Chapter 453 Arrangement
At the end of May, the government adjusted interest rates to encourage businesses and individuals to take out loans to stimulate consumption and promote economic development.
When Su Laoda got home, he told Su Laosan and Li Banxia about it.
Old Su shook his head as he listened, "Using assets as collateral is indeed a disadvantage, as it only allows us to borrow 50% to 70%. If we could double the loan amount, we wouldn't have to use our cash flow..."
Li Banxia glanced at him.
Su Laosan chuckled and said, "No wonder Mom wouldn't let me buy real estate. If I did, I wouldn't be able to move it anymore, and my cash holdings would be worth 30% less..."
"Actually, buying property is a good idea. Rising property prices are a major trend in the future, so you won't lose out," Su suggested.
Li Banxia nodded and said, "Buy it. We'll buy it when we have more spare money in the next year or two. You can keep an eye out for suitable properties around your school in the next two years. If there are any, keep an eye out. If not, we can buy a piece of land and build our own. It depends on whether you prefer a yard or a multi-story building."
"The courtyard is definitely more comfortable."
As Su Laosan spoke, he wiped Le Bao'er's mouth, who was sitting next to him eating vegetable porridge, and said with a smile, "The yard is spacious and down-to-earth. Mom wants to plant wisteria trees and build a wisteria trellis. It'll be convenient to have shade in the summer and a pot to stew goose in the winter. Just thinking about it makes me happy..."
"Third Uncle, you really are a glutton..." Le Bao'er sighed and shook her head.
Su Laosan, "..."
He laughed heartily, poking the little guy's armpit, "How did your third uncle grow up to be so big if he wasn't a glutton?"
"...We're all foodies!"
Mingwa gasped in amazement, her eyes wide with disbelief.
Everyone at the table was amused.
After laughing, Su Laoda returned to the main topic and said to Su Laosan, "It will be easy for you and Mom to get a loan. You have a store, a business location, and more than a year's worth of cash flow statements. There's cash flow every month on the books, and a year-end summary. Mom's health center has medicinal herbs worth tens of thousands of yuan in reserves, and you, Laosan, have receipts for deposits paid on an annual basis. These will all be factors that banks consider when giving loans. Banks will take a comprehensive approach, and you can get a loan of five to eight times the annual cash flow amount, with a term of one to ten years. Of course, this will require a specific analysis of each case..."
Su Laosan nodded and looked at Li Banxia.
"Mom, five to eight times isn't a small amount, is it?"
Li Banxia nodded. Originally, she only wanted to use the money she had to invest in the stock market. If she could borrow more money, she could reap more profits. She wouldn't have known if she didn't, but now that she did...
Li Banxia certainly wanted to achieve financial freedom so that Le Bao and Mingwa could have an easier time in the future.
The eldest brother Su then said, "Third brother, don't you know some people? If Mom needs money at the end of the year, you can start building up your connections now."
“I understand. I met a junior employee through the kitchen manager I met at Sister Yuzhen’s canteen. I even sent him a New Year’s gift. Dragon Boat Festival is coming soon, so I’ll prepare some Dragon Boat Festival gifts to send over. Uncle Xiao seems to know a few people at the bank. I’ll go see Uncle Xiao later and see if I can make some connections, arrange a meeting, and try to reach out to him. When it comes to getting loans, we need the person in charge. Otherwise, even if we smooth things over with the lower-ups, a single word from above could really ruin us…” Old Su’s considerations were more comprehensive.
Su Laoda nodded, his eyes full of admiration for Su Laosan's innate ability to deal with people.
"Third brother, you're getting more and more amazing."
Su Laosan chuckled, flattered by the praise. "I was just worried about falling behind you and sister-in-law. Erniu keeps nagging me to keep up with you..."
As he finished speaking, his smile faltered. He licked his lips and forced a dry laugh. "Well, let's eat... Le Bao'er, have a piece of garlic ribs..."
"Third Uncle, this is pork ribs." Le Bao frowned as he looked at the pork ribs placed in the bowl.
Su Laosan nodded and said, "Yes, I'll give you some ribs."
"well."
Le Bao'er sighed, picked up the ribs and put them on a plate next to her, then patted Su Laosan on the shoulder, "Third Uncle, I don't blame you."
Only then did Su Laosan realize that the pork ribs he had given Le Bao'er were pure bones with no meat.
He laughed awkwardly twice.
I put another piece of meat on Le Bao's plate.
Boss Su frowned, his face showing worry.
Yao Jianshu shook his head slightly at him and said with a smile, "There are still six months left. You should pay attention to whether the Federal Reserve will cut interest rates. If they do, it will have a certain impact on our domestic economy..."
“Yes, we now have goods that are exported and foreign businesses that have invested in our mainland, so we will definitely be affected by this. Third brother, you should pay attention to this. If you don’t understand anything, ask me and your sister-in-law, okay?” Su the eldest also chimed in, changing the subject.
Having found a way out, Su Laosan quickly followed it.
He nodded repeatedly and said, "Okay, I'll definitely keep an eye on it. But I really don't understand this stuff. Brother, do you and sister-in-law have any books on this subject? Could you recommend a couple to me so I can learn something from them? Otherwise, I won't know what I don't understand, let alone what to ask you."
Su Laoda and Yao Jianshu exchanged a glance and nodded together.
"Okay, my sister-in-law and I will go to the school library to see if we have any books on this topic. If not, I'll look through the Finance Department's archives for you..."
Yao Jianshu followed, "I'll go look for it in the Ministry of Foreign Affairs' archives."
The couple began by explaining the current economic situation to Su Laosan, starting with basic knowledge. Su Laosan then discussed domestic market trends, and the three of them analyzed both domestic and international markets simultaneously. They explained to Su Laosan that to expand and strengthen his business, he needed to pay attention not only to domestic market trends but also to international ones.
"Once I finish this week's work, next week I'll organize the accounts for the grocery store and the health center. When I need to access the cash flow at the end of the year, I can use it directly, which will save a lot of time and shorten the loan process."
Su Laosan hummed in agreement twice.
Li Banxia frowned slightly, thinking that a loan interest rate adjustment policy would be released in August this year. She opened her mouth to remind Su Laoda, but before she could finish speaking, she suddenly remembered that the interest rate for a one-year loan was over 9%, and the interest rate for a one- to three-year loan was over 10%. Obviously, the one-year interest rate was more cost-effective.
Moreover, her original plan was to enter the market in December, pay off the bank loan the following year, inject the money she earned from the stock market into the health center and grocery store to generate revenue, borrow more money from the bank, and then enter the market again.
She wasn't greedy; she only entered and exited the market twice. No matter how much she could earn, she would stop and leave in time.
"Mom, what's wrong?"
The two brothers noticed her strange expression and looked at her.
Li Banxia shook her head and said, "You've thought things through very thoroughly. Let's do as you say. I'll go back to your uncle's place in a couple of days and talk to them."
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