N-A-A Chapter 49 Establishing a Home Appliance Company
Chapter 49 Establishing a Home Appliance Company
Pedestrians hurried along Queen's Road Central. Lin Zhou drove to the glass door of his old friend Lawyer Zhou's law firm, and straightened his white shirt and tie.
Lin Zhou pushed open the door and entered, immediately greeted by the bustling sounds of the law firm. Upon seeing him, Attorney Zhou's secretary stood up and greeted him with a smile, "Mr. Lin, Attorney Zhou is already waiting for you in his office. He said you should come in directly as soon as you arrive."
"Thank you for your help." Lin Zhou nodded his thanks and headed straight for the innermost office. After knocking and receiving a response, he pushed the door open and entered. He saw Attorney Zhou sitting behind a large mahogany desk, organizing documents, the gold-rimmed glasses on his nose reflecting the light.
"Brother Lin Zhou, I've been waiting for you!" Attorney Zhou put down his pen, stood up and greeted him warmly, patting him on the shoulder. "Last time you said you wanted to register a home appliance company, I thought it would take some time, but I didn't expect everything to be ready so quickly."
The two sat down on the reception sofa, and the secretary quickly brought two cups of tea, their fragrant aroma rising gently. Lin Zhou picked up a teacup, took a sip, and as the warm tea soothed his throat, he smiled and said, "Thanks to Attorney Zhou, all the tricks you taught me when registering Zhonghua Daily and Zhonghua Security have come in handy. This time, the patent application and factory preparations have gone quite smoothly."
As he spoke, he took out a neatly arranged stack of documents from his black briefcase and placed them one by one on the coffee table: "These are the company registration application form, shareholder identification documents, land ownership certificate for the factory, copies of patent certificates, and bank statements showing the funds. Please check if they are complete."
Attorney Zhou picked up the materials and carefully reviewed them, his gaze behind his glasses sharp and meticulous. He had practiced law for over twenty years and had met countless entrepreneurs, but someone as young as Lin Zhou, yet so thorough in his actions, was truly rare. From his initial naiveté when registering Zhonghua Daily to his current composure in preparing Zhonghua Home Appliances, this young man's growth in just a few months was astonishing.
"The materials are complete, and the proof of funds is substantial enough." Attorney Zhou turned to the last page and nodded in satisfaction. "A registered capital of HK$200,000 is considered a medium-sized investment in Hong Kong's current home appliance industry. But Brother Lin, are you really going to build the factory in Yuen Long? Although the land there is cheaper, the transportation and supporting facilities are much worse than in other industrial areas in Kowloon and the New Territories."
Lin Zhou had anticipated his question and calmly explained, "Attorney Zhou, you may not know this, but the factory in Yuen Long is one I just built. It's a full six or seven hundred square meters, enough to accommodate three production lines. Moreover, I've already reached a long-term cooperation agreement with a small shipping company. Cargo ships can sail directly to the small dock next to the factory. Although it's a bit far from the city center, it's still very convenient for purchasing raw materials and shipping products. It's a very worthwhile deal."
He paused, then continued, "More importantly, it will be much easier to procure parts in the future. I have already visited all the suppliers who previously supplied raw materials to Su's Radio Factory, and they are all willing to switch to supplying us, at prices that are five percent lower than the market price."
A hint of approval flashed in Attorney Zhou's eyes: "I didn't expect you to have already established the supply chain in advance. You've really thought things through. It's a real pity that Su's Radio Factory went bankrupt. I heard that their products were severely squeezed by the Little Life brand in the Hong Kong and Southeast Asian markets, and they lost many old customers. Naturally, suppliers would be willing to cooperate with a new company with potential like yours."
Mentioning the Su family radio factory, Lin Zhou's smile deepened slightly. He had a deep connection with the Su family; this time, he had poached their boss, employees, and equipment, and even their suppliers.
"There's nothing we can do about it," Lin Zhou said frankly. "The Su family's philosophy is too conservative. They only want to hold onto the local Hong Kong market and are unwilling to invest in research and development of new products or expand into international markets. The competition in Hong Kong's home appliance market is becoming increasingly fierce. If you don't move forward, you fall behind. If you want to survive, you must seize the opportunity to innovate."
Attorney Zhou strongly agreed: "You're right. The Xiao Rizi home appliance brand is coming on strong right now. Their transistor radios, rice cookers, and black and white TVs are all selling very well. If they can't capture the market as soon as possible, it will be even harder for them to establish themselves in the future."
He changed the subject, looking at Lin Zhou: "By the way, my daughter has been reading your previously published book, *A Step into the Past*, every day. She says it's the best historical novel she's ever read. I heard it's not only a bestseller in Hong Kong, but also sold in Southeast Asia, including Singapore, Malaysia, and Thailand. Is that true?"
Mentioning "A Step into the Past," Lin Zhou's face broke into a smile again: "It has indeed sold very well. In Hong Kong, it has already been reprinted five times, with total sales exceeding 600,000 copies. The distribution contract with Southeast Asia was just signed last month, and the feedback has been very good so far. Bookstores in Singapore are already urging us to reprint it."
The book's popularity far exceeded his expectations. He had originally intended to use the computer in his spatial dimension to copy a historical time-travel novel to develop the Zhonghua Daily and earn some start-up capital, but he never imagined it would cause such a sensation. The book's fantastical setting of Xiang Shaolong's time travel to the Warring States period, its dramatic plot twists, and its vivid, three-dimensional characters all captivated readers, attracting not only young people but also many seasoned literary critics who gave it positive reviews.
"Six hundred thousand copies! That's an astronomical figure!" Attorney Zhou exclaimed in astonishment. "Based on the royalties per book, you must have made a considerable profit from this, no wonder you have so much capital to register your company."
Lin Zhou smiled, not revealing the specific amount, but he knew in his heart that the revenue from "A Step into the Past" had indeed solved his immediate financial crisis. Previously, buying land, building factories, purchasing equipment, hiring workers, and establishing supply chains all required money, costing him nearly one million Hong Kong dollars in just a few months, almost emptying all his previous savings. Fortunately, the royalties from "A Step into the Past" arrived in time, not only filling all the financial gaps but also leaving a considerable surplus, enough to support the initial operation of Zhonghua Home Appliances.
"It's all just good luck. The main thing is that the subject matter is quite novel, and readers find it refreshing. Once the company is on the right track, I probably won't have as much time to write novels," Lin Zhou said modestly, but in his heart he was thinking: I can't stop making money like this; I have to keep ripping off readers with each book.
"That's a real shame," Attorney Zhou said regretfully. "But it's a great thing that you've managed to run the company well."
Lin Zhou had a clear plan: Zhonghua Daily would be responsible for public opinion guidance and brand promotion; Zhonghua Security would be responsible for protecting company property and personnel; and Zhonghua Home Appliances would be the core pillar for future profits. These three companies would support each other, forming the basic framework of the Zhonghua Group. Once the Hong Kong film and entertainment industry entered its golden age in the 1980s, the establishment of Zhonghua Entertainment and Zhonghua Cinemas would be perfectly timed to capitalize on the trend and seize market share.
Attorney Zhou praised him highly: "You always do things steadily and surely, and I believe you will definitely succeed in the home appliance industry. By the way, what is the shareholding structure of Zhonghua Home Appliances? Is it still wholly owned by you?"
"This time, I plan to allocate 15 percent of the shares to the company's core technical and management personnel," Lin Zhou said. "I have hired an engineer who previously worked at Su's Radio Factory as the technical director, and a top student who studied economics and management at Hong Kong University as the operations manager. They are rare talents, and giving them shares will enable them to truly dedicate themselves to the company."
"This decision is very wise," Attorney Zhou praised. "Talent is the foundation of a company's development, especially for technology companies. Retaining core talent is more important than anything else."
The two chatted for a while about the specific details of company registration. Attorney Zhou explained in detail the relevant provisions of Hong Kong's company law, tax policies, and the procedures that needed to be followed. Lin Zhou listened attentively, occasionally asking his questions, which Attorney Zhou patiently answered one by one.
Two hours passed in the blink of an eye. Lin Zhou glanced at his watch, stood up, and said, "Attorney Zhou, please help me with the registration procedures as soon as possible."
"Don't worry, I'll arrange for someone to handle the procedures tomorrow. We should have the business license in three days at the earliest." Attorney Zhou stood up, shook his hand, and said, "I wish your appliance factory a grand opening and booming business!"
"Thank you for your kind words, Attorney Zhou." Lin Zhou replied with a smile, picked up his briefcase, and turned to walk towards the door.
Stepping out of the law firm, the afternoon sun was even more intense, but Lin Zhou felt no heat at all. He looked up at the sky, where a few white clouds drifted across the azure expanse, just like his current mood—clear and bright.
He went to a phone booth and dialed the factory office number. When the call connected, Su Wanqing's gentle voice came through: "Hello!"
"Hello! Wanqing, this is Lin Zhou."
"Boss, how's it going on your end? Is the registration process going smoothly?"
"Everything went smoothly. Attorney Zhou said the process will begin tomorrow, and we should have the business license in three days." Lin Zhou's voice was filled with barely suppressed joy. "Are the people you hired ready?"
"Everything's ready! We're just waiting for the factory to start operations so we can come back to work." Su Wanqing's voice was full of confidence. "And Engineer Wang said that all three production lines have been debugged, and the trial production yesterday produced samples that fully met the standards. The workers have all passed their training, and everyone is eager to get started!"
"Great!" Lin Zhou nodded emphatically. "Once we get the business license, we'll hold a groundbreaking ceremony. Also, set up a purchasing department as soon as possible, and have the suppliers begin supplying raw materials according to the contract starting next week to ensure production isn't interrupted."
"Understood! I'll arrange it right away!"
After hanging up the phone, Lin Zhou took a deep breath, his heart filled with anticipation. He could almost see cargo ships laden with Zhonghua home appliances departing from the pier next to the Yuen Long factory, heading to every corner of Hong Kong, to various countries in Southeast Asia, and even being exported to European and American markets.
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