"This month (February 1652), the minimum discount rate of the West Lake bond trading market has climbed to 10%, and the 'Jining Gang' in the big household room is counting the money and counting the cramps." Ventura, the manager of the "Courier Liner Company," which had only been established for a little more than a year, held a handful of bank acceptance bills in his hand and said in a calm mood: "We people who do business work hard, but in the end the profits have to be dug up by these despicable rentiers. ”

Ventura is located in a restaurant outside the market, which specializes in Ottoman-style food, such as grilled lamb chops, lamb pilaf, etc., because of the good location and high foot traffic, so business is not bad. Sitting with Ventura was Gao Jinzhong, who had gone to Mucaoling Township to harvest wheat a while ago, and he had temporarily returned to Xihu County because he had run out of funds, waiting for Agnelli to send the money as agreed in advance. At this moment, I only heard him echo and say: "Yes, these rentiers have become rich at an incomparable rate, but they have not created any social wealth, they have only succeeded in robbing the public wealth......"

What is obvious is that these two small business owners or managers have a gnashing of their teeth towards the "moths" in the West Lake bond market, because every time they go to this market to handle the bill discounting business because they are in urgent need of funds for the development of enterprises, they will always be slaughtered by these "big investors". Is it because they are naturally richer (they brought a lot of silver with them when they immigrated from the Ming Kingdom)?

But these two people are just complaining, and if anyone sues them that this market is going to be closed, it is estimated that they are the first to jump up and oppose it. No, simply because the market is still quite useful: not only are there many people who are not bad for money who offer discounts on all kinds of commercial paper that are not maturing, but there are also investors with deep pockets who offer short-term or long-term loans (although the conditions are quite harsh). It is more possible to issue some corporate bonds here to attract funds from the vast number of small and medium-sized investors -- of course, if the conditions are right, some large investors will not mind taking shares in some promising enterprises. It's the equivalent of an alternative stock investment market.

All in all, the functionality of this market is quite powerful. If necessary, it is astonishing that investors large and small who are often active here can mobilize tens of millions of dollars in a short period of time, and it can be seen that after 20 years of accumulation, the accumulation of private capital on the East Coast has reached a considerable stage.

The industry on the East Coast has developed very differently than it did twenty years ago. Some of the artisanal workshops required tools so simple and inexpensive that people could make goods in farmhouses – just like the industry in Europe today. Even the larger workshops are just a collection of small farmhouse-style workshops. This kind of very low-threshold workshop-type enterprises provide great convenience for handicraftsmen with little capital to start a business, and even in today's East Coast, in some new industries (the former blank industries on the East Coast), low-threshold workshop-type enterprises founded by handicraftsmen are still common, and the situation is almost exactly the same as twenty years ago.

However, in those industries that have been developing for a long time, with the increasingly fierce competition, industrial machine production has become commonplace. Newly designed production lines, heavily ordered machines, and years of training of industrial workers have all made the appearance of modern factories more and more different from traditional workshops. And there is no doubt about it. The development of these enterprises requires a lot of capital, otherwise they will not be able to produce smoothly, but what many entrepreneurs lack is capital. There was no such West Lake bond trading market before. Entrepreneurs in the north and south of the Duck Lake region, where private enterprises are concentrated, either rely on long-term accumulation to grow their enterprises - but often lose the opportunity in the fierce market competition - or borrow money from large acquaintances, but this is always difficult and the conditions are often harsh.

Now that there is such a market, business owners who are in dire need of development funds can seek guarantors in the market and then issue bonds publicly, which often greatly reduces their financing costs and makes their enterprises better develop -- and of course the people of the East Coast also benefit from this, with increased productivity and increased commodity output. Prices have fallen; For entrepreneurs who are not so interested in absolute control of the company, they can divide the company's equity into a fixed number of shares. It is then publicly offered to the market at a certain price to attract foreign capital injection. To do our best to make the enterprise bigger and stronger.

In this regard, Gao Jinzhong's nemesis, Linhu Flour Mill, is a good example. The original entrepreneurs of the factory have repeatedly issued additional shares to new investors in the West Lake bond trading market to obtain funds to order the latest high-specification milling production line, and quickly seized the market, creating good conditions for the rapid development and growth of the enterprise in a short period of time. On the other hand, Gao Jinzhong and Agnelli, because they adhered to the traditional conservative management style, the Rabbit Hole Flour Mill was only willing to publicly issue bonds in the West Lake bond trading market, rather than diluting their own equity, so the development of the enterprise has always been slow.

"Now the middle school in the country has to enter tens of thousands of mouths every year, and the business will get better and better in the future. These people are robbing the public wealth to get rich, but at least for now, it doesn't seem too much, and we urgently need a lot of money to develop, so let us bear with it. The two sighed for a long time, and finally Ventura took out a bag of high-quality Virginia tobacco from his pocket and asked Gao Jinzhong to swallow the clouds and smoke together.

After thinking about it, Gao Jinzhong also agreed with Ventura's statement: "Take the lead in seizing the market now, and the future will be limitless." In the same way, if you are brushed down in the competition now, it will not be so easy to turn over in the future. Damn Linhu Flour Mill, this time they issued additional shares to the gang of the 'Qingzhou Gang' in Luoqia County, and obtained more than 25,000 yuan in new funds. I heard that they have also obtained the authorization to use the new six-roller mill of Dafeng Food Company, and have officially ordered a set, and the next development momentum is very strong......

At present, the application has already been submitted to the management department of the West Lake bond trading market, and it has entered the final stage of examination and approval, and only after the approval documents issued by the Mei organs, the Ministry of the Interior, and the Ministry of Industry and Commerce can the West Lake bond trading market be formally approved -- this is one of the advantages that this market brings to private entrepreneurs, and it is convenient for them to obtain financing.

Of course, the West Lake bond trading market at this stage received far more than such an application, Gao Jinzhong, Ventura two in the morning at the gate of the market posted on the notice has been seen, is waiting in line for approval of the project are: Mucaoling Meat Products Factory private placement of 1,000 shares (the funds raised for a new ham processing line project), Luo Qia seafood processing plant issued 5,000 yuan ten-year corporate bonds (coupon rate of 5.5%, for the technical transformation of 500 tons of whale meat processing line), Luoqia Textile Factory obtained a one-year loan of 12,000 yuan from seven creditors (for the expansion of the second workshop of Persian silk production), Nanhai Fishery Company issued 10,000 yuan of seven-year corporate bonds (for the purchase of a number of new ether refrigerated ships), Ma's Fruit Industry loaned 15,000 yuan (for the Barren Mountain Fruit Forest Project), Xu Ji Dairy (newly established) publicly issued 1,000 additional shares to Xu Ji Oil Mill (the proceeds were used for Tahebao Dairy Farm and butter cheese production line), etc., totaling nearly 10 large and small projects. It has effectively revitalized the massive funds in the hands of the wealthy private households and even ordinary investors in the East Coast Republic, promoted the rational allocation of resources, and thoroughly prospered the domestic commodity market, and its positive significance cannot be underestimated.

After all, if money is left at home and left untouched, hungry and cold, it is a dead thing, and it is of no use at all. Italians who are good at business know that "making the money you get back on your next trip" is the best way to allocate resources effectively and to increase the value of your assets. Italians know this truth, through the crowd from the modern era, there is no reason not to know the importance of the financial market known as "industrial lubricants", there are several major banks, after the Qingdao financial market (large capital, foreign trade), and now there is more West Lake bond trading market (private funds), this qiē is a qiē is to effectively mobilize the limited resources in the country, as much as possible to prosper industry and commerce, so that the country's productivity level can be developed faster.

In the two or three years since its opening, the West Lake Bond Exchange Market has won praise from private workshop owners and small business owners, because they can more easily and quickly raise funds publicly from the market, without the need to resort to those private lenders with vicious methods, which effectively reduces the cost of financing and promotes industrial development.

If there is any improvement in this highly effective financial market, it is almost in the hope that the government will do its best to recruit more professionals and increase the number of officials and clerks in the market, so that it can approve financing applications for various projects and speed up the flow of funds. After all, many times time waits for no one, the sooner the funds are in place, the sooner the project can start, the factory can see the benefits one day earlier, the people can enjoy a richer and cheaper consumer goods market one day earlier, and of course, the government can also increase more taxes from it, which is obviously a win-win situation for everyone. (To be continued)