Hearing Lin Ze say that Bright Moon Pavilion uses over ten million catties of firewood a year was no problem.
Xu Sheng subconsciously wanted to tease him, Lin Ze's understanding of the Martial Arts Holy Land was too low.
A mere ten million catties of firewood, with the vast forest scale on Crescent Moon Island, could completely meet the consumption, and there was no need to buy it from outside at all.
Tens of thousands of people live on Crescent Moon Island. Cooking, heating, iron smelting, medicine boiling, and pill refining all require a lot of fuel. To meet the Mountain Gate's consumption, the forests in the surrounding counties of the East Sea have been almost completely cut down in recent years.
Xu Sheng remembered the time when he had just finished his apprenticeship and worked as a supervisor in the forest farm opened by his sect for a while.
The work was easy, the only regret was that the salary was not very high. Later, after saving enough travel expenses, he went to make a name for himself in the Martial World.
The firewood obtained at that time was all transported back to Crescent Moon Island for the use of many disciples in the sect.
However, in an instant, Xu Sheng stopped the teasing that was about to blurt out.
If he was too quick-tongued, he might expose the sect's secrets.
Although with the strength of Bright Moon Pavilion, there was no need to care too much about the leakage of these small pieces of information, and the government and other major forces probably knew these basic information about Bright Moon Pavilion like the back of their hands, he, as a Bright Moon Pavilion disciple, could not be a big mouth outside.
If these words were heard by other fellow disciples and elders, they would probably look down on his character, and thus blame and alienate him.
After calming down, Xu Sheng began to think about Lin Ze's proposal just now.
"If what Brother Lin said is true, one catty of coal is better than three catties of firewood and the price is cheaper than firewood, then transporting coal from Fengping County back to Crescent Moon Island on a large scale by boat must be more money-saving and labor-saving than opening a forest farm for logging in the coastal area."
"It is indeed extremely feasible for me to contact them and get a stable income."
Thinking of this, Xu Sheng became slightly excited.
If this matter can really be done, then he can earn a lot of money to support his family while being relatively safer than running around in the Martial World.
However, without being excited for long, Xu Sheng's expression collapsed. He looked at Lin Ze and sighed, "Zi Yi, the suggestion you made is very good. To be honest, the firewood used in my sect every year is many times more than you estimated. If we can transport coal back, we will definitely make a lot of profit."
"But I have no money to buy coal, and no ships to transport coal back to the Mountain Gate. At most, I can only help you pass the news back to the Mountain Gate."
"Whether the Mountain Gate is willing to change from opening a forest farm for logging to buying coal from you, Zi Yi, is still an unknown matter."
At this time, Xu Sheng deeply felt his powerlessness as a middle-aged man.
He met a good friend who was a forget-year acquaintance, who was willing to consider his future and point out a clear path to making money, but he didn't have the ability to seize it.
Lin Ze didn't care about Xu Sheng's frustration, and said with a smile: "Since Brother Jingguan said that the firewood consumed in the sect is many times more than I estimated, then the annual consumption is at least hundreds of millions, or even hundreds of millions of catties of fuel. Even if we only eat a small portion of the share, we can make a lot of money."
"I can give you coal on credit first, and I can also lend you money to buy ships. In addition, I can lend you some extra money to bribe the high-level officials in the Mountain Gate who are in charge of purchasing fuel."
"And what Brother Jingguan needs to do is to help me sell the coal to Bright Moon Pavilion. As for the money owed, you can pay me back later. This is a win-win cooperation. You sell the coal in large quantities, and I can also profit from it."
Lin Ze explained his purpose, which was simply to make money.
Hearing this, Xu Sheng suddenly widened his eyes and looked at Lin Ze excitedly. He didn't expect Lin Ze to be so optimistic about him and have such high expectations.
When he was young, his talent in martial arts was only average. His family and elders in the sect didn't pay much attention to him. After wandering in the Martial World for many years in middle age, he didn't make a name for himself, but now Lin Ze is willing to value him so much, which makes Xu Sheng extremely moved.
His blood surged, and he no longer worried about whether he would fail in doing this. He slapped the table and said, "Okay, since Zi Yi values me so much, then I will definitely live up to your expectations and handle this matter properly."
"I will set off immediately with the coal to the sect. If we can reach an agreement, I hope Zi Yi will give me more financial support."
Seeing this, Lin Ze smiled, it was settled.
If Xu Sheng could help him accomplish this matter, then he would instantly have a stable major client.
Even if Xu Sheng couldn't pull it off, it wouldn't be a big deal. Anyway, it wouldn't cost much. All the investment at the moment was just drawing a big pie.
Taking a step back, Xu Sheng could also be his bodyguard. Lin Ze wouldn't lose out either way.
He dissuaded Xu Sheng, who was hot-blooded and about to return to the Bright Moon Pavilion immediately. After all, Xu Sheng had worked hard all the way. If he were to rush around without a moment's rest, it would be too inhumane. Besides, even if he wanted to leave immediately, Lin Ze's side needed time to prepare.
They talked for a while longer, and after they had their fill of food and drink,
Lin Ze arranged for Xu Sheng to rest in the guest room, and even arranged for two top-tier courtesans from the Emerald Red Pavilion in the city to help him relax from his long journey.
The next day, Xu Sheng got up, did his morning exercises, and ate breakfast. Then, he boarded a large ship of about 400 tons, rented by Lin Ze from Dan Xuliang of the Cao Gang, and headed towards Crescent Moon Island, where the Bright Moon Pavilion's Mountain Gate was located.
The ships of this era were actually quite capable of carrying cargo. The unit of measurement Lin Ze had previously estimated for the profit of a middleman selling coal, a ship carrying twenty or thirty tons, could only be considered a small boat.
The carrying capacity of conventional coastal merchant ships was generally around 400 tons, and some larger seagoing ships could even reach a carrying capacity of thousands of tons.
The merchant ship that Xu Sheng was riding on had one hundred tons of coal arranged by Lin Ze last night.
It would be sent to the Bright Moon Pavilion's Mountain Gate along with Xu Sheng as a sample, so that the higher-ups in charge of fuel procurement at the Bright Moon Pavilion could see the excellence of this fuel. It would be great if they could directly approve the purchase, but if not, some silver could be used to grease the wheels.
"This afternoon, Xu Sheng should arrive at Coastal County, and then report the news to the Mountain Gate, saying that he wants to send coal over."
"If all goes well, we should get news around tomorrow afternoon, and be notified whether or not the coal can be sent to the Bright Moon Pavilion. If not, the one hundred tons of coal can be sold to the Cao Gang in Coastal County on the spot. Anyway, I won't lose money either way."
Lin Ze bid farewell to Xu Sheng, watching the ship loaded with coal set sail and leave the dock, pondering in his heart.
After the ship completely disappeared from sight, Lin Ze returned home.
First, he studied for a while the courses he had secretly filmed at the Bright Moon Pavilion, making up for the morning exercises he had missed because he had to avoid Xu Sheng.
It had been a while since he had completed Vein Opening, and Lin Ze was still in a stage of rapid growth of his essence, qi, and spirit. After finishing his cultivation, Lin Ze could clearly feel that his Inner Breath had grown another notch.
In the afternoon, Lin Ze woke up from his nap and took a carriage towards the Coal Mine.
Today was August 30th. There was still the 31st in the Main World, but here in Fengping County, it was the end of the month, so today was the day to pay the wages to the many miners at the Coal Mine.
Coal Mine, in the office, Lin Ze was doing the accounting.
On this crucial day, the three officials who had shares in the Coal Mine also came.
"From August 4th, when we started mining coal, to the 6th, we mined 2214 tons in three days, and the wages have already been paid."
"After that, the daily output has been stable at 800 tons. Until August 19th, there were a total of thirteen days, deducting two days of rest, producing 8800 tons of coal, and the wages have not been paid."
"Then, starting from August 20th to August 23rd, ten thousand miners joined, some to build supporting buildings, and others to join the coal mining, the daily output increased from 800 tons to 5,000 tons, totaling 20,000 tons of coal."
"From August 24th to August 30th, the average daily output increased day by day. Some miners began to be unable to withstand the physical exertion and took turns to rest, eventually stabilizing at a daily output of 10,000 tons. Adding the amount mined earlier, the total coal production in seven days was 80,000 tons."
"That is to say, the total coal production last month was about tons."
Having calculated to this point, Lin Ze showed the data to the three shareholders beside him: "The total coal production is 22,220,800 jin of coal, and the miner's salary expenditure is .4 taels of silver."
Then, Lin Ze continued to calculate the other costs.
"170 cooks, because this is part of the miners' welfare, and any period less than a month is calculated as a full month, so the unified salary expenditure is 200 copper coins per person, totaling 34 taels of silver."
"100 scholars serving as accountants, with an average of two taels each, would normally be an expenditure of two hundred taels. However, because some joined later, a portion will be deducted, so the total salary expenditure is 82.6 taels of silver."
"One hundred members of the Mining Guard, with a salary of 10 taels of silver and martial arts tuition of 30 taels, totaling 40 taels."
"Miner's meal ticket expenditure is over 40,000 tickets. Adding in the Coal Mine Guard, cooks, honeycomb coal female workers, and other dining personnel, we won't over-analyze this month. The pure ingredient cost totals 800 taels of silver."
"The cost of labor protection supplies such as gloves, wooden helmets, mining picks, and carrying poles and baskets adds up to 523 taels of silver per month. However, because many are one-time investments, the expenditure in this area next month will likely be reduced to within 200 taels."
"In summary, the total expenditure for this month is two taels of silver."
After a pause, Lin Ze continued, "And the coal produced this month totaled 23.24 million catties sold, with an income of 4648 taels of silver, resulting in a net loss of 7933 taels of silver. Then, because mining requires taxes, we still need to pay taxes on approximately 3.333 million catties of coal, or 6666 taels of silver based on the selling price."
"My suggestion is to give coal, which would be equivalent to paying only about 1666 taels in taxes. If we calculate it this way, our net loss is about 9600 taels."
"The government can either sell it and earn rich profits, or use it themselves if they can't sell it."
"Then, in the warehouse, after deducting taxes and the portion already sold, there are still 165.63 million catties of coal left."
Lin Ze only calculated the expenses of the coal mine and did not include the slight expenses during his early preparations, which Lin Ze paid for himself.
For Lin Ze, he directly lost almost ten thousand taels first.
Hearing Lin Ze say that the coal mine had a net loss of 9600 taels in one month, none of the three officials present showed any change in expression.
This number was similar to the output observed by their trusted subordinates arranged in the coal mine.
Because the use and sales of coal have only just begun to improve recently, next month will be the time when coal sales increase significantly.
That will be the day when they truly make money.
Theoretically, the remaining 160 million catties of coal in the warehouse can be considered their profit.
This is a profit of over 33,000 taels of silver.
And if the profit is calculated based on the output of 600 million catties of coal next month, it is estimated that their income can be doubled or tripled.
"Seeing that we've lost so much, I'm relieved. I was worried that after we made money, other coal mines would spring up like mushrooms after the rain."
"It seems that even if other coal mines open, the number will not be very large. If we continue to claim that the coal mine is not profitable or even losing money, and that it is purely related to the food and clothing of the people, it will be even more effective in dissuading many forces who want to open coal mines."
"In this case, it would be a lot if there were more than five large coal mines in the entire Great Zhou."
Gao Fei said with a smile while drinking tea.
This huge initial investment with pure losses is not something that ordinary landlords and powerful people have the courage and capital to do.
Lin Ze is confident in turning losses into profits because of his relatively good internal management and many external means to develop the market. If others follow Lin Ze's method to run a coal mine, it is very likely that they will continue to lose money.
And if other people do not engage in this kind of large coal mine, but only run small coal mines, although they will not lose so much and may even make a small amount of money, the output is small and there is no way to impact the market too much, and there is no pricing power at all.
"Zi Yi, you've worked hard. I look forward to the continuous inflow of profits next month. You may go and get busy."
Li He said with a smile.
Next, Lin Ze still had to busy himself with distributing wages to everyone in the mine, so he would be occupied for a while.
Liu Pei and Gao Fei also had to lead people to maintain order, ensuring the scene wouldn't descend into chaos, leaving only the County Magistrate to steal a moment of leisure amidst the busyness.
Lin Ze nodded and got up to get busy.
Silver and copper coins, prepared in advance, were transported out of the warehouse in cartloads. Then, Lin Ze, along with the accountants, began distributing wages to the miners.
Each person who received their wages would put their fingerprint on the receipt to confirm they had received it.
Lin Ze was busy until dusk before he finally distributed all the money.
Starting tomorrow, the entire Coal Mine would have a two-day holiday. When these miners returned home, it would be a time to expand the Coal Mine's influence.
This would facilitate the Coal Mine's subsequent recruitment of miners to expand production, and also let people know the benefits of coal, further expanding the scale of coal use.
And just as Lin Ze was busy with enthusiasm.
On the other side, Xu Sheng, who was responsible for developing the coal market at Bright Moon Pavilion, had already arrived in Coastal County by boat and met with an Affairs Elder of Bright Moon Pavilion responsible for supplying fuel to the Mountain Gate at a forest outside the city.
Within Bright Moon Pavilion, disciple identities are divided into three types from low to high: Outer Sect Disciple, Formal Disciple, and Inner Sect Disciple.
Above these are the elders who serve as the middle and high-level members of the sect.
In addition to the Punishment Elder responsible for enforcing sect rules, the Teaching Elder responsible for teaching martial arts to sect disciples, the Hundred Crafts Elder responsible for the sect's industry and logistics, and the Bright Moon Pavilion Pavilion Lord, these four absolute high-level figures.
The other elders are uniformly Affairs Elders, responsible for listening to the orders of the four high-level figures.
The Affairs Elder that Xu Sheng is meeting with at the moment belongs to the Hundred Crafts Elder of Bright Moon Pavilion.
Before you continue
Explore the wiki