The Birth of the Hong Kong Island Family.

Chapter 46 [Want to speculate on the land] (full 1000 monthly tickets plus more!)
Lin Zhichao brought people to Tsuen Wan to inspect the site selection of "Cheung Kong Industrial Factory". Looking at the farmland and beach in front of him, he suddenly had many question marks.

So desolate!

"Currently, what is the population of Tsuen Wan? How many factories are there?" Lin Zhichao asked Hu Zhaoxu beside him.

Hu Zhaoxu is the marketing manager of Cheung Kong Properties. His essential work is to search for properties and land in Hong Kong, and to sell properties of Cheung Kong Properties.

Lin Zhichao's future father-in-law, Tang Bingyao, was involved in the site selection of the factory, of course, only to provide references; after all, Hu Zhaoxu is a layman on what factors a textile factory should consider.

"According to the latest statistics from the Hong Kong government, Tsuen Wan should have a population of 6000. As for factories, they are very rare. I investigated a Liquan winery, Qingshan Ceramics factory, Texaco, Meiya Weaving Factory, Far East Tiehuo Company, Huanan Weaving The factory is more famous, and then there is Mr. Tang's factory under construction."

The population is only 6000, but it will accommodate 60 people in the future;

And there are less than ten factories, which is even more pitiful.

Of course, Tsuen Wan in later generations has been reclamated many times, and the current downtown of Tsuen Wan is only 0.5 square kilometers (only counting the city center, the entire Tsuen Wan is about 50 square kilometers).

Lin Zhichao suddenly came up with an idea, and then asked, "How much does it cost per square foot to build a factory here?"

He remembered one thing, Tsuen Wan really became a big paradise for factory owners in 1950.

Because from the spring of 1949, everyone gave up their illusions and came to Hong Kong with capital and technology.At that time, there were no factories to rent in Western District, Sheung Wan, Wanchai, Causeway Bay, and North Point; so factory owners could only choose Shau Kei Wan and Chai Wan on Hong Kong Island, and Tsuen Wan near Kowloon.

So, that is to say - the land in Tsuen Wan will skyrocket.

Hu Zhaoxu immediately said: "It is expected to be in the range of 3 to 5 Hong Kong dollars per square foot. Yangwu Road near the sea is more expensive (near the pier), followed by Castle Peak Road (the main road leading to Kowloon in the New Territories). This side is relatively barren, almost There is no factory location here, unless there is really no place to choose a location.”

Lin Zhichao was immediately delighted. Such a cheap land would at least double the price in two years.

So, he said to Hu Zhaoxu: "Now, you lead someone to search for me an industrial land suitable for building a factory in Tsuen Wan. Castle Peak Road is the best. I need a land of about 10 square feet (16.6 mu. One and a half The size of a football field.) to build a factory for Cheung Kong Industries. After this matter is completed, I will consider absorbing other land in Tsuen Wan. This place is good and has great potential.”

Hu Zhaoxu lamented Lin Zhichao's courage in his heart. Judging by the boss's appearance, this time he probably invested millions of Hong Kong dollars in land.

"Okay, I'll act right away! Boss, don't worry, I'm already familiar with this place, and I will definitely give you a suitable goal!"

Lin Zhichao nodded. Of course he would not find the land himself. When Hu Zhaoxu finds a suitable target, he will come to confirm whether it is feasible, which saves energy.

The land can be mortgaged for a loan, and then the loaned funds can be used for investment, just like a snowball.

However, although he knew that the land in Tsuen Wan was going to skyrocket, Lin Zhichao must have only invested part of the funds, and he couldn't put all his eggs in one basket.

He will invest in the land in Tsuen Wan and divide it into two companies to invest:
Cheung Kong Industries invested in a land of about 10 square feet, and then divided the land into two phases. The first phase of the project will build a one-story factory (fast speed), and the second phase of the factory will build a five-story industrial building (area many).In terms of funds, I will go to the Bank of East Asia for a loan. After all, Cheung Kong’s monthly profit can reach 1 to 7 Hong Kong dollars, so I can continue to borrow.

Cheung Kong Real Estate only started to formally invest in the second half of 1948. It invested almost 20 square feet of land (multiple plots). It was sold in 1950 and quickly sold to make other investments.

Although it is said that these lands can be multiplied dozens of times in the future.

But Lin Zhichao understands the principle of "goods are like rotation", and the funds must be rolled up.

What's more, the real increase in property and land in Hong Kong has been since 1967, so there is no need to hold too many land and properties for a long time.

Lin Zhichao once again invited Jian Dongpu of the Bank of East Asia to visit Cheung Kong Industries.As the biggest "debt king" of the Bank of East Asia, Jian Dongpu is naturally very face-saving.

A medium-sized bank/bank in Hong Kong has an annual profit of almost 40 Hong Kong dollars, while a small bank has a profit of only 20 million.

Lin Zhichao can provide more than 20 profits to the Bank of East Asia every year. In other words, he can also be regarded as the "God of Wealth" of the Bank of East Asia; of course, it may be more reasonable to say the other way around.

When the time is right, Lin Zhichao will definitely contact HSBC to increase the number of cooperative bank partners; it is not that he abandons the Bank of East Asia, but that his business is huge and he needs more choices.

"Amazing! These three machines have only been in Hong Kong for less than three months, and you can actually work 16 hours a day. It feels like a machine for printing money!" Jian Dongpu sighed.

Lin Zhichao handed over the financial statements for December last year to Jian Dongpu, and said: "Last month we produced 12 zippers, with a profit of HK$18. This month we received a large order from an American zipper merchant, one-time It is 5 meters of copper zippers, which can net 5 Hong Kong dollars; the important thing is that he has promised to cooperate with us for a long time."

Jian Dongpu was surprised, feeling that Lin Zhichao's zipper factory's profit was almost comparable to that of the Bank of East Asia.

What kind of money-making speed is this, which makes him feel unbelievable.

Opening the financial statement, Jian Dongpu was not only shocked, but also shocked.

After a long time, he sighed: "With only three machines, you are among the large factories in Hong Kong. There are only a handful of factories in Hong Kong that can earn 80 Hong Kong dollars a year."

Lin Zhichao's mind is very rational, and he analyzed: "I am the first to eat crabs, but I can't be the only one to eat crabs. Therefore, if I want to maintain this profit scale, I must expand the factory and order more machines. , to ensure better quality and reduce greater costs. Maybe the next six machines will only make this money, after all, the pressure of competition is high.”

Jian Dongpu nodded and said, "Actually, when I inspected your two factories, I found that it's not just about the three machines. Changjiang Industrial's success depends on your leadership. So, how much do you plan to borrow?"

Lin Zhichao immediately opened his mouth: "50 Hong Kong dollars!"

Jian Dongpu said unexpectedly: "It costs so much money to build a factory?"

Lin Zhichao nodded and said: "I plan to invest in a large-scale factory in Tsuen Wan, which requires at least 10 square feet of land. After all, the market for zippers will increase exponentially. Even if someone joins the competition, the annual profit will be millions of Hong Kong dollars. I believe that the Yangtze River Industry can do it."

In his previous life, Guo Desheng was an agent of YKK zippers, selling products in Hong Kong and Southeast Asia, and he could earn 100 million a year; Cheung Kong Industrial had no reason to open a factory, and he did not earn as much as an agent.

Not to mention, Cheung Kong is also the first person to eat crabs anyway, and Lin Zhichao's brain is not lost to Yoshida Tadao.

After thinking about it, Jian Dongpu said: "Your zipper factory has stable profits, and with the land mortgage, I have a loan of 90 Hong Kong dollars to Cheung Kong, and I don't worry about getting it back. What's more, your Changjiang Real Estate has sufficient cash. By the way, why don't you use Changjiang Real Estate's funds?"

Lin Zhichao said with a smile: "These are two companies. What's more, I don't think Cheung Kong has a debt of 90 yuan. It's nothing more than a year's profit."

Jian Dongpu stopped talking nonsense. In his mind, Lin Zhichao was very trustworthy. Loaning to Lin Zhichao was as safe as depositing money in the Bank of East Asia.

"Okay, I will give you the loan in a few days! According to the rules, Cheung Kong Industrial will mortgage it to us, including the land you bought with the money."

"no problem!"

His property is mortgaged, but he has no anxiety.

In the early days of starting a business, it is necessary to move forward bravely, because there is not much to lose anyway, and it is easy to get back up.

In the mid-term of entrepreneurship, we must develop without forgetting stability. Development in this period is still the most important, but stability needs to be considered.

In the later stage of entrepreneurship, it is necessary to be steady without forgetting development. The first thing is to be steady, and only to develop other businesses if you have extra money.

(End of this chapter)