Gao Huai had known Rick for years and understood his profit-driven nature. As he'd expected, Rick expressed strong interest in establishing a branch in Country G and offering him shares. Profit was everything to businessmen, and Gao Huai's company was an additional way for him to make money, so why not? Furthermore, he didn't have to invest any money, so he didn't have to bear any risk.
"Mr. Gao, this is a great idea. I'd be happy to work with you. Let's put it this way. You just arrived in Country G today, and the long journey must have been tiring. I'll take you to the hotel to rest, and then I'll pick you up tomorrow. We'll go to my house and sort out the details of starting a company."
Gao Huai established a branch in Country G, which is a foreign-funded company. Rick can get tax benefits by helping him run the business. This is the opportunity he is looking for.
"Okay, let's talk about it in detail tomorrow."
Gao Huai and Rick each got what they wanted, and both hoped that the envisioned project could proceed smoothly. After dinner, Rick drove Gao Huai back to the pre-booked hotel, and the two agreed to meet the next morning to discuss in detail.
At night, Gao Huai carefully checked the documents he brought with him in the hotel room, which were needed to register a company in Country G, as well as the terms of the "get something for nothing" plan for Mingdan Company. He went to bed only after he felt that everything was foolproof.
The next morning at around nine o'clock, Rick drove to the hotel on time to pick up Gao Huai and take him to his house for dinner.
"Mr. Gao, my wife cooks at home. We will make authentic G country food for you."
"Thanks, Rick! You guys are so welcoming."
At Rick's house, Gao Huai took out the documents he had carefully prepared for registering a branch company. After repeatedly verifying that they were correct, he solemnly handed them to Rick: "Rick, I'm coming to Country G this time. Customs regulations prohibit me from bringing too much cash. Please keep these documents for now. I'll transfer the relevant fees to you after I return home. You are responsible for registering the branch company, including the bank information. All the information is here. Please check if there are any problems."
Rick took the information and looked at it. He said, "There's no problem with the relevant certificates, but why are the products sold classified as electromechanical products? We've always been in the household products business, which is completely different from electromechanical products."
This was a conspiracy Gao Huai had been planning for a long time, so he naturally wouldn't tell Rick. Facing Rick's puzzlement, Gao Huai smiled mysteriously and said, "If you want to sell daily necessities, you can use your current company. The reason I asked you to register a new company is to sell electromechanical products."
"But we are not familiar with this industry, and starting from scratch will probably be difficult."
Although Rick wanted to make money with Gao Huai's help, it was not easy to expand his business in different industries.
"Don't worry, you just need to complete the initial formalities, and I'll be responsible for coordinating the subsequent business. I guarantee that this business will be profitable and I will cover all expenses. You just need to use your connections in your country to expand sales channels, and we will split the profits 50-50. This business is a zero-cost, high-profit business for you, so don't worry. It's precisely because we have worked together for many years that I regard you as my most trusted friend, so I invited you to work together."
Gao Huai has been blinded by money. He is completely immersed in the dream of getting rich and cannot extricate himself. In his opinion, as long as Rick can cooperate well, this long-planned transaction will soon become a fish in the net.
"Okay, Mr. Gao, we've known each other for so many years. I trust your character and abilities and will follow your instructions. As long as you're responsible for the initial capital investment, there will be no problem with the subsequent sales channels. However, I still want to confirm how the goods will be sourced and how the payment method will be handled."
Rick has been in business for many years and he knows very well that the most important aspect of doing business with mainlanders is the payment method, especially for large-scale business. Some suppliers require payment in advance, but for buyers, paying in advance is very risky. They are worried about the quality issues that cannot be guaranteed and the difficulties in capital turnover.
Gao Huai already had a plan for this. He smiled slyly and said, "I have a supplier who really wants to cooperate with me. I can get the goods from his company and pay after the sales. This way, we won't have too much financial pressure, and the supply, quality, and delivery time can be guaranteed."
"Oh, that's a great plan. Delivery first, payment later. Settlement after the sale. Actually, many foreign buyers want this payment method, but many sellers disagree, worried that we won't pay after receiving the goods. Most of us in business value credibility, so there's no need to worry about not getting paid. In business, buyers and sellers need to establish a relationship of mutual support and trust, and cooperate with each other to sustain long-term success."
Rick has been doing business with mainlanders for many years and is very familiar with how to communicate with them and the market conditions of the mainland export market. This is also an important reason why Gao Huai chose him as a partner.
"Yes, we understand the suppliers' concerns. For sellers, cross-border trade carries significant risks. After all, not all buyers are trustworthy. Some take advantage of suppliers' eagerness to export and offer monthly payments. However, when the payment date comes, they often find excuses to delay or even refuse to pay, leaving many sellers in a predicament of losing both money and goods. There have been countless similar cases, and now many suppliers, to mitigate the risks, have resorted to cash payments and require the final payment to be settled before shipment."
Gao Huai has been engaged in foreign trade for many years and is very familiar with the risks of foreign trade collection. He has heard of many cases of transnational fraud and has experienced it himself. However, he has never revealed these inside stories to outsiders, including Rick, who does not know about his experience of being cheated.
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