Rebirth in Hong Kong: From Dessert Shop to Industrial Empire

Chapter 98 Salary Increase (Seeking monthly votes and recommendations to continue reading)
After hearing Fang Wenshan's introduction, Chen Bingwen was already leaning towards Gu Yongxian.

This Gu Yongxian is young, has the right major, an international perspective, and is passionate. He sounds like a perfect fit for a startup like Chenji.

"It sounds like Gu Yongxian is a perfect candidate for us," Chen Bingwen said with a smile. "Qualifications and experience can be accumulated, but professional acumen, familiarity with international rules, and a willingness to embrace challenges are what we value more at this stage."

What is his attitude towards joining a non-traditional company like ours? What are his salary expectations?

“He showed great interest,” Vincent Fang answered affirmatively. “He found it very appealing that he could be more directly involved in business decisions at Chan Kee, rather than just providing legal advice.”

Regarding salary, he expects an annual salary between HK$80,000 and HK$100,000, but he values ​​future career development opportunities even more.

Fang Wenshan's words caused Chen Bingwen's smile to fade slightly.

“Eighty to one hundred thousand,” Chen Bingwen pondered, quickly comparing this number with another in his mind.

Ling Pei-yee's current annual salary is HK$80,000.

Gu Yongxian's minimum expected salary was exactly at Ling Peiyi's current standard.

This is a very delicate and tricky situation.

Ling Peiyi, as the company's operations director, is Chen Bingwen's earliest core general and is currently the busiest and most responsible person besides him.

Since joining Chen's Company, Ling Peiyi has almost single-mindedly turned Chen Bingwen's wild ideas into reality with her tenacity and strong execution.

She is diligent and hardworking, and is one of the indispensable engines that enable Chen Ji Neng to operate at high speed.

Offering Gu Yongxian, a newcomer who has not yet made any contributions, a salary higher than or even equal to that of Ling Peiyi would undoubtedly chill the hearts of the veteran officials.

Salary is not just money; it is also a symbol of recognition of value and status.

If not handled properly, it could very likely cause Ling Peiyi to become disloyal and even destabilize the entire startup team.

What's more, standing next to him was Vincent Fang, the financial director who also received a low salary.

However, Gu Yongxian, a professional who is well-versed in international rules, is an essential piece of the puzzle in Chenji's next globalization strategy, and must be acquired.

His professional competence and interest in the Chen Kee model justify the price.

In a short time, Chen Bingwen had weighed the pros and cons and made a decision.

He looked up and said to Fang Wenshan:
"We must invite Gu Yongxian from Wenshan."

His professional background is exactly what we need, and his willingness to accept challenges is also rare.

Before Fang Wenshan could speak, Chen Bingwen continued, "Go talk to Gu Yongxian. His annual salary will be HK$80,000, which is the benchmark salary for the company's director level."

However,” he emphasized, “we can tell him clearly that this is just the beginning.”

If he can successfully establish the company's global legal framework and handle the execution of agreements and potential disputes with international giants within the next six months to a year, proving his value, his salary will be increased immediately, even far exceeding his expectations.

In addition, the company will consider providing equity incentives for senior executives in the future.

At this point, Chen Bingwen paused and said, "As for Director Ling, you should immediately prepare a salary adjustment plan to increase her annual salary from HK$80,000 to HK$100,000!"

And you should clearly tell her that this salary adjustment is an affirmation of her outstanding past contributions and an expectation that she will take on more important responsibilities in the future.

She is one of our most important core members, without a doubt.

“And you, Director Fang,” Chen Bingwen looked at Fang Wenshan and said bluntly, “your salary will also be temporarily set at 80,000.”

You and Director Ling are both pillars of the company.

Once the patent licensing fees are received, the company's cash flow will be more abundant, and with the commencement of subsequent financing or IPO plans, your compensation and equity incentives will be systematically adjusted. I will never mistreat anyone who has made significant contributions to the company.

Chen Bingwen's arrangement not only demonstrated his sincerity in attracting key talent Gu Yongxian, but also rewarded the meritorious Ling Peiyi immediately, stabilizing the morale of the core team, and at the same time giving Fang Wenshan a promise for the future.

After hearing this, Fang Wenshan sincerely admired Chen Bingwen's thoroughness and decisiveness in handling the problem.

He immediately replied, "Mr. Chen, this arrangement is very appropriate!"

I completely agree.

I'll go talk to Gu Yongxian right away. I believe he can understand the company's salary structure and future development prospects.

"I'll process the salary adjustment paperwork for Director Ling immediately."

“Okay, go ahead.” Chen Bingwen nodded. “Remember, the way you communicate is very important. You need to make Gu Yongxian feel our sincerity and our expectations for his future.”

On the other side, Ling Peiyi, along with Gao Zhenhai, had been tirelessly visiting several small beverage factories on the verge of bankruptcy or poor management on Hong Kong Island for days.

That afternoon, Ling Peiyi, Gao Zhenhai, and Zhong Qiang, with barely concealed excitement, knocked on the door of Chen Bingwen's office.

"Mr. Chen, we've got a target!" Ling Peiyi, without bothering with pleasantries, placed a thick folder on Chen Bingwen's desk. "Kwun Tong Industrial Zone, Fu Yuan Soft Drink Factory!"

Chen Bingwen put down the report in his hand and said happily, "Tell me in detail."

Ling Peiyi said with a smile, "Fuyuan Soda Factory is located diagonally opposite Weiye Industrial Building, just two streets away!"
They're practically neighbors with our headquarters and R&D center!

Logistics costs can be kept to a minimum, and personnel deployment is also convenient.

She opened the folder and pointed to several photos of the site: "The factory is quite large, about 12,000 square feet, with sufficient ceiling height, complete water and electricity facilities, and good ventilation."

The key is that the equipment has two complete soft drink production lines!

One of them is a hot filling line from Sacmi in Italy. Although it is a bit older than the model in our Shatin plant, it is well maintained and its basic functions are intact.

The other is a carbonated beverage production line from Mitsubishi in Japan, which is highly automated and operates stably.

If both production lines operate at full capacity, the theoretical daily production capacity is around 8 bottles!

Gao Zhenhai added from the side, "Brother Sheng, I've checked the equipment carefully. With a little adjustment and modification, the Sacmi line can easily fill non-carbonated beverages like Jinba, and its efficiency won't be much worse than the Shatin plant line."

"That carbonated beverage production line from Mitsubishi, although not needed for the time being, is in excellent condition. If we want to produce carbonated functional beverages or other products in the future, it will come in handy immediately, essentially giving us a high-quality production line in reserve."

Ling Peiyi explained with a smile: "The Fuyuan Soda Factory has a very sturdy structure and a reasonable layout. With a little modification to the water, electricity and ventilation, it can meet the production requirements of Jinba."

"These are much better than the other places we looked at before."

“Sounds good.” Chen Bingwen looked at the slightly old but sturdy factory buildings and well-maintained equipment in the photo and asked, “What’s the situation, boss?”
Why sell it?

“The owner’s surname is Huang, he’s in his fifties, and he’s been making soft drinks for over ten years,” Ling Peiyi explained. “A few years ago, the competition wasn’t too fierce, and we barely managed to stay afloat by supplying some neighborhood convenience stores.”

But in the last two years, business has been getting worse and worse.

The factory was partially shut down at the end of last year, and most of the workers had been laid off. Now, he and two old colleagues are the only ones looking after the factory, barely managing to stay afloat by renting out some of the warehouse space.

He genuinely wanted to get rid of it and didn't want to waste any more time.

"How much do you want?" Chen Bingwen asked the most crucial question.

Ling Peiyi took a deep breath: "120 million Hong Kong dollars."

The price is a fixed amount, including the factory property rights, two production lines, all inventory of preforms and caps, some raw materials, and a few old but still usable forklifts and small transport trucks within the factory premises.

"120 million?" Chen Bingwen frowned slightly.

This price, given the current industrial land prices and secondhand equipment market in Hong Kong Island, isn't exorbitant, but it's definitely not cheap either.

Especially when the other party is experiencing business difficulties and is eager to sell.

“Yes, we tried to negotiate, but Boss Huang was very firm on his terms,” Gao Zhenhai interjected. “He said the factory is in a good location, and the equipment is all imported goods that cost a lot of money back then. Although it’s old, it doesn’t have any major problems. This price is already a huge loss for him.”

If the price were any lower, he'd rather let it rust or dismantle it and sell it as scrap metal.

Zhong Qiang added, "Boss, from a technical point of view, the equipment is indeed worth the price."

The Sacmi line now costs four or five hundred thousand, and the Mitsubishi line is even more expensive.

The factory building, based on land prices, is worth about 700,000 to 800,000 yuan.

A package deal of 120 million isn't outrageous.

However, for us, coming up with 120 million yuan in cash at once is a considerable burden.

Moreover, modifying and restarting the production line requires additional investment.

The 120 million dollar loan almost used up half of the 300 million dollar loan from Wing Lung Bank.

This does not include the costs of factory renovation and equipment maintenance.

Although half of the $300 million loan was earmarked for acquiring new production lines, that budget was based on the possibility of acquiring two or three companies.

Now that Fuyuan Soft Drink Factory is about to run out of budget, Chen Bingwen feels that he should go to the site in person to take a look before making a decision.

“Take me to see it.” Chen Bingwen stood up and made a decisive decision. “Seeing is believing.”

Whether it's worth 120 million, we'll see.

The following morning, Kwun Tong Industrial Area.

The Fuyuan Soda Factory area is spacious and quiet, a stark contrast to the bustling scene of the Weiye Building not far away.

The boss, Mr. Huang, was a lean middle-aged man. When he saw Chen Bingwen and his group, especially recognizing Ling Peiyi, who was leading them, he quickly came to greet them.

"Mr. Chen, Ms. Ling, Manager Gao, Manager Zhong, welcome, welcome!" Huang Sheng rubbed his hands together, forcing a smile. "The place is a bit old, but everything here is of high quality!"

Chen Bingwen nodded, without exchanging many pleasantries: "Boss Huang, show us around."

The group entered the main factory building.

As Ling Peiyi and Gao Zhenhai described, the factory space is spacious and well-lit.

The two production lines lay there quietly, like two giant steel dragons.

The Italian Sacmi hot filling line is well-maintained. Although the stainless steel casing has scratches, there is no obvious rust. Key components such as the conveyor belt, filling head, and capping machine appear to be in acceptable condition.

Mitsubishi's carbonated beverage line in Japan appears to be newer, with its control panel wiped clean.

"Mr. Chen, look," Huang Sheng said, pointing to Sacmi noodles with a hint of pride, "this machine has high filling accuracy and is fast!"
If it weren't for... sigh.

He sighed and didn't say anything more.

Huang Sheng's sigh, tinged with resentment and helplessness, echoed softly in the factory before dissipating.

What he didn't say was perfectly clear to everyone present.

If it weren't for the ruthless market, fierce competition, and poor management, who would be willing to sell this factory into which they have poured their heart and soul and savings?

Chen Bingwen did not press further, but simply nodded slightly, expressing deep sympathy.

Ling Peiyi accompanied Chen Bingwen, explaining the factory layout and auxiliary facilities in a low voice as they walked.

She pointed to a high place and whispered, "Mr. Chen, look, the crane system is well maintained, and the tracks are not obviously deformed."

She then pointed to the warehouse in the corner of the factory and said, "The inventory has been checked. There are about 300,000 PET preforms and about 500,000 aluminum bottle caps left, all of which are standard specifications. We can directly utilize some of them after modification."

(End of this chapter)