Seven or eight years ago, into a biotechnology company, the main organic fertilizer, water fertilizer and some foliar fertilizers, etc., the products at that time in the northwest, more promising development prospects, and the company belongs to the government departments of the key support of the project, every year only the national policy support is basically down there are millions. The boss turned out to be a coal boss, and in the years around 2013, the coal mine market was not good, and then he sold the coal mine, brought a large amount of cash, and somehow entered the industry.
Just entered the company, I think the scale of the company is quite OK, the entire northwest region, the branch to join the shares of the company is all over the Hexi, Hedong region, there are more than a dozen. The whole company team also has dozens of people, the office is quite large, I have been to the head office several times, a slip of desks and chairs, computers, people come and go, a busy day of business, thriving scenery. And I was assigned to be the head of a plant that produced water and fertilizer below.
In the first three months, everything was normal, and the factory I was in was purchased from the original MSG factory, and I had to re-apply for various licenses. Because it involves production, it is necessary to carry out feasibility reports, environmental impact assessment reports, etc., and then take some things to apply for production qualifications, business licenses, etc. And it was precisely the first two items, but they were stuck for half a year, until I left more than half a year later, and I could not approve it. The reason is also simple, the original factory was shut down by environmental protection because of serious pollution, and the new project was launched to do environmental impact assessment and the like, but because the factory was only tens of meters away from the nearby river, the environmental impact assessment was not passed, and it was precisely at this time that the boss's capital chain was broken.
Later and the company's employees understand that the boss sold the coal mine also has tens of millions of cash, set up branches everywhere, the acquisition of my factory area (covering an area of more than one hundred acres, there are production plants, workshops, office buildings, etc.) also spent nearly 10 million or so, this is nothing, mainly because of the promotion of water and fertilizer integration, and the northwest just at that time also did not have a recognition of these new things, in order to promote, as a demonstration project, the boss in the provincial capital city not far away, rented more than a dozen greenhouses, hundreds of acres of land, if so In fact, it does not cost much, I don't know what the boss thinks, or is seduced by others, do demonstration agricultural park, far from the city, there is nothing to eat around, so the boss built a manor, restaurant, hotel in the park, made an agricultural ecological tourism project, and designed and added a children's amusement park in the park, raised a bunch of small animals, and later in order to support the catering, he raised a lot of sheep, pigs, chickens and ducks and so on. In this way, the original investment in a few million projects a year, hard to get their own money all invested in it is far from enough, moreover, the ecological manor basically belonged to the net investment project in the first three years, and among them, the sheep breeders, the staff in the greenhouse, the manor personnel, etc. have raised dozens of people, that is, the family has mines, no income, and can not withstand such consumption. The greenhouses of the ecological manor and the surrounding land, in order to pick and use the restaurant, all planted a variety of vegetables, hundreds of acres of vegetables, planted out, but because there is no market, finally can send people to send people, can not send rotten in the field, and finally fed pigs, sheep, the loss is not generally large.
In order to return funds, the boss began to deal with some subsidiaries of external investment, often investing 3 million, with less than 1 million processing, because the early stage of investment is huge, the real output has benefits after three years, and this time to exit, basically is a loss out.
However, even if all the assets that can be realized are disposed of, the funding gap is still far from enough.
Therefore, I joined the job for less than three months, the capital chain was broken, there was no money to pay employee wages, more seriously, it was the production of products, the packaging materials ordered from external manufacturers containing water and fertilizer were not paid into, and then, because of the break of the capital chain, a series of bad consequences began to appear: production stopped, the government acceptance subsidy project was delayed because of the suspension or failure to expect various reasons, the subsidy could not be put in place, and the employees began to leave.......
Today, the original company has long been liquidated and closed, the boss has handled all the external assets, concentrated on his own estate and order production, but a good card, and finally lost on the radical road.
When doing entrepreneurial projects, whether the funds are abundant or not, there are several precautions that must be kept in mind at all times.
First, always do what you have within the scope of your own financial ability, you can plan for the long term, but now, just survive. 90% of startups will die within three years. Among them, most of them are caused by the break of the capital chain and the inability to raise funds.
Second, entrepreneurship should be dedicated, attentive and professional. If you don't understand this industry, and want to develop in it, before investing, more and industry bigwigs to understand, and to sink down to understand the industry, and then, starting from the smallest, stand firm and then forge ahead, improve their business, expand their own channels. Can't go in, plan and lay out all the projects on the entire industrial chain, so that one prospers, one loss and total loss, and, for example, there are three links in the industrial chain, the first one completes 80%, not bad, the second is also 80%, poor, but if it is 80%, the three 80% The final result is the result of the product, that is, the cubic of 0.8, and finally becomes 51.2%, which is not an addition or the front is 80%, and the final result is also 80%.
The core of concentration and single-mindedness is to be the link and project that you are best at and have the most advantages. Don't try to start a new business, just want to earn money in all the industrial chains. And, even if you have people on your team who are familiar with and proficient in all the projects in the chain, once you spread your money and energy to all the links, the chance of error remains the same, but the risk becomes greater. Once the error is made, the transmission is down, and the loss is huge.
Third, don't do projects for subsidies. This varies from person to person, but if there is no money or resources, it must be considered. But all small subsidized projects have cyclical characteristics. Under the subsidy, a crowd, after the subsidy, a chicken feather. This kind of thing is not uncommon, but too much.