"You still need to buy land?"
The three young masters all looked troubled.
Although the three individuals were of unusual backgrounds, their families held some status and had considerable wealth in the capital.
Paying a small amount of money is not a big problem, but building a factory and buying land is a significant expense.
The group also conducted market research, such as the required quantity and price of sewing machines, overlock machines, and other necessary equipment for setting up a factory, as well as the cost of purchasing fabrics. They estimated that without 100,000 yuan, it would be impossible to start the business.
Now, they also need to buy land to build factories, dormitories, canteens, and so on, which is even more outrageous.
So how much capital do we need to set up the factory?
Xie Xun whispered, "Brother Jing, I know you want to do it all at once, which is a good idea. However, how long will it take to get the factory up and running? I think the most important thing is to start production first. We can rent an old factory building to start, and then buy land to build a factory after we make some money, right?"
Chen Jing smiled, raised his glass to the three of them, and asked, "You've made a plan. How much do you expect to invest in setting up the factory?"
Xie An: "We've calculated that the total investment is 100,000, and the three of us can scrape together 50,000. I think you should be able to scrape together 50,000 without any problem?"
"Fifty thousand yuan is no problem, of course. However, for a factory with 500 employees that produces 50,000 sets of clothes a month, we need to prepare at least half a month's worth of working capital, which is 25,000 sets."
"An investment of 100,000 yuan would require at least 40,000 to 50,000 yuan for equipment, plus the cost of purchasing fabric and other expenses. The initial budget of 100,000 yuan is definitely not enough."
The cost of a set of clothes, not to mention the cost of fabric and cotton in winter, is definitely not enough for ten yuan, and it starts at ten yuan in summer.
After hearing Chen Jing's analysis, his three companions suddenly felt a toothache.
Although their family had some status in the capital, it didn't mean they were rich. This 50,000 yuan was not only supported by their family, but also included loans from relatives and friends. They really couldn't come up with any more.
As for setting up a small workshop, Xie An was unwilling.
Although the three young masters are quite famous in the capital, it's not because they are good at business.
Chen Jing could set up a small workshop on his own; there was no need for him to partner with them.
They weren't confident they could compete with Chen Jing and Ji Xia if they did it themselves, and they lacked experience, so they were worried they'd lose the money.
Jiang Yizhi tentatively whispered, "How about we don't start with such a large scale? How about around two hundred people?"
"In that case, Chen Jing will contribute 50,000, taking 50%, and the three of us will each contribute 50%, taking 50%?"
Chen Jing smiled faintly: "What about my workshop? You mean, the workshop is mine, and the one I'm working with is separate? If I get an order, or a new design by A-Xia, how will that be arranged?"
Xie An unconsciously tapped his index finger on the table: "Of course your workshop should be included. Let's first take stock of your workshop's assets and divide the percentages among you."
"That's fine, let's talk about it after the New Year. But I have something else to do."
Chen Jing held his wine glass and pondered for a moment: "I'll leave the matter of renting the factory to you. However, I'm not at ease without our own land and factory."
He made a gesture: "I know you don't want to, because it would increase costs too much. However, I'm used to leaving myself a way out. If I have my own land or factory, we can move out at any time if the landlord sees that our garment factory is doing well and wants to raise the rent."
"So what do you want to do?"
Chen Jingdao said, "I want to buy a piece of land with my own money and prepare a factory that can accommodate 500 people. I need at least three to five acres of land."
"What? Three to five acres? Where in the city can you find such a large plot of land?" Jiang Yizhi exclaimed in disbelief.
This is the capital city, with a population of tens of millions. How could there be so many large plots of land vacant? Moreover, even if such large plots of land existed, who knows how much it would cost, and whether the authorities would approve it?
Upon hearing this, Chen Jing couldn't help but chuckle: "I didn't say it was in the city center. With such a dense population in the city center, how could that be possible?"
"I mean the outskirts of the city, near villages or towns, in the suburbs around Beijing, or even further away in counties, towns or villages. As long as the factory has dormitories and the transportation is convenient to get back to the city, it's fine."
Xie Xun stared at him in surprise: "Brother Jing, you're amazing! You invested 50,000 here, and you still have money to buy land and build a factory?"
At this time, building a house is not expensive, but building a factory that can house 500 people would cost a lot more.
Xie An frowned: "If we include the factory buildings and land, what percentage do you plan to own?"
The factory buildings, the land, and his workshop—all these things combined, their 50,000 yuan probably only accounts for less than 10%. If that's the case, why would they be partners?
Chen Jing smiled faintly and shook his head: "We can buy the land first. After I make money, we can build it slowly. The clothing factory is tentatively budgeted for two or three hundred people. We don't need to find a large one. We can expand it after it is built."
"As for the factory, I'm the landlord, so I can just rent it to the factory without diluting my shares."
Hearing his words, Xie An finally smiled: "Brother Jing is indeed bold. Okay, I'll take care of this piece of land and find it for you."
Upon hearing this, Chen Jing chuckled and reminded him, "The most important thing is that the quality is good and the price is low. To be honest, if the business expands too much, I'll be under a lot of pressure. Three or five acres is fine, but anything smaller won't work."
"Don't worry, I know what to do."
The four of them smiled knowingly and happily began eating the mutton hotpot. They even had a big appetite and asked for more food twice.
After they had almost finished eating, Xie An chuckled and said, "Actually, we've already found a target for the factory we're planning to rent. There's an empty metal warehouse near a scrap metal recycling station in the West District."
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