Rebirth in Hong Kong: From Dessert Shop to Industrial Empire

Chapter 21 Shunda Logistics (Please add to your favorites, vote for this book, and recommend it to others!)

Ah Sheng squeezed the thickness of the package and accepted it with satisfaction.

"No problem. Just tell me, what do you want me to do?"

Chen Bingwen leaned forward slightly and lowered his voice: "Brother Sheng, as I mentioned before, I have an idea that is more sustainable and reliable than collecting protection money."

Now, the time is ripe.

Ah Sheng raised an eyebrow and exhaled a smoke ring: "Oh? Tell me about it."

"My dessert business is about to expand, with 20 mobile outlets in industrial areas of Kowloon, five standard stores in commercial areas, and a second central kitchen to be built in Kwun Tong."

Chen Bingwen spoke slowly, but each word was clear and forceful: "With so many points, we need to deliver a large number of sugar water buckets, raw materials, tableware, and even the day's revenue every day."

Relying on my own manpower is inefficient, risky, and not cost-effective.

Ah Sheng's eyes sharpened; he knew Chen Bingwen was about to say something substantial. "What do you want to do?"

“I want to set up a dedicated delivery fleet.” Chen Bingwen stared at Ah Sheng. “Brother Sheng, your men are familiar with every street and alley on Kowloon Island. They know the people and the terrain.”

Letting them handle the delivery is the perfect solution.

Buy a few used pickup trucks and modify them with insulated cargo boxes.

The workers are divided into regional routes, delivering goods from the central kitchen to various points at fixed times each day, and then collecting the day's revenue. It's a standardized, efficient, and safe process.

Ah Sheng was silent for a few seconds, then flicked his cigarette ash around the edge of the ashtray.

"Delivery? You want my people to do hard labor?"

“It’s logistics, Brother Sheng,” Chen Bingwen corrected. “It’s not manual labor, it’s legitimate business.”

I pay my brothers based on delivery volume and routes, with a basic salary plus commission.

If you do well, your income will definitely be no less than collecting protection money, and you won't have to live in fear or have to be at the mercy of the police.

More importantly, this is a long-term, clean business.

"Isn't it better for you and your brothers to have legitimate jobs, start a company, and be your own bosses, than to be traitors?"

He paused, then threw out a key point: "Moreover, this fleet of vehicles will not only serve my Chen's Dessert Shop in the future."

Once we get the business model working and build a good reputation, how many tea restaurants, snack shops, and convenience stores in Kowloon and Hong Kong Island will need this kind of short-distance cold chain delivery?
"By then, Brother Sheng, your logistics company will only grow bigger and bigger; it'll be a real money-printing machine."

Having experienced the Rotten Tooth Koi incident, Chen Bingwen understood that in this era, it was almost impossible to do business with ordinary citizens without involving triads.

As business plans unfold and more shops and sales points appear, it becomes inevitable to interact with community organizations.

Rather than passively defending and being hampered at every turn, it is better to proactively transform one of the forces into a controllable partner and incorporate it into one's own business empire.

Ah Sang is loyal, respected, and has deep roots in Sham Shui Po, making him the best candidate.

This move not only solves the pressing issues of delivery and financial security, but also lays a crucial protective barrier for future business expansion.

"Logistics company?" Ah Sheng repeated the word, a complex light flashing in his eyes.

Joining a gang is like walking on a knife's edge; your life is constantly in danger.

Lead your brothers to do legitimate business, start a company and become bosses?

This was the path he secretly longed for deep down, but had never dared to seriously consider.

But the imagery Chen Bingwen depicted, especially the words "long-lasting," "clean," and "boss," struck him like a hammer blow.

He recalled Uncle Fu's hunched back and worried eyes.

He recalled the wailing of his men's families when they were injured, and the heart-pounding fear he felt every time the police raided the premises.

"How do we plan to cooperate?" Ah Sheng asked slowly, his voice low and carrying an unprecedented solemnity.

Chen Bingwen picked up his teacup. "I can advance part of the start-up capital for the team."

I'll handle the vehicles, modifications, and initial operations. You'll be responsible for recruiting reliable personnel, establishing rules, and managing the fleet.

"The shares are split: I get 51%, you get 39%, and the remaining 10% will be set aside as dividends to incentivize high-performing regional managers and their teams."

"Dry stock dividends?" Ah Sheng was a little confused by this technical term.

"It's about distributing shares to the brothers who have made contributions," Chen Bingwen explained simply, "so that everyone can truly treat the company as their own business, and the better they do, the more they get."

Ah Sheng was overjoyed, "That's great! Now the brothers will really put in their best effort!"

Before Ah Sheng could say anything, Chen Bingwen continued, "How about we call the company 'Shunda Logistics'? Smooth sailing, mission accomplished!"

"Okay!" Ah Sheng slammed his hand on the table, startling the other customers at the ice cream parlor.

He stubbed out his cigarette, his eyes fixed intently on Chen Bingwen. "Awen, you've got guts and brains! I, Asheng, will take on this 'Shunda Logistics' with you! Tomorrow I'll find the most reliable guys to come!"

Chen Bingwen felt a great weight lifted from his heart, and a sincere smile appeared on his face: "Brother Sheng is straightforward! We can discuss the specific details after the brothers arrive."

"Wait for my news!"

After seeing Ah Sheng off with a somewhat proud gait, Chen Bingwen breathed a long sigh of relief.

Solving the logistics and potential local bullies issues effectively removed a major hidden danger to his business plan and also gained an ally.

Next, it's time to fully push forward with his expansion plan, and... that more important thing.

Wing Lung Bank, Kowloon Branch.

"Mr. Chen! Please have a seat! Congratulations! The Oriental Daily News has even dubbed you the 'King of Dessert Soup'!"

Zhou Mingzhe got up to make coffee himself, his tone full of admiration, "This result is ten times better than I expected!"

Chen Bingwen smiled modestly: "Manager Zhou, you flatter me. I was lucky, and the neighbors were also very supportive."

Luck only favors the prepared mind.

Zhou Mingzhe placed the coffee in front of Chen Bingwen, his eyes filled with admiration. "So, how much do you need this time?"

Zhou Mingzhe was clearly aware of Chen Bingwen's intentions. How could someone who could achieve such dazzling results in just seven days at the Victoria Park Lunar New Year Fair not have a plan for the future?

“Three hundred thousand,” Chen Bingwen said bluntly, pushing the twenty-page business plan in front of Zhou Mingzhe. “After paying off the eighty thousand yuan loan from last time, we’ll take out another three hundred thousand yuan!”

Zhou Mingzhe picked up the proposal, but instead of flipping through it immediately, he stroked the cover and his gaze fell on the eye-catching line in the summary on the first page: "Victoria Park Lunar New Year Fair Sales Data: HK$580,000".

A brief silence fell over the office.

He remained silent for a full minute before raising his head, as if he were seeing Chen Bingwen for the first time, and re-examining the well-dressed, calm-eyed young man before him.

His all-knowing composure almost made people forget that he was only eighteen years old.

He opened the project plan, which included details on mobile station site selection, staffing, standardized design of the dessert station, planning of the new factory in Kwun Tong, and cost reduction plan in collaboration with the logistics company (Shunda Logistics). The data was detailed, the logic was rigorous, and the feasibility analysis was thorough.

Victoria Park's sales of HK$580,000 provide irrefutable endorsement for this ambitious expansion plan.

“Mr. Chen,” Zhou Mingzhe finally spoke, his tone filled with admiration, “your plan is ambitious and takes a very big step. You know, I’ve been in the lending industry for over a decade and have seen countless business plans.”

This is the most professional, solid, and actionable document I've ever seen.

They even surpassed many so-called elites who had returned from studying abroad.

He paused, then changed the subject, "But that's precisely why I have to ask: Are you ready? Or rather, is your team ready?"

The scope of twenty locations, five stores, a new factory, and a logistics company cannot be simply accomplished by writing a plan.

Management scope, cost control, supply chain stability, and potential competitors—any one of these factors could cause your newly launched boat to run aground.

Three hundred thousand is no small sum.

Even with the asset appreciation from the profits of the Victoria Park Lunar New Year fair, the mortgaged value of the Cheung Sha Wan factory is insufficient to fill this gap, and the risk exposure remains significant.

"Manager Zhou, risks always exist. But opportunities are just as fleeting."

Chen Bingwen met Zhou Mingzhe's scrutinizing gaze without flinching; he knew this was the real test.

"The sales data from the seven-day Victoria Park Lunar New Year Fair proves two things: Hong Kong people love sweet soups, and Chan Kee's business model can make money."

The brand is still popular, making this a golden window of opportunity to seize market share.

Once this opportunity passes, achieving the same scale again will cost ten times more.

As he spoke, he lightly tapped the core chart of the plan to Zhou Mingzhe: "Twenty mobile points in the industrial zone, mobile food cart modifications, insulated containers, basic materials, one thousand per point is enough."

The five standard stores are located in prime commercial areas of Mong Kok, Yau Ma Tei, Causeway Bay, Central, and Tsim Sha Tsui. Monthly rent is kept below HK$3,000. They feature uniform decor and operate solely as sales outlets. The investment for each store can be kept below HK$20,000.

As he approached, he flipped to the financial forecast page: "Conservatively estimating daily sales at mobile outlets at 150 bowls, and 250 bowls at standard stores. At an average price of 1.5 yuan, after deducting raw material, labor, and delivery costs, the daily net profit will exceed 2,000 yuan."

The expansion costs can be recovered within three months.

The Cheung Sha Wan food factory and the Kwun Tong central kitchen are the core, supporting the entire system. With them working together, Kowloon and Hong Kong Island are all within their grasp.

Zhou Mingzhe pondered, his fingers unconsciously tapping the table.

According to Chen Bingwen's calculations, a net profit of 180,000 yuan in three months is a solid figure, and this figure should be a very conservative estimate.

Zhou Mingzhe fell silent again, his fingers tapping unconsciously on the table.

Finally, he slowly closed the plan, took a deep breath, and made his decision: "Okay! Mr. Chen, I trust your vision and ability to execute!"
The loan is for 300,000 yuan, according to the previously agreed terms: personal joint guarantee, interest rate increased by 2 percentage points, and repayment period of 18 months.

Please submit the detailed plans and budget for the new factory in Kwun Tong to me within a week.

The funds will arrive in your account as early as the day after tomorrow!

Zhou Mingzhe finally made the decision and signed his name on the loan contract. "Chen Sheng, don't let me down."

"Thank you so much, Manager Zhou!" Chen Bingwen felt a huge weight lifted off his shoulders and gripped Zhou Mingzhe's hand tightly.

Ammunition ready!

On the fourth day of the Lunar New Year, Chenji Food Factory, which had been quiet all day, was bustling with activity again.

The open space at the factory gate has been turned into a temporary modification workshop.

Zhong Qiang and his employees were busy around twenty food carts that had been fitted with insulation.

Sparks flew from the welding torch, clanging and rattling, and the air was filled with the smell of paint and metal.

Chen Bingwen arranged for Gao Zhenhai to go to the second-hand market to buy a used small truck.

Chen Bingwen himself wore a baseball cap and, like an ordinary student, repeatedly observed, recorded, and compared in crowded places such as Tsim Sha Tsui, Mong Kok, Causeway Bay, and Central.

He repeatedly evaluates and compares every potential standard shop location, striving to select the one with the best cost performance.

"Sir, how much is the monthly rent for this shop?" Chen Bingwen asked a real estate agent, pointing to a tiny shop of only two square meters next to a Mong Kok MTR exit.

"Young man, you have good taste! This shop has a prime location, the monthly rent is two thousand eight, two months' deposit and one month's rent in advance."

The agent glanced at Chen Bingwen's simple attire and answered readily.

Chen Bingwen quickly calculated in his mind: five standard stores in core business districts would cost nearly 50,000 yuan in rent and deposit alone.

Including basic renovations, painting, signage, light boxes, and a few counters, each store has a budget of five thousand, totaling twenty-five thousand.

Twenty modified food trucks, even if bought second-hand and modified, would cost nearly a thousand yuan per truck on average, totaling twenty thousand yuan.

The rent, deposit, and basic equipment for a central kitchen in Kwun Tong would cost at least HK$30,000.

50,000 yuan was reserved as start-up capital for Shunda Logistics' fleet.

Add to that the advance payments for raw materials and employee wages, and Victoria Park's Lunar New Year Fair profit of over 180,000 is visibly dwindling like sand in an hourglass.

The daily turnover of food factories and existing distribution points is only enough to maintain daily operations and raw material turnover, and the surplus that can be extracted in a short period of time is extremely limited.

Now, all we can do is hope that once the 300,000 loan is in place, we can get on board Wharf Holdings' fast track as soon as possible and earn capital for future expansion.

Three days later, in the back street of Wah Fung Garment Factory in the Cheung Sha Wan Industrial Zone.

A food truck with a completely different appearance than before was parked in the familiar corner.

Instead of the various modified tricycles, they are now replaced by standardized, detachable stainless steel food carts.

The car body is painted a striking red, with the "Chen Ji Tang Shui" logo outlined in gold paint in the center, simple yet elegant.

A sunshade bearing the same logo is mounted on the roof of the vehicle, and a menu with clearly marked prices hangs on the side, allowing customers to make informed purchases.

The waiter, wearing a red apron and a white baseball cap, moved swiftly, scooping up the sugar water and collecting money.

As the people queuing up looked at the newly renovated "Chen Ji," their eyes showed less of the casualness they had towards small vendors and more of a sense of recognition for a legitimate brand.

"Brother Wen, the first batch of twenty standardized catering trucks have all arrived today!"

Gao Zhenhai immediately reported to Chen Bingwen, his voice filled with excitement.

On the map, Sham Shui Po, Cheung Sha Wan, Lai Chi Kok, To Kwa Wan... the twelve core industrial areas in Kowloon that he had designated were covered overnight by this "Chan Kee Red".

"Good! Ah Hai, well done!" Chen Bingwen looked at the brand-new food truck in front of him and felt a sense of accomplishment.

Chenji Dessert has taken a solid first step towards standardization and branding.

"Have all the training sessions been completed? Hygiene and service standards cannot be neglected!"

"Don't worry! I've emphasized it repeatedly," Gao Zhenhai assured him, patting his chest.

According to Chen Bingwen's plan, Chen's Dessert at this time was like a race car entering high speed, with every aspect accelerating wildly.

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(End of this chapter)