2003: Starting with Foreign Trade

Chapter 161 Integrating Enterprise and Interpersonal Relationships

Young people sometimes act like rascals and make mistakes, but as long as they are not matters of principle, leaders are very magnanimous and will forgive them.

On the other hand, you also need to be of some use.

The district is paying close attention to this electric vehicle assembly company that seems to have appeared out of nowhere, mainly because it is moving too fast, so fast that people can't keep up.

It has been less than half a year since it was registered and established on May 9 this year.

However, in just over five months, the company has grown from a newly registered enterprise to a large-scale enterprise with an annual output value of nearly 100 million yuan. This speed is truly astonishing.

At first, most people in the bureau, including myself, didn't believe it and thought it was a fraudulent company. But through on-site visits, investigations of third-party accounts, goods entering the premises, and electricity consumption, we found that it was actually real!
Only then did everyone seriously analyze and take a serious look at this company with great potential. Despite its lack of basic resources, the company quickly entered the market and gained consumer recognition thanks to its innovative design, low prices, and very strong marketing.

Due to production capacity limitations, they were unable to quickly capture the national market, but they cleverly focused on populous cities as their main target, which was a very smart choice.

Thanks to government support, the electric vehicle industry is now considered a relatively high-end industry. Although Ningbo and even Beicang are mainly manufacturing-based, their electric vehicle industry is still relatively weak.

If we can fill this gap, it will be a very good achievement for both myself and the district.

The other party intends to apply for land to build a factory and has met the relevant standards, which is naturally a good thing. It doesn't matter if the foundation is weak; in fact, it's better that way, as it demonstrates the government's role. Supporting a company to grow bigger and stronger is no less important than helping a company reach a certain size.

You might even feel a greater sense of accomplishment; how can the same be as raising one yourself?

What surprised everyone the most was that the owner of this company was not even 20 years old when he registered the company, and before registering Flash, he already had two well-run foreign trade companies. His business talent is off the charts.

Tan Jincheng left satisfied. The 3000-square-meter space could be designed to accommodate five to six more production lines, potentially tripling the current capacity. This would allow for a maximum monthly production capacity of 3 units next year!

With a monthly production capacity of 3 units, we can fully meet the needs of further expansion. We can also arrange production locally in Beicang. The Fengchi may also be produced now. Not bad, not bad. After being lazy for a few days, I finally got what I wanted.

Being young has its advantages. Being a little cheeky can make your boss feel closer to you, satisfying their sense of accomplishment. But if you act like a kid to an entrepreneur who is about the same age as your boss, it can be a bit off-putting.

Of course, all of this was predicated on Tan Jincheng knowing that the district was paying close attention to him recently. The electric vehicle industry chain is a new industry in Beicang, and currently it can only drive the production of molds, plastic products, and some very small parts.

For core components such as batteries and motors, Flash still needs to source them from other regions. If a new electric vehicle industrial park can be formed under Flash's leadership, with its own complete industrial chain, the contribution to the local economy will be immeasurable.

Tan Jincheng was well aware of this, which is why he had the confidence to do these things. When a person is still useful, then his minor outrageous behavior becomes less important.

The bonded zone, also known as the export processing zone, was put into operation in 2002. Its main functions are import and export processing, international trade, and bonded warehousing, etc.

There are certain requirements for companies that move in, but there are also tax incentives. Tan Jincheng originally did not expect to acquire such a good factory, because Flash Motors has not yet had any export business.

But that's okay. Once production capacity comes up next year, we can participate in the Spring Canton Fair and then we'll meet the requirements.

However, this is only now, as the bonded zone has only been established for three years. The requirements for companies to move in are not so strict, and the relevant functions are still being improved. In addition, Flashlink is now a company that is receiving a lot of attention, which is why it has been so smooth.

If a few more years pass, given Flash's current size, it will be difficult for them to acquire a factory of over 3000 square meters without export qualifications.

Currently, the foreign-invested enterprises in the park are mainly Taiwanese-invested enterprises, mainly concentrated in the electronics manufacturing sector. As for domestic enterprises, they are diverse, including those purely engaged in trade and many in logistics.

Jinpeng Trading and Jinyi Industry's customs-exported goods are mostly from cooperation with some companies in the industrial park, as well as some high-tech companies.

In addition, Tan Jincheng also wanted to consolidate his businesses, as the scattered pieces were too troublesome.

The technology research and development, finance department, and marketing department in Xiapu Industrial Zone can all be relocated to the bonded zone because the environment there is better. We can then find a professional manager to be in charge of production here, treating it as a large workshop.

In addition, Jinyi Industrial has also moved into the bonded zone. Jinyi Industrial has import and export business qualifications, so its entry is more reasonable and also makes it easier for Tan Jincheng to manage.

With the leader's help and the secretary handling the formalities personally, the efficiency was naturally excellent. In just a few days, Tan Jincheng officially signed the factory lease, which went very smoothly.

The preferential policies are the same as those for other companies that have settled in, except that they will not officially take effect until January 1, 2006. The prerequisite is that Tan Jincheng must move the registered address of both companies to the bonded zone, and also ensure that Shanchi will have export business in the future. Tan Jincheng doesn't care about this. A few months later is fine. He just needs to get the production line set up in these few months. As for enjoying preferential policies by changing the registered address, only a fool would do that.

It's important to know that companies in the park can enjoy export tax rebates on their exported goods, with rebates reaching up to 100%! This alone is enough to attract companies to set up shop here.

In addition, there are preferential policies such as corporate income tax breaks, financial rewards, special credit support, low fees, and rent and service fee waivers, which are very attractive.

The apartment rented by Tan Jincheng received a rental discount because he promised to relocate the registered offices of both Jinyi Industrial and Shanchi Automotive to the bonded zone.

Tan Jincheng signed a five-year contract with substantial rent discounts: free move-in in the first year, 50% rent payment in the second year, and 80% rent payment in the third year, in a tiered discount policy.

The 3000-square-meter standard factory building is fully equipped with water and electricity facilities. The division of the various areas in the workshop is also more planned, making it much more impressive than the factory buildings in Xiapu.

And the first year is free. In addition, the lease starts from January 1, 2006, so it's actually 14 months of rent-free, haha!

Seeing Tan Jincheng grinning from ear to ear, the secretary who accompanied him couldn't help but smile as well. It's good to be young; you can freely express your feelings. Owning a 3000-square-meter formal factory at the age of 20 would make anyone very happy, but not many people dare to laugh so heartily in front of their boss's secretary.

Zhao Jinsheng shook his head and laughed, "Wipe your drool, Xiao Tan. I have something to do, so I'll be going now. Just call me if you need anything."

Tan Jincheng was shameless enough to actually wipe his drool: "Okay, okay, thank you for your help, Brother Zhao. But I might need you to help me with the loan and other things later."

"Don't worry, you'll get all the benefits you're entitled to. As long as you work hard and run the business diligently, that will be the greatest reward for us," Zhao Jinsheng nodded.

Zhao Jinsheng was a man of imposing stature. It must be said that Tan Jincheng's name was somewhat similar to that of this Secretary Zhao. If they didn't mention their surnames, one would really think they were brothers, which added a sense of intimacy to the relationship.

In 2005, the name Jincheng did not have any other meaning. It was not the so-called "most affectionate person in Jiangnan" but represented a bright future. Whether it was for business or other industries, we will not mention whether it was superstitious or not, but having a good omen is always more gratifying.

"Please rest assured, leaders and Brother Zhao, I will definitely manage it well and live up to your expectations."

"Alright, I'll be going now. You should get the production line up and running as soon as possible. If you need any talent, you can contact the management committee; they offer that service."

Tan Jincheng blinked and said, "Thank you for the reminder, Brother Zhao. Please come to the factory and give us some guidance when you're not busy another day."

Zhao Jinsheng understood immediately and could only helplessly say, "Stop flattering me. You know my character. I'm not going to argue with you. I'm really busy. I wouldn't have bothered to come if my boss hadn't told me to. Just send someone."

At only 35 years old, he is already a trusted confidant of the leader and has a promising future. There is absolutely no need for him to make mistakes on such a small matter. However, whether you like it or not is not important. The fact that the other party has this attitude shows that he is still very sensible.

He didn't get carried away by the district's desire to support a certain industry or the leaders' attention, which shows that this young man is actually quite good. Although he sometimes seems a bit shameless, he never misses a single rule.

As for the loan he mentioned, it has nothing to do with me. It's a preferential policy that was established when the bonded zone was first set up. With Tan Jincheng's shrewd and resourceful methods, he could still get it done even if I didn't show up. Asking me to show up was just a way of deliberately leaving a personal favor.

Except for July and August when the company was officially operating and was operating at a loss, Flash Auto was able to break even in September and make up for the year's losses in October.

It was able to turn a profit within six months of its establishment, and its cash flow was very healthy, with large sums of money coming in at the beginning and end of each month, so there was absolutely no need to worry about loans.

In addition, he also owns a wholly-owned electronic product import and export company and a clothing export company in which he holds a majority stake; both of these companies have excellent cash flow.

With the leadership paying attention, Zhao Jinsheng had also privately investigated these three companies and analyzed their cash flow situation. It was not difficult to see that Tan Jincheng, this excessively young boss, seemed to be taking every step as if he were going all in on a gamble, but in fact he had very strict control over the company's cash flow.

When Flash Motors was first established, he was even unwilling to take out bank loans to expand, which shows that he was very cautious.

The biggest fear for a company is a cash flow crisis. He realized this when he started his first company, which puts him much better than most entrepreneurs.

"He's tactful, has principles, and knows the rules. This young man is definitely something."

(End of this chapter)