Reborn in Hong Kong as a Tycoon

Chapter 161 Rubik's Cube Sales

It took Bill Gates and Paul Allen nearly half a month to reply to Lin Baicheng. They agreed to provide a guarantee, and the three shareholders would guarantee the loan of US$500 million according to their respective shareholding ratios.

Once the company fails to manage well and goes bankrupt in the future, if there is no money to repay the $500 million, the three shareholders will have to repay the money according to their respective shareholding ratios.In other words, Bill Gates and Paul Allen have to repay Lin Baicheng the corresponding money according to their respective shareholding ratios.

Although there are risks, Bill Gates and Paul Allen decided to agree after consideration.

After these days of investigation and consideration, they found that the operating system is indeed promising, and the recruitment and initial R&D investment did not cost as much as $500 million, so even if the operating system fails, the company still has the capital to make a comeback , not to go bankrupt all of a sudden.

More importantly, Bill Gates chose to drop out of school to start a company with lofty goals. A small company can't satisfy him, and he is willing to fight for a big one.

After Bill Gates and Paul Allen agreed, Lin Baicheng asked Isabella to handle the matter, sign the contract and transfer the money, etc.

The time came to April, and more than half a month had passed since the Rubik's Cube went on sale.

Lin Baicheng came to Starlight Company specially to listen to Eric's report.

"Boss, as of yesterday, which is the last day of March, excluding the store that was resold, the number of the company's stores has increased by 41, and now it has reached 80 stores."

"These 80 stores, except for five in New York, are all in California, and they have spread all over the cities and important counties and towns in California. complement it to create a pipeline that spans the entire state."

With the previous experience and sufficient funds, Eric Davis's pace of channel expansion is naturally getting faster and faster.

"However, only 40 stores were put into operation in March, and 39 belonged to the company."

It takes time for a store to choose a location, negotiate a good price, and then redecorate it.

"Based on 40 stores, the total revenue in March was 290 million US dollars, compared with the previous month's 240 million US dollars in revenue, an increase of about 20.8% year-on-year."

Hearing this, Lin Baicheng nodded, and then asked, "Not counting Rubik's Cube's revenue, how much is this month's revenue?"

These data are all in Eric's mind, so he replied without thinking: "If the income of Rubik's Cube is not included, it is about 270 million US dollars, a year-on-year increase of 12.5% ​​in revenue."

Lin Baicheng asked: "What about the profit? If you don't count the Rubik's Cube, it is about 27 US dollars?"

"Yes!"

Eric nodded.

A profit of 10% of revenue is barely okay.However, after deducting employee salaries, taxes and other deductions, the net profit attributable to Lin Baicheng, the boss, is only about 5% of the total revenue.

Such a small profit is nothing compared to Lin Baicheng's investment, and it will take at least many years to recover the cost.

However, this is when the channel only sells toys from other companies. If it sells its own products, it will be different.

Lin Baicheng said: "The sales volume of the Rubik's Cube in March was 20 US dollars, and the price of a Rubik's Cube was 20 US dollars, which means that about 1 pieces were sold. On average, 40 stores, that is, each store sold 250 pieces. But more than half a month's sales."

Eric explained: "BOSS, when the promotion first started, the sales volume of the Rubik's Cube was not high, but as time passed, the sales volume of the Rubik's Cube increased every day, and yesterday's sales reached 2000. I believe it will break through to 3000 in a few days."

Isabella said: "Boss, the price of the Rubik's Cube is not cheap, at least for ordinary families, so the Rubik's Cube sells better in economically developed areas. Therefore, I discussed with Manager Eric, Next, the expansion of the company's stores will be mainly in economically developed areas, and gradually expand to the whole country. As time goes by, the trend of Rubik's Cube will also sweep across the country and be known by more people."

"Since you think this is appropriate, then do it."

Lin Baicheng nodded, and then said: "I will inject another 1000 million U.S. dollars into Xingguang Company for the expansion of channels." Starlight Company will give 3000 million US dollars, and this time it will give another 1000 million US dollars, and the remaining 1000 million US dollars will be given to New Century Software and Microsoft respectively.

In other words, if funds are still needed, Lin Baicheng has no money for the time being.

Eric heard the words: "BOSS, if you spend 1000 million US dollars, you can't actually open many stores in cities such as New York and Washington, so the money may not be enough."

"I know that."

Lin Baicheng still knows this well, he said: "Take this money for expansion first, and I will see if there is any capital investment later. If there is no money, then we should find a bank. Anyway, our store is our own." , You can take it to the bank for a mortgage loan.”

Although if this is done, Starlight Company can basically say that it will not make money without counting its own toy Rubik's Cube, but the expansion of the channel scale is more important, and it is completely fine if it does not make money for the time being.

"When the 1000 million US dollars invested is spent, if you go to the bank for a loan at that time, you should be able to get a loan of 3000 million US dollars or more."

Isabella said aloud, after all, the boss’s investment is almost 3000 million U.S. dollars. The complete channel and the store itself are profitable, so there will definitely be a premium, so she is confident that she can get a loan from the bank to reach 3000 million U.S. dollars. funds.

"We'll talk about the loan later."

Lin Baicheng nodded and said, "The most important thing at the moment is to sell the Rubik's Cube well. My goal is to sell 50 Rubik's Cubes this year, so you all need to work harder."

In fact, Lin Baicheng can't make much money from 50 Rubik's Cubes. After all, even if each one is sold for 20 US dollars, the revenue is only 1000 million US dollars.After deducting costs, taxes, freight, etc., as well as possible price cuts later, Lin Baicheng can earn even less.

However, the long-term sales volume of the Rubik's Cube is at least tens of millions or even hundreds of millions. Even if Lin Baicheng earns tens of millions of dollars in a few years, that's not a lot.

With sales of 50 pieces, Eric still feels the pressure without authorizing other toy companies to sell them, but this is not an impossible goal, and he will do his best to achieve it.

Pressure, from another point of view, is also motivation.Once he completes the goal, or even exceeds the target, then his ability will be reflected.

　(Thanks to 'I am Jin Ershun' for the great reward and support!)
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(End of this chapter)