Chapter 112 Financing?
In Meng Bai's mind, Li Qin looked smart, but she was actually silly most of the time.
In particular, her private personality was very different from her appearance. It didn't matter if she was angry, she would be happy again after being coaxed.
So when he saw her suddenly send a strange message and then nothing happened, Meng Bai felt strange, but he didn't take it to heart.
He was listening to Chen Jing's report on the financial and operational issues of Arclight Films.
The revenue share of "Psychological Crime" had all been received, and Arclight Films now had about 8 million in liquid funds on its books.
In addition, the investment share of this drama had also been settled. Meng Bai's investment of 5 million yuan was exchanged for a return of more than 12 million yuan, which was a considerable return. However, this money will not be received until around February next year, so it is still at a stage where it can only be watched from afar.
If it looks like this, it seems that the film and television project is a very good asset investment option. But if we take the time factor into account, this drama was started in early 2014, and it took about a year to recover the cost.
So if we take into account the time cost and risk ratio, this return can only be said to be okay.
In comparison, capital operation is much easier.
A few days ago, Boss Jia officially announced the merger and reorganization plan of Leshi.com and Leshi Pictures, which instantly aroused a wave of enthusiasm in the film and television capital market.
With the major "good news" accompanied by the current bull market, Leshi.com's stock price can be said to have taken off from the spot, ushering in a "terrifying increase" of pulling onions from dry land.
When Meng Bai and others invested in Leshi Pictures, Leshi.com's stock price was just over 30 yuan. However, in less than three months, Leshi's stock price has risen to more than 50, with a return of nearly 60%.
Since it is a merger and reorganization, the valuation of Leshi Pictures will naturally rise with the surge in Leshi.com's stock price. Even because it is not listed, the increase is more emotional.
The "Qiming Venture Capital" that Meng Bai and Qin Lan and others worked together had 10 million shares in Leshi Pictures when they raised funds. According to the current valuation, this money is worth at least 17 million.
And don't forget, they bought it at a discount. So from the actual rate of return, this investment has more than doubled.
In other words, Meng Bai worked hard and risked a year to shoot a drama, but it
was not as good as the income from more than two months here. No wonder so many celebrity directors don't shoot well after they have capital. With this comparison, how many people can withstand the temptation?
Anyway, Meng Bai thinks he can't resist it.
Fortunately, he has sufficient self-knowledge. He knows that this wave of "overwhelming wealth" is based on the rare opportunity of Leshi.com and the "unprecedented" bull market.
For the former, he can get the opportunity because Arclight Film and Television can bring benefits to Leshi.com, so if he gives up this point, he will become a "tree without roots" and be killed in the capital market in minutes;
as for the latter, it is said to be "unprecedented in ten years", so no one can say how long this wave can last. With the nature of A-shares, maybe tomorrow a "soul-breaking knife" will suddenly be cut down and all speculators will be buried.
Therefore, although the capital return is frighteningly high, Meng Bai has become more vigilant. He did not invest Arclight's funds in the secondary market for gambling, or to engage in other capital investments, but continued to use them for the development of Arclight Films itself.
However, Meng Bai did not go to others, but that did not mean that others would not come to him.
Chen Jing handed him a stack of documents. They all contacted her during this period to ask if Arclight Films had any plans for financing.
"Funding?" Meng Bai looked at the pile of documents in front of him and shook his head, "It's not necessary. Arclight is not short of money."
20 million yuan of funds are waiting there, and there will be a share of the profits from "Soul Ferry 2" later. The places where Arclight needs to spend money are at most the production of the next few dramas in the "Green Ivy Series", or some projects that it is optimistic about like "The Best of Us".
The "Green Ivy Series" basically requires Meng Bai to lead the team personally, and he can't split himself, so there are only two projects in the same collection cycle.
Not to mention that these projects are all in cooperation with video websites, even if Arc Light Film and Television does it by itself, the funds are fully sufficient to cope with it, so why bother to raise funds to introduce external capital and share power with itself.
However, Chen Jing has a different opinion.
"According to Arc Light's current scale and development status, if it starts financing, it can skip the angel round and go directly to the A round of financing." Chen Jing said: "Compared to funds, the industry resources, cooperation channels and business model expansion brought by the A round of financing are the most critical."
This thing is actually the same as a film and television project. For small crews and small directors, the most lacking is money, so whoever can give money is the investor.
But after having a few successful experiences and growing up, if you want to invest in a new project, it is not enough to just get money at this time. At least there must be additional resources such as publicity, channels or copyright development to have a chance.
And if you go a step further and reach a point like Penguin, Wanda or Guangguang, Bona, then it is not about looking for investment, but investors have to beg for "entry" instead.
Arclight Films is probably in the early stages of the second phase. If it starts financing, in addition to funds, at least some other resources must be involved.
And if it comes to other resources, Arclight Films really has a lot of needs.
For example, more cooperation platforms, mainstream film and television channels, resources for project publicity and distribution, and even the artist agency business that Meng Bai has been considering, are all needed for the future development of Arclight Films.
Of course, even if it does not accept financing, these can all be developed slowly on its own, but it will inevitably take a lot longer.
"So, whether or not to accept financing depends mainly on your demand for development speed, boss." Chen Jing said, "If you don't have any big plans and just want to have your own piece of land in the industry, then it doesn't matter if you don't accept financing."
"Wow, your description is a bit too biased." Meng Bai said, "It sounds like if I don't accept financing, I will be unambitious."
"I am an employee of Arclight Films, of course I hope the company can grow as big as possible." Chen Jing said calmly, "In recent years, with the demise of major Internet companies, hot money in the film and television industry has increased, and all kinds of financing and mergers and acquisitions are everywhere. At present, Arclight is a very high-level investment target in the capital market. Taking this opportunity to catch up with the trend may be the best time to take off."
After speaking, Chen Jing added, "Of course, I am just providing advice. You are the boss, and the choice is up to you."
"Many people have flown up when the wind hits the vent, but there are more people who have been blown away." Meng Bai pondered for a while and said, "As for the financing, you wait for me to think about it during this period of time. Anyway, even if this kind of thing is decided, there will be a long period of negotiation in the future, so there is no need to rush."
Even if it is financing, not just anyone will accept it. After all, the purpose of other people's investment is to make money, so there must be some harsh conditions for Arclight Film and Television, and these conditions may not be what Meng Bai is willing to accept.
Especially conditions such as gambling, which are the most difficult to accept in Meng Bai's view.
It seems that a large sum of money has been given, but in the following time, the party accepting the gambling is like a donkey with a carrot hanging on it, and can only try every means to chase it.
If you can't catch it, you have to spit out what you have eaten before; if you catch it, it may not be worth it to calculate the hard work along the way.
More importantly, the donkey needs to listen to the "master".
Not wanting to be at the mercy of others was the reason why Meng Bai first established Arclight Film and Television.
Before I had this company, I had to listen to others. After I had this company, I still had to listen to others. Then my company was run in vain!
(End of this chapter)
Continue read on readnovelmtl.com
