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Chapter 99 - Chapter 99: Safety Concerns and the Purchase of a New Property

Chapter 99: Safety Concerns and the Purchase of a New Property

Wei Zetao said, "Don't worry, Mr. Yang. Old Zhou is fully focused on production and has also started recruiting additional workers. These new hires can both work and learn at the same time. That way, when the next batch of machines arrives, they'll already be ready to operate them."

"Good," Yang Wendong nodded. He glanced over the production data in his hand and then asked, "How's the new equipment that Dongsheng's been developing coming along?"

Previously, Yang had felt that the old machines were just too slow—mainly because the core concept behind the Post-it machinery was derived from the final assembly lines of bookbinding equipment.

In book printing, the most time-consuming parts weren't at the end but at the earlier stages. As such, bookbinding manufacturers hadn't bothered improving the speed of the final steps.

But with Post-it production, it's all about that one last step, so the machines needed to be re-optimized for speed. If production efficiency could be doubled, even if the price per unit was higher, it was still worthwhile.

When it came to buying machines, Yang preferred fewer units with higher efficiency. That made it easier to control quality and costs, while also saving on labor and factory space.

That said, land and labor were still cheap in Hong Kong at this time. Yang's main concerns were production efficiency and quality—not squeezing every penny of labor cost.

Wei replied, "Old Zhou and I visited Dongsheng two days ago. The first prototype is already built. Its speed is about 2.5 times faster than our current equipment, though it takes up about 1.5 times more space.

We think it's worth it. The biggest issue with equipment is not the machine itself, but the walkways and spacing between units. If we can reduce the total number of machines, we save a lot indirectly.

But there are still a few technical kinks they need to work out."

"2.5 times faster? That's pretty good," Yang nodded.

In his past life, Yang wasn't an expert on industrial machinery, but he knew that modern machines were controlled by PLCs and microcontrollers.

Here in the 1950s, everything ran on simple relays. This severely limited automation. Even companies like Coca-Cola had to produce at a crawl. That was one reason soft drinks cost proportionally more than they would in the future.

Wei smiled. "The new machine will be delivered to us next week. We'll need to monitor it closely for a while. Even though it's based on the Japanese design, it was built in Hong Kong, so we can't be too trusting."

"Yeah," Yang nodded again. Even now, Japanese and Western machines were more trusted. He himself wasn't entirely comfortable putting full faith in local machines—that was just the reality.

Then he added, "Even with our current machines, we won't be able to keep up with the U.S. market. Europe and Japan are next, and our equipment needs will only grow."

"Understood. I'll stay on top of it," Wei replied with a smile.

Yang looked back down at the company's recent revenue figures and asked, "We still have a sizable chunk left from the Liu Chong Hing loan, right? Is it enough to fill this entire new workshop with machines?"

According to Old Zhou's layout, the new space could fit 80 machines. At HK$5,000 per new unit, plus other expenses and a buffer, the remaining funds might just be enough.

Rent, deposits, infrastructure upgrades, equipment purchases, and raw materials all required capital. But one of the biggest hidden costs in manufacturing was the float period between shipping and payment.

The more you shipped, the more you had to front in cash. Most of the original US$30,000 from 3M, plus a chunk of the loan, had gone into that gap. Eventually, the money would come back—but in the meantime, it was tied up.

"That's right," Wei nodded. "But I've spoken to Liu Chong Hing. After reviewing our performance data, they've determined our risk profile is low.

As long as international payments keep flowing in and we maintain profitability, we'll be in good standing—unless we try to build another new factory too soon."

"There's no 'unless'—we'll definitely need to expand again," Yang shook his head. "With our current capacity, we can't meet even a fraction of the demand.

But it's not just about money. Our biggest bottleneck is people. Without enough skilled workers, I wouldn't dare scale up too fast."

Post-it production might be equipment-based, but quality control—including material handling, process management, final inspection, and batch tracking—still depended on people. Worker proficiency directly impacted both output and quality.

"We've already started worker training," Wei said. "But it takes time. What we need most is a solid group of middle managers—literate, disciplined, and capable of reading and writing.

Even so, just recruiting enough people is already tough. Plus, our current location isn't exactly convenient."

"That's true," Yang agreed.

In the early days, he'd picked this large, somewhat remote warehouse to save on costs.

But the downside was clear—it made recruitment harder. Literate workers tended to be pickier about job location and conditions.

"We'll just have to offer better pay," Wei said. "But HR needs some time to source qualified candidates."

"Alright, let's go with that for now," Yang nodded. "Let's focus on developing a core team of competent staff and verifying that Dongsheng's new machine works as expected.

Once we're fully prepared, we can plan for the second round of expansion."

"Alright," Yang Wendong nodded. "Even the simplest product like Post-it notes requires step-by-step capacity expansion. Even 3M struggled with supply in the early days of Post-its."

"Understood," Wei Zetao replied.

"Let's move fast," Yang added. After a few more words, he left the factory with Su Yiyi.

The next day, while Yang Wendong was working as usual, Zhou Xianglong came in and said, "Mr. Yang, your home called just now. There's been a break-in."

"A break-in?" Yang's face changed. "Is anyone hurt?"

"They said no one was hurt, but the older lady at home was frightened," Zhou answered.

"Good." Yang immediately stood up. "I need to head back. Call Su Yiyi, and notify Liming and Haoyu as well."

Due to the tight startup budget, he had been renting ever since launching the business. He hadn't expected a burglary.

The theft itself wasn't a big deal—his most valuable item at home was probably the TV, worth a few hundred bucks. But if anyone had been hurt, it would've been a disaster.

Yang and Su rushed back and comforted Auntie Guo, who had been startled.

Yang asked, "Auntie Guo, did you see how many people there were?"

"Three," she said. "All men. They scared me, but once they saw me, they ran."

"As long as you're okay," Yang said, relieved. "Take a good rest, and Yiyi will look after you."

"I will," Su Yiyi said softly.

Outside, Yang met up again with Zhou Xianglong.

Zhou said, "Mr. Yang, honestly, with your current status, it's not safe to be living in such an old residential building. You may not be well-known across all of Hong Kong, but the locals know who you are.

Gangs probably won't target someone like you, but petty thugs are unpredictable."

"True," Yang nodded. If he ever came face-to-face with street thugs, he probably couldn't handle them—especially if they had weapons.

Zhou said, "Either rent in a proper high-end complex or buy a house. With our current relationship with Liu Chong Hing Bank, it shouldn't be an issue.

That bank is quite relaxed on lending rules. With our track record and some collateral, you wouldn't need much cash up front. Once the Post-it business stabilizes, you can repay slowly.

Safety should come first."

"You're right. Nothing is more important than safety," Yang agreed. Not even business came before that. Even if it affected his operations a little, it was worth it.

Later, Yang personally called Ning Wenjue at Liu Chong Hing Bank, expressing his intention to buy a property. She immediately agreed, offering him the lowest mortgage rate available.

Yang then informed Su Yiyi and the others about the decision.

Su's face lit up. "Are we buying on Hong Kong Island?"

"You want to live there?" Yang asked.

"I don't really mind," Su said while walking. "It's just that all the rich folks in Hong Kong seem to prefer living near Central or on the Island."

Yang chuckled. "Let's stay nearby for now. Our business is based here. If we lived in Central, commuting by ferry every day would be a headache."

"So you're planning to stay on the Kowloon side long-term?" Su asked, curious. "I've seen lots of successful businesses move to the Island once they make it big."

"Maybe in the future, but not right now," Yang replied with a smile. "Our factory doesn't depend on local supply chains. As long as transport is decent, we're fine here.

Hong Kong Island's industrial zone is booming, and trying to move there would mean competing for limited resources. We're better off sticking to the Kowloon Peninsula."

"Oh, so what kind of house are we getting?" Su asked with a grin.

Yang replied, "Not sure yet, but at least four units—so Liming and Haoyu can move in too."

Right now, Zhao Liming and Lin Haoyu were somewhat behind the curve compared to the growing business. No matter how hard they worked, they couldn't catch up to professionals who had spent years studying and managing in the field.

But Yang wasn't going to leave them behind. Glue traps and rodent control had been his starting point, and they still had value. Plus, they created jobs and gave him influence—especially among the shantytown communities.

As for daily life, even if they didn't live in the same building, being neighbors was good enough. They were his earliest comrades. Letting them live in homes he owned wasn't a big deal—on the contrary, it would allow them to help each other.

"Really? That's amazing," Su said happily.

"In the coastal area of Kowloon, there are some good real estate projects. Tomorrow, the four of us will go check them out together," Yang said.

"Okay! I'll go tell Liming and Haoyu," Su replied cheerfully.

The next day, the four of them met again and visited several residential developments on the southern edge of the Kowloon Peninsula, near Victoria Harbour.

Since the Post-it business had taken off, each of them now had their own roles and rarely moved as a group anymore during work hours.

"Brother Dong, can I learn to drive?" Lin Haoyu asked from the back seat as Yang drove skillfully up front.

"You want to drive?" Yang asked, smiling as he shifted gears with one hand and steered with the other. "Of course you can. All of you can. Once the company's cash flow improves, we'll each get a car."

A week earlier, taking Zhou's advice, Yang had bought a used car. It was shockingly expensive—HK$2,500 for a beat-up Ford.

But there was no choice. New cars cost over HK$10,000—enough to buy a mid-sized apartment in a decent Hong Kong neighborhood.

The less industrialized a region is, the more expensive manufactured goods become. And in this era, maritime shipping made bulky items like cars extremely costly. In Hong Kong, owning a car meant you were either rich or powerful—there was no in-between.

After buying the car, Yang Wendong was naturally the first to try it out. He had driven manual cars in his previous life, and although the mechanics here were a little different, the basic principles were the same. It didn't take him long to adjust.

"Really?" Su Yiyi and Zhao Liming were both delighted. Who doesn't love the idea of having a car?

Yang added, "But you'll need to get licensed. Sure, you can buy a car, but for safety's sake, if you want to drive, you'll have to earn that license properly. I'm very strict about this."

Yang himself had gotten his license the usual way—though he had greased a few palms to speed up the process. He already knew how to drive, even if he was still adjusting to right-hand driving.

But he wouldn't allow his people to cut corners. Safety came first.

"Oh, of course," the three in the car nodded. They all agreed it was only natural to get a license before driving.

Cars weren't fast in this era, and the roads weren't great either. Yang didn't drive quickly—especially since these old models didn't even have three-point seat belts.

He had noticed that problem during the car-buying process. So he contacted Lawyer Zhang Weida to look into whether Volvo had registered the patent yet. As a car enthusiast in his previous life, Yang had picked up from browsing auto forums that the three-point seat belt was invented by Volvo.

Unfortunately, the patent had already been registered. It likely hadn't been widely adopted by the industry yet.

Even if it hadn't been, as an ordinary person, Yang wouldn't have had much chance of patenting it himself. You had to physically produce a prototype before you could register a patent.

Especially for something as intricate as an automotive component, it wasn't just about "three straps"—it involved real engineering.

Inventions like that, even if you knew what the final product looked like, still required serious investment in R&D, technical knowledge, and talent. Take the Rubik's Cube, for example—his company was still trying to optimize it, and even historically, it had taken a long time to perfect.

Around 10 a.m., Yang drove his used Ford to a local real estate agency. Since he wanted something ready to move into, he obviously wasn't looking at off-plan properties.

Zhao Liming asked, "Brother Dong, are we buying second-hand homes?"

"Not exactly. I'm looking at units that were hoarded by property speculators—technically no one's lived in them," Yang replied as he parked the car.

Off-plan or "pre-sale" properties had already become common in this era. Real estate companies loved the model—it let them recoup capital quickly and reduce risk. Banks and investors favored it too.

In fact, the housing boom a decade later, which would see real estate outpace both industry and shipping, was largely thanks to the success of this business model.

As the four stepped out, a middle-aged man greeted them. "Mr. Yang, it's a pleasure to meet you."

"Hello," Yang replied with a nod.

"My surname is Tao. Please feel free to call me Xiao Tao," the agent said, handing over his business card with a smile.

"No need for formalities," Yang said. "Let's just focus on the business."

"Of course," Tao smiled. "Lawyer Zhang already contacted me in advance. Based on your requirements, I've prepared a list of options. Please, come in and take a look."

"Alright," Yang nodded, and the group followed him inside.

Tao was clearly well-prepared. He had sorted properties by location and quality. Though he didn't know exactly who Yang was, anyone who came with a personal referral from Zhang Weida was clearly no ordinary buyer.

Yang flipped through the listings carefully. "This one's only 500 meters from the coast?"

"Yes," Tao confirmed. "That's Yifu Garden, a villa development built last year by the Landmark Group. It's very close to the waterfront.

There are 60 villas in total, with professional security and property management."

"Let's go take a look," Yang said.

"Right away," Tao said happily. This kind of deal would earn him a fat commission.

Since the agency didn't have a car available, Tao joined them in Yang's vehicle. The group soon arrived at Yifu Garden.

"The environment here is excellent," Tao said. "Most of the residents are either factory owners or senior managers from the nearby port."

"What's the price?" Yang asked directly after a quick look around.

Tao responded quickly, "Each villa is about 2,500 square feet, priced at HK$80,000. But if you're buying four, I can offer a discount—HK$270,000 for all of them."

"HK$30 per square foot?" Yang frowned. "Isn't that a bit steep?"

Even in 1959, property in Central was significantly more expensive. But outside of that, prices varied widely. Some areas of Kowloon were still basically undeveloped—calling them "desolate" wouldn't be an exaggeration.

Tao smiled. "Mr. Yang, we all understand Kowloon's market. But this is one of the few true villa districts in the area.

Its supporting commercial infrastructure may not rival Central, but it's on par with other parts of the Island.

Also, these are villas—we can't compare them to tong lau or regular flats. Villas generally cost twice as much, and in some rare areas, even three to five times more."

Yang didn't answer immediately. "Alright. That's it for today. If I'm interested later, I'll contact you."

Thank you for the support, friends. If you want to read more chapters in advance, go to my Patreon.

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