Chapter Twenty-Eight: Expansion Plans
Chapter Twenty-Eight: Expansion Plans
After Lin Qiang returned to his office, he called Zhang Guozhi and He Guang over and told them that Qin Xiaohua wanted to invest in the plan to quickly strengthen and expand the background wall products.
He Guang and they are all friends who have witnessed the ups and downs of Lin Qiang's business, and they always feel that Lin Qiang has finally raised his head from the setback, and now his business is developing steadily, and he can't take the risk of partnering with others. Moreover, after completing the single project of Yamato Villa, the company itself can make a lot of money, and it has the ability to slowly develop and grow, attracting outside investment, isn't it just to share the opportunity to make money in vain?
Lin Qiang didn't know how to explain it to them in detail, and he understood their mentality.
Now this "tide brand enterprise" although the scale is not large, but the business involved, whether it is a carving factory, a hardware factory or a color carving factory, is relatively unique, there are few competitors in the market, so the profit rate is very high, there is a stable income every month, in the eyes of He Guang, Lin Qiang has created a new millennium business miracle. In just a few years, Lin Qiang not only got rid of heavy debts with his keen business acumen, but also regained his own company with good development momentum, which made them admire Lin Qiang.
They are Lin Qiang's true friends since childhood, and Lin Qiang has always treated them well, so naturally he doesn't want to see him in danger again.
Lin Qiang explained to them that he had already considered it all and felt that he should use the power of funds to seize the market as soon as possible. As for the risk, he also thought about it, he just took the existing plant, equipment, technology into the shares, and did not need to invest his own funds, the biggest risk is to put the color carving factory in, but if successful, the prospect is really limitless, therefore, he thinks it is worth giving it a go. Moreover, the cooperation is only for the color carving factory, and does not involve the carving factory and the hardware factory, with this retreat, there will be no worries.
Lin Qiang said that although the investment has been introduced, he will definitely ensure his status as a major shareholder, and at most take out no more than 50% of the shares to attract capital, "My idea is to divide the other 50% of the shares into 50 shares, so that investors can subscribe and obtain the corresponding shares." What do you think is the right price per share to support our expansion plans, based on your understanding of the industry?"
"Lin Qiang, according to our current configuration, we can produce about 30 square meters of background walls per day. The average living room TV background wall is about seven to eight square meters each, in other words, we can produce about four TV background walls per day. I don't know what the output will be set in your plan after the introduction of investment?" He Guang has been managing the entire production and is quite familiar with the situation.
"I had an initial plan to produce about 600 pieces a month, and if it was lower than that, it wouldn't be interesting to find someone to invest and cooperate. Lin Qiang said.
Zhang Guozhi thought for a while and said: "Lin Qiang, according to your assumption, our equipment will be increased by at least five times, and the factory workshop, warehouse, and personnel allocation will also be increased accordingly. ”
Lin Qiang nodded while listening, "The other expenses are mainly the establishment of their own stores and product advertising expenses, and there must be enough spare funds to be reserved, so that the total investment should not be less than five million yuan." ”
"Wow, Lin Qiang, produce 600 pieces a month, won't the output value go to 10 or 20 million?" He Guang exclaimed.
"It can't be calculated at the price we are giving Yamato Villa now. In the future, we want to do the market, facing ordinary family consumers, the price must be greatly adjusted, of course, the process must also be redefined, and it can no longer be mass-produced according to the process of Yamato Villa. I will consider the specific process standards and pricing, but there is one that we can't do those low-grade products like Foshan, our positioning is mid-to-high-end, which can ensure the reputation of the product, and the second can also ensure the profit space. You don't have to think about this, I'll make it up. ”
That is to say, 50% of the shares are divided into 50 shares, and each share is 100,000 yuan. Can those investors accept such a big investment?" He Guang asked.
"Investors are not concerned about the amount of investment, but the return on investment, simply put, how long to recover the investment, according to the profitability of our products, if it can really reach the predetermined production capacity, and the marketing is smooth, it should be able to return to the cost in one year, no more than one and a half years. Such a rate of return should be quite attractive. Lin Qiang said.
Lin Qiang said that after the company introduces partners, why will they only strive for reasonable remuneration for these original executives, but it will definitely not be like now that everyone has a 5% share dividend, however, Lin Qiang promised that he will give them dividends in half of his shares, and if the company expands smoothly, this dividend will definitely be much more than now.
He Guang and Zhang Guozhi have always admired Lin Qiang's business vision, and when they heard him say so sure, they knew that he had already considered it in detail, so they didn't say anything anymore. The three of them discussed the expansion of the plant and the purchase of additional equipment, and had a general plan.
Lin Qiang himself is very familiar with the entire production process, many of which are personally innovated by him, he is very confident in his company's process level, there is no problem in technology at all, and now he is thinking about the focus of product marketing.
According to his previous plan, one is to directly explore users, find a way to put the product into several real estate, so that not only can ensure the maximum profit, but also directly face the user, timely receive the user's feedback on the product, which is conducive to improving the product; the other is to plan to open a store in several high-end decorative materials markets in the city, or cooperate with the existing building materials stores in the market, set up counters for sales.
Guangzhou itself has a large capacity in the decoration market, if you don't consider expansion, with the existing production capacity of Lin Qiang's company, it can definitely be digested in Guangzhou.
But now that the investment has been introduced and the production capacity has been expanded several times, it is necessary to reposition the marketing plan. Lin Qiang's first thought was to introduce franchisees, publish product advertisements on the Internet, and face the national recruitment alliance product distributors.
After He Guang and they got out of the office, Lin Qiang turned on the computer and searched for "decoration market" on the Internet, which made him very excited that there are several quite famous high-end decoration materials markets in all the provincial capitals of the country, such as "Red Star Keck", "Ouyada", etc., Lin Qiang thought, if a special dealer is developed in each provincial capital, you can have dozens of product stores at once.
This is a systematic project, and Lin Qiang needs time to plan well.
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Dear readers and friends, this novel is the sequel to my other novel "Time Apocalypse", if you want to have a deeper understanding of Lin Qiang, Cao Xu, Wen Jie, Qin Xiaohua, Su Juan and others' previous experiences, please read "Time Apocalypse" first, and please give more suggestions, send more comments, thank you!