehicle.

US$4.4mEquity sought

54Combinations by FY2031

US$9.78mFY2031 revenue

26.7%FY2031 EBITDA margin

Read the executive summary →

The plan states its accounting unit in its title, and the choice matters more than
it sounds: the unit of production is a completed round trip, not a load. A truck that carries copper south from the
Copperbelt and comes back empty contributes US$349. The same truck, the same diesel, the same driver and the same
two border queues, carrying freight in both directions, contributes US$3,392 — nearly ten times as much. Copper
moves south regardless; the commercial work is finding sulphur, reagents and mining consumables to bring back north,
which is why lifting the northbound fill rate from 62 to 78 per cent is the central operating effort.
Borders are the other constraint, since Kasumbalesa and Nakonde decide how many trips a truck completes in a month.
And the plan is honest about the financing: EBITDA margin reaches 26.7 per cent, but debt service cover only
passes 1.0 times in FY2030 and closing cash falls to US$0.18 million as the fleet builds.

The plan at a glance

Six measures that determine whether this fleet and its funding stand up.

US$4.4mEquity soughtFor 65% of the company, alongside a US$0.9m term facility and asset finance on 75% of each vehicle.

US$3 392Contribution per loaded round tripAgainst US$349 when the truck returns empty. Nearly a tenfold difference, and it is the whole commercial model.

62% → 78%Northbound fill rateCopper goes south whatever happens. Finding freight to bring back north is what turns a haulage route into a business.

54Combinations by FY2031From ten, running 1,100 round trips a year at 2.05 trips per truck per month.

26.7%FY2031 EBITDA marginOn US$9.78m of revenue, from minus 14.8% in FY2027. Contribution margin holds near 38% throughout.

1.37xFY2031 debt service coverOnly passing 1.0x in FY2030. The fleet is bought on asset finance, so cover is the binding constraint, not margin.

The same truck, two different outcomes

What a round trip earns loaded against what it earns empty — for identical fuel, driver and border time.

US$349Empty return legThe truck still burns fuel, still pays a driver, still crosses two borders and still wears out tyres. It simply carries nothing while doing it.

against

US$3 392Loaded round tripNearly ten times the contribution for the same diesel, the same driver and the same border queues. Backhaul is not an optimisation here; it is the business.

Five years of trading

Revenue and EBITDA on the base case. The northbound fill rate and trips per truck are the two assumptions that matter most, and both are stressed in Section 9.

Revenue build — round trips and the northbound fill rate

Fleet rises from 10 combinations to 54 and trips per truck from 1.55 a month to 2.05, but the northbound fill rate climbing from 62% to 78% is what makes each trip worth running.

FY2027

US$0.81m · 93 trips · 62% fill

FY2028

US$2.47m · 280 · 68%

FY2029

US$4.40m · 497 · 72%

FY2030

US$6.82m · 771 · 75%

FY2031

US$9.78m · 1 100 · 78%

EBITDA and margin, FY2028 onward

FY2027 runs a deficit of US$0.12m on ten trucks. The margin then reaches 26.7% — healthy, but debt service cover only passes 1.0x in FY2030 because the fleet is bought on asset finance.

FY2028

US$0.38m · 15.4%

FY2029

US$0.93m · 21.1%

FY2030

US$1.66m · 24.3%

FY2031

US$2.61m · 26.7%

Why this plan works the way it does

The round trip is the unit, not the loadA truck that hauls copper south and returns empty contributes US$349. The same truck carrying freight both ways contributes US$3,392. Costing a business on one-way loads misses where the money is.

Backhaul is the commercial problemCopper leaves the Copperbelt whatever happens; the difficulty is finding sulphur, reagents and consumables to bring back north. Lifting the fill rate from 62% to 78% is the entire commercial effort.

Borders consume the asset, not the roadKasumbalesa and Nakonde determine how many trips a truck completes. Trips per truck per month rise from 1.55 to 2.05, and every hour saved at a post is an hour of productive capacity recovered.

Debt service is the binding constraintEBITDA margin reaches a healthy 26.7%, but cover only passes 1.0x in FY2030. The fleet is financed at 75% of each vehicle, so the constraint is the repayment schedule rather than profitability.

Closing cash tightens as the fleet growsCash falls from US$3.34m to US$0.18m by FY2031 as vehicles are added. Growth here consumes cash even while margin improves, and the plan shows that rather than obscuring it.

Financial snapshot

Four charts from the plan. The full set of twenty-four appears throughout the sections below.

Figure 8. End-to-end delivery time by corridor.

Figure 13. Revenue against the full cost base.

Sixteen sections and five appendices. Every page carries full navigation, a section outline and links to the sections either side of it.

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Important Notice and Basis of PreparationBasis of preparation, data sources and forward-looking statement caveats. Please read first.

Appendices

Confidential. This document is provided for the purpose of evaluating an
investment in Copperfrontline Logistics Limited and may not be reproduced or distributed without written consent. Projections are
forward-looking statements based on the assumptions registered in Section 16 and are not guarantees of future
performance.