Chapter 59: Buying Redwood at a Low Price
Most importantly, this was originally a D-invested furniture factory. According to the owner, at its best time, it had five to six thousand workers, and was also a major taxpayer in Nanshan District.

However, two months ago this year, the boss and senior executives of this factory suddenly ran away without even paying the workers’ wages. In the end, the Nanshan District Government stepped in to settle the wages for five to six thousand employees.

Now, all the assets of this factory belong to the Nanshan District Government. In addition to these assembly line production equipment, there are also some inventory of furniture, wood, etc.

However, the ownership of the factory belongs to the owner. If Yang Hai is really willing to take over, the owner has the right to urge the Nanshan District Government to auction off the equipment, inventory furniture, timber and other assets in the factory as soon as possible, or to move them out of the factory.

In addition to the factory building, there is also a very complete and advanced furniture production line, wood drying equipment, etc. As long as Yang Hai is willing, they can be transferred to him at a very low price.

The environment of this factory is very beautiful. It was indeed managed with great care in the beginning. The open space is shaded by green trees and covered with lawns everywhere, making it like a park, which makes Yang Hai very excited.

Yang Hai visited the entire factory. This furniture factory actually makes solid wood furniture, which is exported to Europe and the United States. Therefore, the grade of the furniture is quite high and the quality is very good. The wood used is imported red oak, and the furniture produced is mostly American style.

As for why the boss of the company ran away, it is probably closely related to the US subprime mortgage crisis. For example, US customers unilaterally canceled orders, and the appreciation of the US dollar caused a sharp drop in profits. Even the goods were shipped to the US, but the payment was not received. In short, any reason is possible.

Finally, Yang Hai went to the Nanshan District Government with Ye Sheng and found the head of the department responsible for handling this matter.

The head of the Nanshan District government department was overjoyed when he learned that Yang Hai was the boss of Huasheng Company and was going to invest in a large furniture factory in Nanshan District. He had set his sights on the D-funded furniture factory whose boss had fled after the factory went bankrupt.

This is an achievement in attracting investment. Since the outbreak of the financial crisis, this year's work of attracting investment can be said to be extremely difficult!
Yang Hai also expressed that if the price was right, he was willing to take over the machinery and equipment in the factory, as well as the furniture wood inventory.

The owner was also putting pressure on him, threatening that if the Nanshan District Government was unwilling to deal with the factory's machinery and equipment and other assets, then they must be moved away as soon as possible without affecting the transfer of his factory.

The owner of this factory is also a well-known figure in Nanshan District. He also owns a company. He is now facing a financial crisis and urgently needs funds to survive.

The Nanshan District Government attached great importance to this matter and immediately held a meeting to study it and discuss the pricing of the equipment, inventory of furniture, and timber in that batch of factories.

Finally, after a meeting and research, a reasonable price was given. This price was already quite good, basically a huge discount, a 5% discount followed by another 5% discount.

Yang Hai had no objection and readily agreed. He signed agreements with the Nanshan District Government and the owner of the factory respectively, and then notified the company's finance department to transfer the funds.

After it was done, Yang Hai called Fan Jinliu over and pointed to the large factory.

"This is our future furniture factory. How is it? Is it okay?"

Fan Jinliu opened his mouth in surprise and was unable to speak.

He originally thought that Yang Hai was just opening an ordinary small factory, which would be considered large if it was a few thousand square meters at most, or maybe even just one or two thousand square meters.

But the area is a bit too large. Wouldn't it require several thousand workers?
Not to mention the factory buildings, there are several dormitory buildings alone, all of which are 7 stories high. There are more than 30 standard dormitories on each floor, which can accommodate 6 bunk beds and 12 people. They also come with front and rear balconies and bathrooms.

There are 7 such dormitory buildings, but the first floor is definitely not for living. It is home to the cafeteria, activity room, library, cinema, supermarket, fruit shop, hot pot restaurant, trade union, etc.

Not to mention five or six thousand people, even 1 people can be accommodated here.

There are six or seven large four-story factories, and it is impossible to have such an area without hundreds of thousands of square meters.

In fact, this is true. There are three standard factory buildings, each floor is 3 square meters, which is 2 square meters. Together with the other three factory buildings, the total area is 24 to square meters.

And if the owner was not in urgent need of funds, he probably would not be willing to sell the factory. The annual rent for renting out the factory is definitely not small. Even if such a capable tenant cannot be found for the time being, the factory can be sublet. This place can be completely regarded as an industrial zone.

Yang Hai could be said to have picked up a great bargain. In order to sell the factory, the owner did not dare to ask for a high price. If Yang Hai was scared away, it would not be easy for him to find another powerful person to buy his factory.

"You are kidding me, right? I am not dreaming! How did you take over such a large factory?" Fan Jinliu said with some disbelief.

"Didn't I tell you? My wife is a rich woman, beautiful, wealthy and rich, and my father-in-law is even richer, the kind who can easily spend hundreds of millions, so buying this factory is no big deal." Yang Hai said with a relaxed smile.

"No way! Your father-in-law is so rich? How come you are so lucky?" Fan Jinliu still said in surprise.

This was something he never even dared to dream of. He met a rich and beautiful woman right after his divorce, who insisted on getting married to him and even gave him 100 million yuan.

Now there's another father-in-law who can easily spend hundreds of millions, which really makes Fan Jinliu a little envious and jealous.

"Even if your father-in-law can easily come up with a few hundred million, there is no reason for him to use so much money to buy such a large factory and open a mahogany furniture factory for you." Fan Jinliu is just honest and simple, but he is not stupid! This is obviously a bit unreasonable!

"I am just working for my father-in-law. This factory is not mine. Why can't my father-in-law buy it?" Yang Hai thought about it and said something to Fan Jinliu without hiding something.

If Yang Hai told Fan Jinliu that he now had tens of billions in US dollars, Fan Jinliu would be so worried that his jaw would drop.

And Yang Hai didn't want to explain why he was so rich. It seemed that he couldn't explain it! Even if he explained it, Fan Jinliu might not believe it.

If you attribute all this to your father-in-law, it is normal and reasonable that you have a very rich father-in-law who can easily come up with hundreds of millions.

In this case, Fan Jinliu might be able to accept it more easily, and the distance between them would not be so far.

Fan Jinliu could accept that Yang Hai was richer than him and had assets worth several million. He could accept all of this and did not think it was abnormal. After all, if one was lucky, it was easy to get rich. Who made him lucky enough to marry a beautiful, rich and white wife?
But if he were asked to accept that Yang Hai had assets worth hundreds of billions of dollars, it would be a little difficult for Fan Jinliu to accept it for a while.

Now Yang Hai explained that the factory was bought by his father-in-law and he was just working for his father-in-law. With the investment from his father-in-law, he opened a rosewood furniture factory. This is easy to understand and normal.

"But if you ask me to manage such a large factory, how can I manage it?"

After Fan Jinliu figured it out, he suddenly became a little embarrassed and said.

"I thought it was a factory of a few thousand square meters at most, with only a hundred or so people at most."

"If that's the case, I'm sure I can help you manage the factory."

"But I didn't expect you to have such a big factory now. Although there are not many workers in the redwood furniture factory, such a large factory must have at least a thousand people."

"It's okay! Just learn slowly! Besides, we will definitely need to recruit other managers and workers. How can we let you manage it alone?" Yang Hai said with a smile.

"You just need to help me keep an eye on the factory and manage the other people in the factory. How can I ask you to do everything?"

"I will arrange for someone to move the stocked furniture in this warehouse as soon as possible, and I will also arrange for someone to come and help you. You really don't have to worry about anything."

"You can find a few people who are familiar with the rosewood timber market, such as wood cutters or people who used to be woodworking supervisors in other factories. They often go to sawmills and major timber markets to help their bosses look at and buy timber. They are generally familiar with the rosewood timber market."

"After we found the people, we immediately went to various timber markets to buy up the goods. We took advantage of the fact that the price of redwood timber had already hit rock bottom and bought a large amount of it and stored it in the warehouse."

Fan Jinliu nodded and said, "The current market price of rosewood has indeed dropped a lot, but we bought too much. If the price of rosewood continues to fall, we will lose money."

“It’s okay! It’s already fallen like this, it won’t fall any further.” Yang Hai said with confidence.

"But we are buying a lot of redwood at the bottom, but we are definitely selective in our purchases. We don't buy all redwood."

"We mainly collect some expensive and precious red woods, such as Laotian red rosewood, flower rosewood, Indian small-leaf red sandalwood, and big-leaf red sandalwood. If we have Vietnamese huanghuali or Haihuanghuali, these precious woods, it would be even better."

"These are relatively rare and precious woods. The resources will definitely become less and less in the future. After this financial crisis is over, the price will definitely increase."

"You are working in Xianyou, Fujian Province. I heard that many bosses in Xianyou have stockpiled some Hainan Huanghuali, Vietnamese Huanghuali, and Indian small-leaf red sandalwood. See if there is any way to purchase some of this wood from there."

"Now those bosses are having a hard time, without orders, and if they are short of funds, they may want to sell these timbers."

Yang Hai knew very well that most of the Hainan rosewood in the country had been bought up by private owners in Xianyou, Fujian Province. If there was any place to buy tons of Hainan rosewood and Vietnamese rosewood, it would probably be nowhere else except Xianyou, Fujian Province.

There are also some in Jiangsu and Zhejiang provinces and eastern Guangdong province, but the total amount is definitely not as much as in Xianyou, Fujian province.

When Fan Jinliu heard Yang Hai say this, he couldn't help but nodded and said, "Speaking of Hainan Huanghuali wood, Vietnamese Huanghuali wood, and Indian small-leaf red sandalwood, there are definitely more of them in Xianyou, Fujian."

"Although the price is much lower than before, it is still very expensive. Vietnamese huanghuali wood is estimated to cost more than 30 yuan per ton."

"This is just ordinary material. Better materials are more expensive. The top-grade large materials and plates are estimated to cost around 600,000 or 700,000 per ton."

(End of this chapter)