Reborn with Consumption System

Chapter 896: Chapter 368: The First of All Sins

Han Lie’s idea wasn’t some random nonsense; it really was highly feasible and highly operable.

Gao Diaomao just didn’t understand the business, that’s all—he wasn’t stupid, so random bullshit wasn’t going to fool him.

But when Han Lie introduced the plan, he deliberately stressed different parts, creating a strong sense of guidance, aiming straight at Gao’s greed and laying down an ultimate trap.

"President Gao, the most worry-free way is definitely to hand the entire project over to my company.

We sign a full-authority proxy agreement, and then you don’t have to worry about a thing. When I ask you for materials, you just cooperate, then sit back and wait for the money to hit your account.

Every step along the way, what gets burned is all my network—appraisal firms, credit enhancement institutions, capital providers, custodians, underwriters, and so on.

As long as you personally provide an unlimited joint and several liability guarantee, I guarantee we can cash out 2 billion from that piece of land.

If we can’t raise the money, I’ll give all the shares back to you..."

The first plan was all about being fully automatic and hassle-free.

But Han Lie deliberately glossed over the cost and didn’t mention a single word of it, and Gao Diaomao immediately picked up on that.

"Teacher Han, how much of that 2 billion will actually be left in my hands?"

Han Lie patted his chest and guaranteed, "It definitely won’t be less than 1.8 billion!"

A 10% cost sounded pretty good, but Gao’s heart exploded on the spot.

Fuck, I’ve already given you 20% of the shares, which is basically 600 million in fees, and you still want to shave another 200 million off me?!

No shame at all! ƒrēewebnoѵёl.cσm

Pissed as he was, Gao of course couldn’t blow up at Han Lie. Instead he put on a troubled face and looked for another excuse.

"Teacher Han, does it really have to be me personally doing an unlimited joint and several guarantee? Isn’t it usually the company as the主体?"

Han Lie replied in a heartfelt tone, "President Gao, your company is the financing主体, but its net assets really aren’t that ample. You definitely need extra guarantees to win the trust of all the institutions and investors along the chain...

You’re the biggest shareholder—if you don’t bind yourself to the project, how could the capital side possibly sign off?

We’re trying to turn a 1-billion piece of land into 2 billion in financing. Every step of the chain has compliance risks, but you don’t have to personally touch any of it. That basically means I’m bearing all the risk. The cost being a bit higher—doesn’t that sound reasonable?

Let me tell you a harsh truth—not only will that 200 million not end up in my pocket, but I’ll have to put quite a bit of my own money on the line.

If you don’t believe me, go out and ask around, see who else has the balls to take on a case like this?"

"Yes, yes, I understand!"

Gao nodded with a face full of shared feeling, looking completely convinced.

"Teacher Han, you really have it tough, I get it! But you also have to consider my actual situation here. Once that piece of land is developed, I’m afraid it’ll be hard to make enough profit to cover all the principal and interest... In the end, how much do we have to pay back?"

"Hmm, that is a problem..."

Han Lie nodded and casually said, "The nominal interest on this operation isn’t high, about 12.5%. In two years we repay principal and interest for a total of 2.5 billion."

As soon as he heard that number, Gao became even more unwilling.

He only gets 1.8 billion in hand, and two years later he has to pay back 2.5 billion, plus another 20% of his own company’s shares—what’s the point of that?!

Maybe Han really wouldn’t make much off this, but Gao sure as hell wouldn’t make anything...

And Gao didn’t believe for a second that Han wouldn’t make money. The whole process was run by Han alone, he didn’t even get a seat at the table. Wouldn’t this bastard be able to spin whatever story he wanted?

For all he knew, Han might not put in a single cent, just find partners and eat from both ends.

Gao immediately gave up on the safest plan—so-called "safety" meant nothing to him.

"Didn’t you say there were three plans? Tell me about the other two!"

Han shot him a look and warned, "For the other plans I’m not sharing the risk with you. You pay for what you get, got it?"

Gao grinned awkwardly and nodded, "Of course, of course!"

"The second operation goes like this—

I’ll go find you a state-owned enterprise. I’ll use my Sky One Fund to purchase that SOE’s corporate bonds, with a quota of 2 billion. freeweɓnovel.cøm

That way we free up an equivalent amount of funds on their side to buy into the Gao Yuan Plot A Project.

The interest on the corporate bonds is about 5.2%, and their cost to put money into our project will be 6.5%..."

Gao was instantly dumbfounded.

"Hold on, Teacher Han, why are we losing 1.3% the moment money comes in and goes out? On a total of 2 billion, we’re just blindly losing 50 million over two years?!"

Han deliberately put on a "you’ve got to be kidding me" expression and shot back, "What credit rating does your little rinky-dink company have? Appraisal agencies, trust companies, brokerages, third-party guarantors... Why would they help fake things and form a closed loop so this project can go through?"

Gao protested, "I can pay them!"

Han asked again, "And what do you think I’m doing here?"

Gao pulled a long face and replied, "I get it, but with your approach, we’re handing over 50 million just to the funding side. Isn’t that a bit... a bit too extravagant?"

"Extravagant?"

Han raised an eyebrow playfully. "Let me put it bluntly—if I weren’t the one going in for you, and you went on your own, forget 1.2%. Even if you raised the spread to 3.2%, no one would give you the time of day!

These big SOEs that can issue AAA corporate bonds—think they care about your pocket change?"

"Yes, yes, I know I don’t have that kind of weight, I can’t pull this off..."

Otherwise why the hell would I give you 20% of the shares?!

Because your dick is huge?!

Gao cursed up a storm in his head, completely unconvinced inside.

But his smile grew even more humble and deferential: "Still, can’t we just directly feed the key people and not make it so... uh, not make it so cautious and by-the-book?"