Chapter 1017 Consider an acquisition!
"Are you too bold? Take over a clothing company that is losing money?" Jiang Fang smiled awkwardly.
Jiang Fang and her team are more realistic. Of course, no one will eat enough and do business at a loss. This clothing company called Meiwei can be said to have been lonely in the past two years and is struggling in the industry. In fact, they can also throw away their cans and simply make OEMs and make high imitations and stick to the brand trademark. However, in this way, it is pirated and infringement. Small-scale micro-businesses or circles of friends can be sold, but those who cannot make it to the table can only make small fuss. Because if you want to sell high imitations, you cannot go to major platforms first. Once you are reported, you can fine the company a little, and you will have to pay a lot of money before you make a lot of money. After all, selling high imitations is not a long-term solution. Of course, OEMs are already a third-party processing, that is, OEMs, and OEMs are equivalent to making money with low labor. Although they will be very busy, they don’t make much money.
In this case, MeVI certainly hopes to have its own things and build its own brand, but they lack funds on the books and do not have the ability to develop new products. Because sales have never been up, they are in a vicious cycle. Until now, many production lines have been abandoned, and fewer and fewer workers have remained.
So, Jiang Fang has her concerns and feels that investing in a clothing company that is losing money is risky, but Xigua Ge and I don’t think so. Of course, that’s because Xigua Ge’s personal traffic is not comparable to ordinary people. This is an advantage, and the other advantage is that Meiwei, the company is in Shanghai, which is a geographical advantage.
"Mr. Jiang, to be honest, if this company is in another place, then we may be a fool when we acquire it. But the problem is that this company is in Magic City, and it is also in Fengpu Industrial Zone. Logistics knows that first of all, transportation must be convenient and logistics must be smooth. Magic City Expressway is so developed and its purchasing power is extremely strong. We are here, with the right time, place and people, at least geography has a great advantage. Mr. Jiang, you may also know that there are many cumbersome procedures to invest in Magic City. In turn, the factory will move out of Magic City.
It is often complicated and we will definitely be able to create the employment rate here and increase taxes. Then the leaders above will definitely support it. We just need to take over this company, build our brand, change the company, and launch our brands and products. Then I believe that the future prospects will definitely be good. In fact, Mr. Qiu has always wanted to have his own brand and we are doing third-party sales. Although we can make the difference, how can we make the money we make as much as the products we produce ourselves and priced by ourselves?" I said.
"Yes, Mr. Jiang, we all have the opportunity to open a company in Magic and build our clothing brand. Why not do it? There are existing companies, employees and workers. As long as our brand is outstanding and the products can be accepted by the public, we can definitely make it." Xigua Ge also said.
"What brand should I do? You must know that it is very difficult to establish a brand and become famous." Jiang Fang said.
"Just be a sports brand, take the young route, and is widely consumed by the public." Xigua Ge thought for a while and continued.
"We have Anta Lining Xtep in China. These are the best ones. Can we beat them?" Jiang Fang said this, and then said, "And these are all sports, so they will invest more."
"Trendy brands only make clothing. If there is improvement, then create the entire series and make clothing first." I thought about it and said hurriedly.
"Trendy brand?" Jiang Fang frowned.
"Yes, you can make some casual mass clothes, suitable for young people. Isn't our spokesperson Mr. Qiu? We can save a lot of endorsement fees, and then we need to pay, which is the placement of market advertising. Mr. Qiu, you have so many fans on the dy platform, and you have met many other internet celebrities. You can also let them advertise. Of course, if you really set up an independent brand, you can also cooperate with my magic town in the future. Xigua Brother, you can also promote my magic town project, so that we can also recommend our brand in turn. This is called mutual benefit." I nodded.
"Yeah, it sounds very good." Xigua Ge nodded.
"You all thought about it?" Jiang Fang smiled helplessly.
"Everyone is together to make money and to build personal brands, so that our online store can be upgraded and our own brand will be our own. The sales are all our own, which is much better than third-party sales and selling other people's things." Xigua Ge said.
"Okay, then we need to conduct an asset appraisal of Meiwei Company and then talk about the acquisition. I need to find several senior appraisers, and the company here also needs to actively cooperate. We need to understand their debt situation, company assets, including workers, middle-level management, salary levels, etc., all-round considerations, and also make some corresponding adjustments to recruit some talents to join. This takes time and cannot be completed in a short period of time." Jiang Fang nodded and said.
"Then we will develop in this direction. What we will negotiate with Mewei Company next is acquisition. As for today's order, we will cancel it." I said.
"Since we have discussed the acquisition, what orders are needed? Our company has 50 million yuan on the books at this stage. I don't know how much it will cost to acquire this company after the product evaluation. After all, this is a medium-sized enterprise." Jiang Fang said.
"No hurry, you can talk to Mr. Gao about the intention of acquisition. If his offer exceeds our range and the gap with the evaluation is large, then forget it. If he can understand that being acquired at this moment is the best way out, then he should be able to make a decision. At this stage, I can say that Mr. Gao will definitely not want to delay it anymore. If the company can be transferred, then he will at least have funds to earn money and will not worry about the company's so many worries. After all, the longer the delay is, the more likely the company is to go bankrupt. He may have ambitions to fight a turnaround, but it requires the investment of the brand's marketing promotion capital and the talent reserve for product research and development. These two pieces are just empty talk. "I smiled.
"Yes, Mr. Chen, you have come to the point. If you can acquire this company at a low price, it will be an opportunity for us. Of course, we can free up more funds to work in the entity." Jiang Fang nodded.
After chatting for almost half an hour, as soon as the door of the conference room opened, we signaled Gao Yue and others to come in. At this moment, Jiang Fang also said that there is no need for orders for the time being.
Chapter completed!