Metropolis: Paying Off The Debt of Dad At The Start

Chapter 113

Representatives of creditor institutions, you look at me, I look at you, and then I get caught up in a discussion again.

It took about five minutes.

“Or we can take a step back. What do you think of 7%? You have to know that this financing cost is already very low. The financing cost of the normal real estate industry is more than 10%, and the financing cost of Hengtai Real Estate last time was even worse. At 13.8%, you have 7% of the financing cost, which is enough for you to mix in the industry more easily in the future!” Xia Fa Bank representative said.

Lin Feng did not speak, but lay quietly on the chair, lost in thought.

As time passed, many representatives of creditor institutions were a little unable to do it, and they looked around and looked forward to falling into a discussion.

About ten minutes passed before Lin Feng spoke.

“7%, it’s a bit too much!”

“%, this is the biggest number in my heart. If it exceeds this number, I really don’t have any motivation to do it!”

“Okay, then we promise you!” After waiting for so long, Xiafa Bank representative saw that Lin Feng did not ask too much, so he dropped 2 points and nodded.

He doesn’t think how much Lin Feng will borrow. After all, Lin Feng can sell out the group, do new projects, and barely repay the debt of 100 billion yuan. It is already regarded as worshipping Buddha and burning incense. When the time comes, where will the Haoyuan Group still have left. What kind of assets, how much can you borrow without assets as collateral, can hold up tens of billions.

“Well, since both of us have talked about the same in 02, I will now add a breach of contract clause to ensure that neither of us will violate this agreement, so that our repayment plan will be completely frustrated!” Lin Feng nodded. .

“What default clause?” Xia Fa Bank asked.

“As long as you violate the agreement, you can claim 300 billion yuan from the other party. This agreement has worked for both of us!” Lin Feng said.

“300 billion liquidated damages?” Xiafa Bank representatives couldn’t help being taken aback by this number.

“Otherwise, you said that if I do halfway, some of your creditors see that the group’s momentum is good, and take the lead in evacuating the funds, leading to a loss. What should the remaining creditors do? What should I do?”

“What if someone sees that the group’s momentum is getting better, and suddenly it starts to cost a huge amount of interest? Is it going to drag the group to death again?”

“There is no high penalty for deterrence, and the cost of default is low. Who knows what will happen?”

“I am not only protecting my own interests, but also protecting the interests of all your creditors!”

“If you don’t set a high level of liquidated damages, it is inevitable that some people will be distracted. Therefore, 300 billion liquidated damages are good for both of us!”

“But is this number a bit too much!” the representative of Xia Fa Bank asked.

“How can you deter you if you don’t have much? This agreement is of great significance. It is related to the life and death of Haoyuan Group and my personal life and death, and it is also related to whether the trillions of loans of creditor institutions can be recovered. Naturally, nothing can go wrong!”

“Therefore, it is necessary to list a high amount of liquidated damages so that we can treat this agreement with respect and seriousness, and let us restrain ourselves and not violate this agreement!”

“300 billion liquidated damages cannot be less at all!”

Lin Feng said.

“Uh…” The representative of Xiafa Bank pondered for a while. He didn’t think that the high liquidated damages would be harmful to him, but he was afraid that when the time comes, the leaders of them would see this huge liquidated damages and would be a little unacceptable.

“Slightly less, otherwise, the superiors will not pass!” Xiafa Bank representative said.

“Then how much do you say?” Lin Feng asked.

“100 billion, I think this is enough deterrent!” Xia Fa Bank representative said.

“100 billion is not enough, so be it, 200 billion, the best price!” Lin Feng said.

“Uh…” The representative of Xiafa Bank was lost in thought again.

“I said you are not stupid, how is it not good to increase the liquidated damages? You said that if an agency defaults and causes our Haoyuan Group to go bankrupt, you can still find an agency to make a claim. You can get compensation from our Haoyuan Group. There is no money here, you can still get it back from the breaching agency!”

“This is very good for the organization of your conscience!”

Lin Feng reminded.

Such a reminder is like a blow to the representative of Xiafa Bank. Yes, it’s not a good idea to set a higher liquidated damages. In case any institution commits fraud and breaches the contract, you can still find other institutions. Its claim to make up for the loss.

“200 billion is okay, but it can only be so high. If it is high, the superior leaders will not pass it!” The representative of Xiafa Bank nodded.

“Okay, that’s it…” Lin Feng said.

Immediately afterwards, the representative of Xiafa Bank began continuous discussions with representatives of creditor institutions.

As the largest creditor of Haoyuan Group and a representative of many creditors, since Xiafa Bank has agreed to this agreement, other small creditors have no reason to entangle or disagree.

They also hope that Lin Feng will be able to return all the money, and at the same time, to ensure that the contract can be performed normally, and that his rights and interests will not be violated by major creditors.

This wave of Lin Feng used the mistrust between creditors to reach such a high penalty.

Regardless of how all the creditors seem to be united now, they are the result of helplessness. Haoyuan Group has no money in its accounts. If Haoyuan Group is smashed, there is no way to pay it back, and it has to be in the same boat.

But what if Haoyuan Group has hundreds of billions of mum?

Who cares what to work together? Whoever runs away first counts who wins, whoever gets the money first counts who wins, and those who can’t run away will only become a backstop and be viewed as a joke.

Therefore, the big creditors are afraid that the small creditors will threaten to make troubles and break major things in order to take the money, while the small creditors are in a relatively disadvantaged group, and they are even more afraid that the big creditors will act first to become stronger and run away after the money is collected. Lin Feng That is to use this distrust between them to formulate such a high amount of liquidated damages.

So once this high amount of liquidated damages is reached, Lin Feng will have unimaginable benefits.

This is the fourth clause of Lin Feng.

You know, what is the concept of borrowing interest rate %? The financing cost of the normal real estate industry is at least 10% at the beginning. Haoyuan Group used to have a loan interest rate of 12%.

Your% loan interest rate is almost double that of the same industry.

Assuming that the normal corporate loan interest rate is 11%, it borrows 100 billion, and the annual interest is 11 billion. If you borrow 100 billion, the annual interest is only 6.8 billion. How much money do you save, 4.2 billion!

So what if you borrow 1,000 billion? How much is saved? Cost savings of 42 billion a year!

You can save 42 billion more than the same industry a year in cost. It is conceivable that this is a huge advantage compared to the same industry!

Why does Lin Feng insist on raising the liquidated damages so high? He just wants to do it.

If there is no high liquidated damages, then the creditor institutions will not lend you, and they defaulted, what can Lin Feng do?

You set a default penalty of 200 billion yuan, for example, an annual interest rate of %. Normal creditors borrowed 11% last year. They have to borrow for almost 5 consecutive years to offset this default cost.

Besides, the 11% annual interest rate, if that company goes bankrupt, it carries certain risks.

And Lin Feng’s interest rate is so low, it is impossible for Lin Feng to go bankrupt.

So, with such a reversed calculation, will the creditor institutions still be willing to default? Will you be willing to pay 200 billion liquidated damages first? I can only pinch my nose!

I just don’t know whether this agreement can really be negotiated in the end.

Because this is only the first round of negotiations between the two parties, it is a preliminary negotiation. The formal negotiation will not be concluded until the second round, when all the leaders of both sides agree to formally sign.

It’s like, Lin Feng sends an employee out to negotiate with others. Does that employee have the right to sign contracts with others on the spot? Surely not, I have to report back to Lin Feng and Lin Feng approves and signs!

The same is true! .