01208 Decision (2nd Update, Ask for a Monthly Pass)
In the end, the trademark was purchased for $2.5 million.
Generally speaking, the value of a trademark is about ten times the annual profit of the trademark.
However, the brand value of Dashan Beer has been greatly reduced because it has faded out of the market.
So two and a half million dollars, within the acceptable range of both sides.
Then there is the ownership of the land that Chen Cao and Denver are most concerned about to build the factory.
The first is the water that the brewery needs to produce, and it is the water that needs the Mirror Lake.
So you can't get too far from Mirror Lake, otherwise.
If it is built on Chen Cao's private land, then everything will not be a problem.
But Chen Cao was also reluctant to build a factory on his private land.
Although the brewery does not have a pollution problem, Chen Cao still does not like it.
Therefore, Chen Cao prefers to buy another piece of land near his private land.
The area of this land does not need to be too large, twenty hectares is enough.
There is less disagreement over the land on which to build the factory.
Dean Slote's idea, of course, was to just lease the land.
Or the land in exchange for a share of the brewery's profits.
Chen Cao and Denver want to buy the land outright.
Only when everything belongs to Chen Cao can Chen Cao make absolute decisions.
Although it is difficult for the Dashan town government to make it difficult for the brewery to be leased land, there are still certain risks.
If the two sides fall out in the future, the Dashan town government will take back the land.
Then the brewery will inevitably be relocated, and the relocation will definitely affect production, or even stop production, and ultimately affect the brand value.
Chen Cao is a person who likes to take everything into his own hands.
Today's Chen Cao is no longer the person who first came to the United States and was adrift.
Chen Cao now has the ability to control everything about himself.
Of course, Chen Cao will only come into contact with those things and fields that he can control.
For example, when it comes to doing business, Chen Cao knows that he is not the material for doing business.
Therefore, Chen Cao will not interfere with the production and operation of the brewery.
But Chen Cao can be sure that the brewery can make money.
This is the reason why Chen Cao got involved in this industry.
Chen Cao is not that great, and he is not contributing to the residents of Dashan Town.
In the final analysis, Chen Cao's purpose is very simple, that is, to make money.
Eventually, Chen Cao bought a piece of wasteland fifteen kilometers west of Mirror Lake, rather than choosing the brewery's original site.
Dean Slote was willing to sell the land to Chen Cao at a low price, but Chen Cao also agreed to some conditions.
For example, within three years of the opening of the brewery, more than 70% of the employees must be residents of Dashan Town, and the minimum salary must be less than $600 per week.
If it is an ordinary worker, $600 a week is considered a normal salary.
However, this is just an ordinary employee, and some skilled jobs and management salaries are definitely higher than this level.
Dean Slote made this request, not only to provide employment for the town's residents, but also to infiltrate the management of the town's employees.
Only in this way can it be possible to influence the production and operation of the brewery.
As for this, Chen Cao believes that Denver can handle it.
After Dean Slote left, Chen and Denver had a new discussion.
Chen Cao found that if you want to make a difference in the first year, you need to produce at least 100,000 tons a year.
It was not a small fight that Chen Cao originally planned.
In this way, the investment required is very large.
To guarantee no loss in the first year, you need at least $30 million.
This is much larger than the investment Chen initially expected.
Chen Cao is not short of money now, and even if the bank deposit is gone, the bank is happy to lend him money.
Because Chen Cao has a lot of high-quality assets.
However, the investment of 30 million US dollars still exceeded Chen Cao's initial expectations.
Originally, Chen Cao's plan was to build two beer production lines, with an annual output of about 20,000 tons.
But Denver's plan is to expand production.
The result of expanding the scale of production is, of course, also an increase in investment.
That's not to say just add a few more lines.
Other corresponding facilities also need to be expanded, such as fermentation tank farms, sewage treatment facilities, storage warehouses, etc., all need to be expanded.
In addition, the number of employees recruited should also be greatly increased.
"Denver, after the $30 million is invested, don't I need to invest more?" asked Chen Cao.
"Mr. Chen, in principle, there is no need to invest again, and if we still need it, we can also take out a bank loan. β
"I don't like loans. β
"President, your thinking has entered a misunderstanding, loans are actually more cost-effective than your private account money, the interest on this huge loan is generally not very high, in the case of equal returns, the bank's interest will be much less than the rate of depreciation of your money in the bank, and secondly, when you borrow from the bank, you will be linked to the interests of the bank, and when dealing with many problems, the bank will help you, such as putting pressure on the local government, or even the Los Angeles government, the bank will take the initiative to help you, and contact the seller, and the bank will also help you as much as possibleγ β
Most people understand that banks are actually places to keep money.
In fact, this is not the case, and the greatest function of banks is not to save money.
Banks are a very complex business system, and they are involved in any industry that can make money.
Even banks will own shares in many properties through collateral from borrowers.
Chen Cao thought for a while and said: "I said that you are fully responsible for the production and operation of the brewery, and I will not interfere, if you think that the loan is conducive to the development of the brewery, then do as you say." β
Denver nodded, he also liked to work with a boss like Chen Cao.
For managers, they are not afraid of ignorant investors, they are afraid of investors who are too controlling.
What investors want is nothing more than income, and investors do not need to have an absolute understanding of an industry.
However, if you don't understand it, if you rashly meddle in the deployment of the manager, it is likely to disrupt the original development process and rhythm.
"In addition, the establishment of the brewery needs to start as soon as possible. Denver said.
Chen Cao nodded: "I will contact the engineering company as soon as possible." β
After saying goodbye in Denver, Chen Cao called Feywood Cisco.
"Mr. Felwood, can your company take on the next project now?"
Feywood Cisco is still supervising the construction of Chen Cao's private beach construction site.
When I heard the first sentence on Chen Cao's phone, I was directly stunned.
Could it be that this rich man is planning to build something?
"I'm going to invest in a new brewery, with a construction investment of about $10 million, is your company still capable of taking on this project?"
"Yes, yes. Feywood Cisco forced the ecstasy in his heart: "When are you free, let's have a meeting." β
He can't wait to hug Chen Cao and kiss him fiercely now.
For him, Chen Cao is simply his God of Wealth.
"Well, I'll go to the beach site tomorrow, and I want to see how the work goes. β
"Okay, I'm waiting for you. β