Revved up to drive business forward (hktdc.com)


	Phil Dawson with his one-off sports car, Velocity, built in his bespoke production workshop in the New Territories

Phil Dawson's launch of Hong Kong Custom Built Cars Limited (HKCBC) in August 2004 offers drivers the chance to own a bespoke motor car.

"Over the years, I realised that mass production car companies make a commercial decision about what they are prepared to give the majority of the people they survey before building a new vehicle," explained the British native, who has lived in Hong Kong since 1992. "This leaves some drivers disappointed. So, I decided I could give the customer exactly what they require and, in most cases, for less than a mass-produced model."

The New Territories-based company allows the owner to be involved in the construction of their unique hand made vehicle, at various stages of its production - rather like fittings for tailor-made clothing. "They are able to view the building process and change specifications, subject to certain deadlines," he said.

Ideal location

A suitable workshop was easy to find, Mr Dawson said. Located in Yuen Long, he likes the laid-back neighbourhood and its proximity to quiet roads is ideal for test driving his stock.

Mr Dawson's working knowledge of automobile engineering spans decades. From a young age, he was active in rebuilding his own cars and worked in the transportation parts procurement field for 38 years. As an automotive parts sourcing consultant for manufacturers, Mr Dawson's biggest lesson was that using non-big brand name components greatly reduced production costs. "We use exactly the same principles at HKCBC," he said.

With help on a business plan from his one silent partner, start-up costs were approximately HK$100,000 (US$12,800) for the workshop and related expenses, plus HK$500,000 to HK$1 million (US$64,200 to $128,500) for various design licenses, building two prototypes, the cost of shipping them to the UK for testing, and returning them as demonstration models.

Car components are sourced from all over the world, and increasingly from the Chinese mainland - which is simple from Hong Kong, Mr Dawson said. Several multinational companies also source from China today, he added.

Business plan on track

There is no set profit margin per vehicle produced. "It varies according to customer specifications," Mr Dawson explained. "It's enough to keep me, my accountant and the customers happy."

Mr Dawson initially anticipated around two years to break even, and he says he is still on track.

Promotional and running costs are kept low. "I market the models through the internet and car clubs, and I am also planning to display some of them through fairs and exhibitions later this year." His own eye-catching yellow sports car, named Velocity, is adorned with a HKCBC banner and word-of-mouth recommendations have also netted orders.

Staff comprise a qualified engineer and up to four part-time technicians. The quality control process is outsourced to an independent engineer. Unlike mass vehicle producers, HKCBC manufactures strictly to order.

Fast turnaround

Engines range from economical one-litre capacity to powerful V8s. There are six types of chassis and 11 body colours. GPS navigation system is one of many optional features. Completion time from ordering of parts is around 60 days. Prices start from around HK$300,000. (US$38,560)

This year Mr Dawson estimates up to 10 models will be built. Most of his customers are collectors, racers and ‘unique car' buyers who, like himself, will often individually "christen" their one-off vehicle.

At the moment he has no plans to export, as production is very slow and limited. With more help, however, Mr Dawson said he could handle a maximum of 30 cars per year.