BXBX NOVEL Chapter 680 Very High Initial Value
Those outside Linn Province were surprised by Viktoria\'s response.
Young Master Jansen rose from his seat and asked. "What would Peters City\'s current demand be? What about its production capacity? Can you inform us about that?"
This information could raise many of these people\'s spirits to buy parts from the Ritter Motor Company, so there was no reason for Viktoria to hide it.
She smiled and said. "Currently, there are 35,000 sales contracts of vehicles of various types to Peters City organizations. If we count the orders from outside the city and the province, the number of vehicles we have to deliver passes 60,000.
On the other hand, we can produce up to 100 vehicles a day. Then, It would take us several years to meet the demand in the province alone with our current production. So as you see, there\'s no way we can look at other states in the short term."
"60,000... That\'s tens of millions of gold coins in profit alone!" Someone commented to his group.
"If that\'s true, when the Ritter Motor Company reaches the other provinces of the empire, that number could multiply by more than ten times!"
Several people in the surroundings of this great hall commented, raising the spirits by several levels.
"That\'s why..." One of the Saints in that area understood why these people wanted to share this magnificent business with others. \'They really can\'t afford to have this company all to themselves. They could only get enough to fulfill this demand by sharing it with many others.\'
Meanwhile, the man who had first asked about the Ritter Motor Company\'s plans for other states sat back in his chair, pleased to hear that. \'That\'s just the car business. I heard the driving school business is even better than car production.\'
To produce cars, Lothur, and his people needed to spend a good part of what they raised to pay the production costs. But in the driving school, they only had to pay the teachers\' low salaries.
The profit margin at these schools was very high, and since every car owner would need to learn or pay for his people to learn, the demand for it was not low.
The Ritter Motor Company also didn\'t market their minibusses, so transportation within cities would be a monopoly of this company.
Considering these alternative businesses, this person and others were graced with the potential returns they would have within this enterprise.
Young master Jansen commented to his fellow traveler. "This is a good business. Let\'s buy it no matter what the price."
As comments about this spread around the surrounding area, the Koch patriarch smiled happily, imagining his spy network would soon increase exponentially.
\'It looks like they\'re all going to contest... That\'s perfect!\' He felt as he imagined Lothur was extremely pleased with how things were developing.
Viktoria then continued. "So, for now, we will focus on Leopoldine. But we will look outside the empire when we produce over a thousand vehicles a day.
Speaking of that, I have to tell you something important. The founder of the Ritter Motor Company decided before his departure that all our factories need to be in the Linn Province, so even when we leave the empire in the future, we will still produce in this province.
It cannot be changed in the future."
\'That must be to preserve their control over the company...\'
\'It\'s not bad... They want to turn this place into their headquarters. It makes sense.\'
\'One really needs to have the core of his business where they can act to preserve it... This Lothur was no fool.\'
Again these people accepted such a thing as a good measure that would be important for the best development of the company in the future.
Then Viktoria asked for silence by making a gesture before moving on to the most important part of the auction.
"That said, I believe the most important thing had already been discussed. So let\'s move on to the auction itself.
Previously in the first auction of the Ritter Motor Company, we sold each 1% share of the company for an average value of about 4.59 million bronze coins. However, at that time, we hadn\'t even launched our vehicles and didn\'t know what the demand would be like.
The company has grown a lot since then, and we will grow a lot more with the investment to be made in the coming days.
So the starting bid for the 1% share will start at 1 million gold coins, with a minimum increase of 100,000 gold coins."
That was almost 21.8 times the average sale value of the first 49% sold at the first Ritter Motor Company auction.
Hearing that, those people who had tried to negotiate with the Becker family opened their mouths in shock, hearing more than 5.7 times the amount they had offered this family!
"1 million..."
"... Gold coins?"
Large families like the Duke of Linn Province only made a profit of a few hundred thousand gold coins a year. But just the initial bid of this company already represented a few years of their profits.
That was a salty figure for most organizations trying to do business there.
"I\'m glad we got together. My family would not achieve anything in this auction alone." One of the Dukes of Leopoldine commented to his group of allies formed the night before at a local restaurant.
Even higher-ranking powers were impressed by how much the Ritter family valued their company, momentarily falling silent as they did the math.
\'But that\'s worth it... We\'re talking millions of gold coins in profit if we can just fulfill the current demand for vehicles.\' One of the Saints thought as he narrowed his eyes. \'Even if that profit is divided by 100, each fraction would still have hundreds of thousands of gold coins in profit already upon entering this company.
That\'s just considering the size of the business in Linn Province... But what about when it\'s the size of the empire?\'
\'It\'s worth it!\' The young master of the Jansen family remained determined. His family was much more prosperous than ordinary powers in the empire, but still, this amount had impressed him.
Luckily he could afford a debt of this greatness.
Viktoria then said. "You will have 24 hours to raise the funds to pay for your bids, so think about that as you join the bidding.
With that said, I\'ll start the bidding for this second Ritter Motor Company auction!"
"1.1 million gold coins!"
The first bid was instantly placed, starting the race of the powers there for that company.
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