I'm the Dauphin in France

Chapter 1316 A big gamble
Walsh neither confirmed nor denied the loan request, but instead asked, "Are you going to use this money to maintain your port business in Rotterdam?"

“Yes.” A glint of pride flashed in Broad’s eyes. “You know, the Broad family has been operating there for over a hundred years, possessing…”

Walsh waved his hand to interrupt him: "If that's the case, I'm sorry, I can't lend you the money."

Broad's expression instantly darkened, and he struggled to say, "For God's sake, at least lend me three thousand pounds. Have you forgotten that I didn't refuse you when you were at your lowest point a few years ago?"

His working capital was almost exhausted, and if he couldn't raise funds within a month, he would have no choice but to sell his valuable warehouse.

Walsh nodded: "I've always remembered, but I don't want to throw the money into the ocean."

Broad said urgently, "No, no. The war is over, and trade will soon return to its previous level, or even be more prosperous. In two and a half years at most, I will be able to repay you with interest."

Walsh lowered his eyes and said, "Excuse my bluntness, but you are too optimistic."

"First of all, the war between France and Britain had not yet ended, and the British fleet was still loitering outside the ports of Brest and Le Havre. Meanwhile, the Franco-Spanish forces were continuing their siege of Gibraltar."

"But the French government has already tacitly approved trade between German countries and Britain."

“That’s right. That’s my second point,” Walsh said. “You should be familiar with the Stuttgart Trade Agreement, right? France has obtained most-favored-nation status for most categories of goods in the German region. In the future, whether it’s iron products, machinery, glass, or chemicals, British goods will have less and less market.

Broad was somewhat discouraged and sighed, "That's true, but at least British textiles still have an advantage."

“But with just the textiles arriving in port, you can at best break even,” Walsh continued to “attack” his cousin. “Moreover, Lyon’s textiles are becoming increasingly competitive, and perhaps one day they will surpass British goods.”

"And most importantly, as Britain continues to interfere with French maritime trade, no one can be sure that the French government might one day, despite strong opposition from German nations, suddenly ban British goods from entering the Rhine. That would be your demise."

Broad knew all this, but he was unwilling to give up the family business so easily: "Please, I want to try again..."

Walsh shook his head again.

Despair filled Broad's eyes: "Fine, then just watch me go bankrupt."

“Oh, how can you think of me like that?” Walsh said sincerely. “I only said I wouldn’t lend you money, but I would never stand by and watch you go bankrupt.”

Brod looked at him: "What do you mean?"

“Believe me, trade with Britain is absolutely not worth clinging to now.” Walsh displayed the air of a business elite. “I suggest you immediately sell off your assets in Rotterdam, and then I have two ways to help you.”

"This sounds very risky. Please tell me what to do next."

“The first option is to move the business to the port of Marseille,” Walsh said. “With the rapid development of North Africa and the expanding trade between France, Italy, and the Ottoman Empire, there are plenty of opportunities there.”

"As you know, I've made quite a few friends in Marseille over the years to facilitate shipping to Lyon. If you'd like, you can purchase a warehouse in the Port of Marseille, or even I can help you buy a dedicated berth. With your expertise in managing the port, you're sure to achieve satisfactory returns."

Broad thought for a moment and nodded. He had read in the newspapers about the booming Mediterranean trade in recent years, and if he could use his cousin's connections to establish himself there, it would indeed be a better choice than staying in the Netherlands.

He then asked with some anticipation, "What about the other way you mentioned?"

Are you familiar with trains?

“I’ve heard some things about it,” Broad said. “Oh, it should be similar to the steam railcars I’ve been riding in these past few days.” Walsh smiled and shook his head. “Actually, the differences are quite significant. Although they are both powered by steam engines, the trains are much larger, capable of transporting five or six hundred people, or over a hundred tons of goods, oh, that’s about 900 dan (a unit of weight).”

"What's even more impressive is that the train can maintain a daily travel distance of 300 kilometers, well, about 180 miles... Imperial units are really troublesome to use."

Do you know what this means?

Broad stared wide-eyed without answering, not because he couldn't speak, but because he had too many thoughts and didn't know where to begin.

Walsh explained, “This means that in the fall, farmers in Reims can load their wheat onto trains and transport it to Nancy for sale, with freight costs of only 100 to 150 francs, which is about 15% of the selling price.”

"The price of water pumps shipped from Nancy to Reims will be reduced by a quarter due to freight costs, and even routine maintenance expenses will be significantly reduced."

"The oysters from Marseille are guaranteed to be fresh when they arrive in Paris, ready to be eaten right away. And the price is less than a third of what it used to be."

"And the apples of Brittany and the pears of Burgundy no longer need to be made into preserves, but are transported to all parts of the country for sale immediately after being picked."

"Nobles from Bordeaux, Artois, and even Italy can come to Paris every week to relax and buy clothes and jewelry to take back with them."

“Even people from the Gascony mountains would take the train to the vineyards in Bordeaux when the grapes were ripe, and earn a living by helping to pick the grapes.”

Walsh spread his arms wide: "You can imagine, the whole world will be completely different from what it is now. It will be a paradise where you can have anything you want!"

Broad swallowed hard and asked tentatively, "You mean, you want me to sell trains?"

Walsh paused for a moment, then chuckled and waved his hand: "That would certainly be a good business, but unfortunately, the Royal Steam Locomotive Manufacturing Company is already doing it."

He leaned forward: "You know, trains must run on rails, and the cost of laying rails is extremely high. It costs nearly 20 francs per kilometer."

"so?"

"Therefore, laying railway tracks requires a large investment. Believe me, this is definitely the most profitable investment project at present."

Walsh's eyes lit up: "To tell you the truth, I plan to mortgage all my pastures and sheep in England and use the money to start a railway company with some friends."

"We are preparing to bid for the right to build the railway from Lille to Mons. Although the entire route is only 60 kilometers or 37 miles long, it will become the essential route for transporting coal and iron from the Walloon region to the west."

"If we win the bid, we will obtain the operating rights to this railway for 50 years, and the profits will be unimaginably high!"

Brod silently calculated the mileage and construction costs, then gaped in astonishment: "This...this would require an investment of over ten million francs?!"

"Yes, about 1050 million francs. We've already raised 720 million. The rest can be raised by selling shares or taking out a bank loan. Of course, I hope you'll also participate in this business."

Brod immediately showed a conflicted expression. Building the railroad did sound good, but it was still too risky to sell the family's traditional business and gamble on it.

He looked at Walsh: "What if things don't go as well as we'd hoped..."

The latter smiled and said, “You don’t need to worry. The government has set a ‘minimum guaranteed rate of return’ of 4.5% for railway investments. In other words, as long as the return is lower than this figure, the government will provide us with subsidies.”

(End of this chapter)