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Chapter 142: Chapter 129: Terrifying Tang Qing (Please Subscribe!)_1
Seeing Zhou Li still hesitating, Tang Qing looked at him and said earnestly, "Uncle Zhou, just tell me, do you want to buy this factory or not?"
He didn’t find Zhou Li’s hesitation unusual. If Zhou Li had readily agreed, he would have worried. Cautiousness is the basic quality of a businessman. Many businessmen are audacious based on thorough analysis, not acting recklessly. When asked later, they would claim they didn’t think much, just acted boldly. Why? Because they can’t be bothered to explain their real thoughts at that time; strategic decisions are not easily shared.
No wonder the system recommended this client; he is indeed not ordinary.
"I want to buy it, but I won’t be able to pay back this sum of money in a short time..." Zhou Li hesitated and said, after some mental struggle. His only concern was here. In his view, Tang Qing only made short-term loans before, to a certain extent controlling the risks. If he were to borrow this sum of money, he had no hope of repayment in a short time. Although he could try to get a bank loan after the acquisition, it would make things much more complicated and more variables would be introduced.
Upon hearing this, Tang Qing knew that the deal was done. He smiled and said, "Uncle Zhou, there’s nothing to worry about. As long as you want to, it’s fine. I only lend short-term loans to first-time borrowers, but once trust is established, I can offer long-term loans."
"Really? How long is this long term?" Zhou Li asked with surprise. As long as it is a long-term loan, repayment is definitely not a problem. He has taken many foreign orders recently, and it seems that there will be more and more. Making money is not difficult; the hard part is whether you have the qualification to earn that money.
Instead of specifying the loan term, Tang Qing asked, "Uncle Zhou, how long do you think it will take you to repay this loan?"
To ensure the maximum efficiency of this fund, he had to see what Zhou Li would say first.
"Well, let me make a calculation. After the acquisition is completed, excluding a portion of the operating and development funds of the factory, I can almost repay the loan in a year and a half," Zhou Li considered and said.
"Uncle Zhou, you mean you can earn several millions in a year?" Tang Qing asked surprisingly.
He knew the profit margin of his own clothing factory, and it was almost enough for a factory doing contract work to make a few hundred thousand a year. He couldn’t imagine how a shoe factory, not much different from his own, could be so profitable. Even if all the orders are for export, it couldn’t make so much money.
"Hehe, of course not. How can a shoe factory be that profitable? The factory itself isn’t worth all that much. This is mainly because I have other assets. Combining the retained funds and profits of the merged factory, I am sure I can squeeze enough to repay it in a year and a half," Zhou Li explained with a smile.
"Oh, I see. I thought your factory was making so much money, which gave me quite a shock. Okay, so when you buy Uncle Yan’s factory, you just name a price and we’ll set the loan term as a year and a half. The interest, of course, cannot be as high as for short-term loans. Let’s set it at 10% annually. So, for a year and a half, it would be 15%. What do you think?" Tang Qing suggested, nodding.
This makes sense. If shoe factories were that profitable, other people would have flocked into this industry. Where there is excessive profit, there will be people to bring it down.
"Okay, the interest is not high. I’d like to thank you in advance, Tang. Once I’ve negotiated with Old Yan, I’ll give you a call," Zhou Li happily agreed. The annual interest rate of 10%, although about 4% higher than the bank’s rate, does not represent the actual cost of capital. If he applied for a bank loan, he would have to spend a lot of time and energy, not to mention giving kickbacks. After calculating the comprehensive cost of the fund, the 10% is actually slightly lower than the bank’s rate, so Zhou Li naturally would not be dissatisfied.
"Here’s the deal: once you have settled things with Uncle Yan, just give this number a call. She will help handle the loan matters. After all, I might not have time in the future, especially as the Chinese New Year is approaching," Tang Qing handed Zhou Li a business card, one of Dou Jiao’s cards he had picked up when he left the company last time.
Zhou Li looked at the card: Sky Eye Consulting Co., Ltd., General Manager, Dou Jiao.
Zhou Li wasn’t surprised. Having a company to handle this matter would obviously be more convenient, as many others would operate in the same way. He then carefully put the card into the wallet slot. After all, this was the contact of a financier.
"Little Tang, this is to you, thank you for helping your uncle out to such an extent," Zhou Li raised his cup and addressed with sincerity.
Tang Qing also raised his cup and clinked it against Zhou Li’s, laughing, "Hehe, Uncle Zhou, you’re too kind. It’s just business as usual. We’re mutually beneficial."
Both of them achieved their goals and was pleased with the outcome.
The two quickly finished their meal, and Tang Qing headed back to school with Li Kai.
Zhou Li was also itching to go and find Yan Guangting to talk about it, striving to acquire his old friend’s factory as soon as possible. Without the worry of funding, Zhou Li was full of energy for a time.
...
After leaving Baiwei Restaurant, Yan Fei did not return to the hospital. Instead, he went to a bar. The bar, with a rather rustic name - Love and Fate Bar, was a place he often visited. He was here to find ’reinforcements’. He knew there was a security ’team’ here that usually took on tasks to teach others a lesson. He had heard of this before but had no previous involvement. Now, he was preparing to spend some money to cause trouble for Tang Qing.
