Yangcheng.
Zhang Xupeng, after hanging up the phone, felt a bit sentimental but also a little excited.
He could roughly guess what Tan Jincheng meant by telling him to prepare himself mentally: it was about their initial conversation when he first wanted to reduce his shares, and the follow-up about Tan Jincheng wanting to transfer shares during later dividends.
If he hadn't guessed wrong, this time Tan Jincheng was probably really going to transfer shares.
Twenty years of friendship, over a year at sea, and a full year in business had changed both Tan Jincheng and Zhang Xupeng.
Since his last trip with Tan Jincheng to Huzhou Zhili, Zhang Xupeng had dedicated himself to developing the children's clothing market.
Making the children's clothing business the second-largest business segment for Jinpeng Trading was Zhang Xupeng's goal, and he achieved it, proving his ability to manage a trading company.
No man in business is accustomed to being subordinate to others, and Zhang Xupeng was no exception.
Working so hard, besides earning money, was also to prove that he was not just Tan Jincheng's subordinate.
After the Spring Canton Fair, Tan Jincheng fully invested himself in Shanchi Automotive, with no time or energy to attend to Jinpeng Trading.
After Shanchi went into mass production, he had even less inclination to do so.
Tan Jincheng never cared how much Jinpeng Trading earned.
This sudden audit, besides indicating a financial issue, likely also contained the intention to transfer shares.
If that was the case, he probably couldn't stop it this time.
Moreover, if it was truly as he guessed, Zhang Xupeng no longer intended to stop it.
Like Tan Jincheng, having his own company entirely was also his dream.
The sadness was about their careers truly diverging, and the excitement was also for this reason.
Zhang Xupeng was very grateful to Tan Jincheng.
Without Tan Jincheng guiding him, he would certainly be running a restaurant now, perhaps with a net worth of a few hundred thousand yuan at most.
It was nothing like now, where he could buy a house if he wanted, buy a car if he wanted, and even took his employees to Guancheng for a trip during National Day, which Tan Jincheng had found painful during his trip there in the first half of the year.
But now that Jinpeng Trading had developed to this point, since Tan Jincheng had no intention of managing it further, Zhang Xupeng naturally didn't want a larger shareholder above him.
This was human nature.
"Taking 50 million yuan shouldn't affect Jinpeng's operations, right?"
Tan Jincheng muttered.
Over 60 million yuan in cash was sitting in the company account, earning interest.
No wonder the bank had been subtly hinting at something when he went there before; now it all made sense.
He hadn't paid attention to Jinpeng Trading for half a year and hadn't expected it to have made so much money.
Tan Jincheng felt a little embarrassed; indeed, earning US dollars was different from earning RMB.
Jinpeng Trading's current operating model had a very healthy cash flow: customers place orders - advance payment (US dollars) - place orders with contract manufacturers - advance payment (RMB).
Due to exchange rates, there was a considerable interest spread.
Based on the export volume up to September, an export volume of 144 million yuan leaving over 10 million yuan in cash meant a cash flow reserve of nearly 10%, which was perfectly fine, not to mention the numerous orders that would be received at this Autumn Canton Fair.
Putting down the financial statements, after a moment of contemplation, Tan Jincheng called Zhang Xupeng again.
"What's wrong?" Zhang Xupeng's slightly subdued voice came from the other end.
The atmosphere was completely different from the cheerful tone of the previous call; clearly, Zhang Xupeng had roughly guessed what Tan Jincheng was going to say.
After a moment of silence, Tan Jincheng said,
"You've done very well these past six months. I'm going to fulfill my previous promise ahead of time and transfer some shares to you. How about 50 million yuan in cash?"
Jinpeng Trading's profit this year, averaged out, was approximately 7 million yuan in net profit per month, totaling over 80 million yuan in annual profit.
From dividends alone, Tan Jincheng could receive over 40 million yuan in pre-tax profit.
Transferring most of his shares for 50 million yuan might seem like a huge loss, but it wasn't calculated that way.
After the dividends last year and in the first quarter of this year, the actual dividends belonging to Tan Jincheng in Jinpeng Trading's account were not much.
The financial report cycle of over 60 million yuan started from April, ending precisely at the end of September, a half-year period.
During this half-year, the average monthly profit was 10 million yuan.
Besides benefiting from the orders signed at the Spring Canton Fair, Zhang Xupeng had successively developed many new customer sources, and with the newly developed children's clothing business segment, the company's profits had surged.
It was true that Tan Jincheng laid the foundation for the company, but for the past half-year, Tan Jincheng had not managed the company.
The ability to increase the company's monthly profit from seven figures to eight figures was all due to Zhang Xupeng's personal efforts.
If he were to comfortably lie back and wait for the lion's share of dividends, it would be neglecting his efforts.
If this continued for a year or two, the brothers might even become enemies; no one is willing to share a large sum of money they've worked hard to earn with others.
If effort and dedication don't receive due reward, they might just tamper with the financial data.
On the other hand, shares and dividends are two different things.
Dividends are because money has been made.
If the company loses money, the shares become worthless.
Moreover, Tan Jincheng is currently short on cash, so transferring shares at a low price when in need of money is also reasonable.
The reason Tan Jincheng can see the actual financial reports now is because the two major shareholders currently trust each other.
Many instances of major shareholders being cheated out of everything have not been uncommon.
As for the valuation of a trading company?
To put it bluntly, it's a shell company; the office is rented, the factories belong to others.
It might make 100 million this year and nothing next year.
How can it be valued?
"50 million is fine, but is that enough for you? And how many shares do you plan to transfer?"
Zhang Xupeng said in a deep voice.
This time, he didn't refuse; that kind of fake politeness between brothers didn't exist for him.
Tan Jincheng, lying lazily in the boss's chair, said,
"That's about right. You need to ensure sufficient cash flow in the company account at all times. You should understand this. If you have time, learn some financial knowledge. Also, after the shares are transferred to you, the legal representative will also change to you. Then you should hire a full-time financial team for the company."
With such a large capital flow now, although a trading company's income and expenditure are relatively simple, it is no longer suitable for part-time finance.
A full-time financial team must be put in place, and Jin Yi Industrial also needs to arrange this as soon as possible.
"As for how many shares to transfer, how about I keep 20% of the shares?"
Zhang Xupeng pondered for a while and said,
"You're right about needing working capital in the account, but 50 million is still too little. 37% of the shares are worth more than that. This year's dividends alone are 40 million. Transfer 27%, and you keep 30%."
"Additionally, the bridge loan previously given to Shanchi and those small private sums between us can be written off. I'll compensate you with another sum at the end of the year based on the company's profitability. How much, it's hard to say for now."
Tan Jincheng thought about it.
It was only 10% of the shares, which would actually be worthless in a few years, insignificant for both Zhang Xupeng and himself.
Since that was the case, it didn't matter.
Keep a bit more, then.
After all, it was the first company he started in his life and truly had commemorative significance.
With too few shares, Jinpeng Trading without the "Jin" character seemed to lose some meaning.
As for the few million from the bridge loan and some miscellaneous small private sums, let them be waived.
Strictly speaking, a part of it belonged to him, and it also helped Shanchi alleviate some financial pressure, which was good.
Also, another sum next year?
Forget it, there's no need.
"I agree to the first two points. As for compensating me, forget it. 50 million is a lot. If I take this much and you compensate me further, you'll have almost no money this year."
"Haha, don't underestimate me. I can make the company's monthly profit reach eight figures, and with this breakthrough at the Canton Fair, the company's earning capability isn't as bad as you think. It's settled then."
"Actually, Tan Jincheng, you could get almost 50 million yuan in dividends this year. Although I don't know why you're in such a hurry for money, I appreciate you transferring the shares to me at a low price at this time."
"Besides, I'll just take a little less this year, and most of the future profits will be mine. You also said that foreign trade business is good now; even if I earn for another two or three years, it will be more than what I'm getting now, so there's no need for you to decline."
After a brief pause, Zhang Xupeng continued,
"There's no need for politeness between us brothers. To be honest, this isn't a small amount of money; it's tens of millions at stake. If I said I wasn't tempted, that would be false, and I'd also feel pain giving it to you for nothing. But I'm more afraid that we'll turn against each other because of money."
Wealth moves hearts.
Most people think that once they have money, they can just relax, but more often, you can't control your inner desires.
Once you have money, you'll only want to earn more money and pursue higher goals.
If Zhang Xupeng, this time, refused Tan Jincheng's share transfer because he couldn't bring himself to do it, he really couldn't control what would happen later.
After buying a Passat at the end of last year, he only thought of owning one.
But by this year, with an Audi A6, he was no longer excited.
And he, who once thought of making money and relaxing, was stimulated to earn more money with the thriving development of Tan Jincheng's career.
After thinking about what Zhang Xupeng said for a while, Tan Jincheng also smiled,
"Okay, you have a point. If I don't accept yours now, I can't guarantee that I won't regret it someday, right?"
Another point was that after Shanchi's renaming, its registered capital increased again.
Having more money on hand would also be more conducive to capital injection, as increasing registered capital ultimately requires injecting actual cash.
"That's right! While we're both still easy to talk to, let's eliminate all potential hidden dangers so we can get along better in the future. Also, I can go all out now. Don't think I'll admit defeat; our bet is still on."
"Okay, then I'll ask my lawyer to draft a share transfer agreement. Once it's ready in a few days, I'll go to Yangcheng, we'll sign the contract, and I'll transfer the company's legal representative to your name."
"Huh? You must be very busy, right? There's no need to rush so much. It's fine after the Canton Fair ends too."
"I am in a hurry. The 30 million bank loan must be used for its designated purpose and cannot be touched. Shanchi's account doesn't have much money either, which is why I'm thinking about the shares."
"Why are you so eager for money? Is the 30 million loan the bank helped you secure not enough? If you didn't have a girlfriend, I'd think you were going to use this money to sign a female celebrity."
Holy crap, truly a brother, he could guess the use of the money just by speaking casually.
"Haha, you've got some skills; you can even guess this. What you said isn't wrong, but it's for work, nothing else."
"Holy crap? What's going on? Explain clearly? I'm getting more confused the more I listen."
"I want to sign Liu Yifei as an endorser."
"????"
(End of Chapter)