Wizard: Starting With Synthesized Gems - Chapter 566

Chapter 563 Pricing and Loan Making

Chapter 563 Pricing and Loan Making
The next day, early in the morning, Locke handed over the backcrossed Hydra seeds to Scarlett Witch along with the accelerated backcrossed Five-headed Snake seeds to Jean Gregor and Williams.

Scarlett Witch looked at Locke in surprise, and at the five-headed snake plant in the [plant pot] in Locke’s hand. “I didn’t expect you to create a subspecies of the nine-headed snake plant in such a short time.”

Scarlett Witch was flipping through Locke’s breeding diary that she had obtained from the plantation staff. She simply ignored the records of various alchemy resources that Locke had requested from the plantation within two weeks.

After all, this was Arthas’s money, not hers as an employee. Furthermore, Locke had used the money to create the five-headed snake plant. Even if Arthas’s board of directors knew about this, they wouldn’t be able to find fault.

For Arthas, it is very cost-effective that the researchers in the Wizarding University can use the funds to effectively develop some magical plants.

After all, store alliances are often “cheated” by wizard instructors in major wizard academies. Before development, they boast about their products, but in the end, the results are all done by students, so naturally they can’t develop anything good.

As Locke’s trader, Scarlett Witch was more concerned about the effectiveness of the Five-Headed Serpent. “The Five-Headed Serpent has reduced the burden on individual wizards by a full two-thirds. This is truly fantastic! This alone will definitely increase sales of our Hydra series of magical plants.”

Scarlett Witch was quite pleasantly surprised. She glanced at Locke and said, “It’s such a pleasure to work with you. Breeder Augustine, I just mentioned to you a little while ago that the Hydra plant has a minor flaw in the market. Who knew you would take it so seriously and actually breed a new subspecies?”

Locke nodded slightly. “I’m glad it helps you. I really need the money lately.”

I am going to the Fairy Family Bank to apply for a loan today to see if I can directly collect the four element rings and plant the Ancient Tree of Life in the Druid Ring.

That would be a huge improvement to his forest sanctuary.

I am so short of money and need it in all aspects, so I am eager to find new ways to make more money quickly.

Locke said: “I originally wanted to cultivate a three-headed snake. But unexpectedly, there was not enough time and resources, so I could only develop a five-headed snake. Moreover, the power of the five-headed snake has indeed weakened a bit.”

“Perhaps in the future we can cultivate some complementary small magic plants to compensate for the problem of the five-headed snake magic plant’s reduced power when used.”

Scarlett Witch nodded repeatedly. “I see. But these are just minor issues. The new advantages that have emerged are far greater than these minor shortcomings.”

“Besides, having flaws is a good thing. There’s a recent movement going on at the store alliance…” Scarlett Witch suddenly thought of something and stopped the topic. She then changed the subject to Locke and said, “Anyway, with the Five-Headed Snake Demon Plant, I will have more options for future operations.”

“I currently have a total of 107 official wizards working with the Alsace Shop Alliance. To be honest, Locke, you may not be the most capable breeder among them, but you are the type that makes me feel very comfortable working with you.”

Scarlett Witch smiled and said, “Many breeders just want to push their products to us and then leave us alone, expecting us market analysts to arrange everything for them. Unlike you, you directly cultivated a new subspecies. As for the three-headed snake demon plant you mentioned, it is indeed very exciting.”

“If we can simplify the Hydra into a three-headed snake, it will indeed have greater sales. Let’s see how the Hydra sells on September 1st. If it’s good, I can take the initiative to apply for investment sponsorship for your company project in Alsace.”

“So that you can cultivate the three-headed snake plant with peace of mind. Instead of having to do what you are doing now…”

Scarlett Witch said to Locke, “Then I will accept these seeds first. With the cultivation information you gave us, and our own mature plantation system in Alsace, these nine-headed snakes and five-headed snakes will be cultivated soon.”

Locke has always been very curious about the plantation industry chain in Alsace.

Because from my own observations of Alsace, its plantations in the Yunze Wetland seem to be used only as special advanced breeding bases and are basically not used for mass production.

Moreover, Alsace seems to be very confident in its plantation system, and the cost of the entire plantation system is very low.

Locke couldn’t help but ask, “Aren’t the plantations used for mass production in Alsace here?”

Scarlett Witch nodded and said, “Yes, that’s true. As a trader, I’m not very clear about the specifics. But the plantations of the Alsace Shop Alliance mainly come from two places. The first is the lower wizarding land, and the second is the colonial plane.”

Locke nodded. As expected, the core of the Alsace Shop Alliance’s low-cost plantation production came from the harvesting of leeks in the colonial planes and lower-level wizarding lands.

Take advantage of the low labor costs of colonial planes and lower-level wizard lands for production in the Alsace Shop Alliance.

However, as a first-ring wizard, there was no need for him to understand these things clearly, so Locke did not continue asking.

Scarlett Witch took the magic quill and scribbled on the document, then handed it to Locke and said, “This is the price I gave you for the Nine-Headed Snake Plant and the Five-Headed Snake Plant. What do you think of it?”

Locke took the information and looked down.

Scarlett Witch said, “Based on the current market price fluctuations and the prices of similar magic plant products, I have set the price of the Hydra Magic Plant at 200,000 magic stones per plant!”

“This price is based on multiple considerations and allows us to maximize our profits, achieving a middle ground between unit price and sales volume.”

“And the cost of cultivating a Hydra Demon Plant is about 10,000 magic stones.”

Locke’s brows jumped, because the cost of cultivating a real Hydra demon plant was about 60,000 magic stones.

The Alsace Shop Alliance has to go through so many production chain links, but the cost is only one-sixth of its own.

It can be seen how ruthlessly the Alsace Shop Alliance harvests the leeks in those colonial planes.

Scarlett Witch said, “In addition to the cost of cultivation, there are also logistics costs, operating costs, and promotional costs. All costs add up to approximately 50,000 magic stones. The largest cost comes from Arthas’s operating costs.”

“Therefore, for every Hydra plant sold, Breeder Augustine can earn approximately 75,000 magic stones.”

Locke nodded slightly, he could accept this price.

Witch Scarlett said, “Let’s price the Five-Headed Snake Magic Plant at 100,000 Magic Stones. The cultivation cost of the Five-Headed Snake Magic Plant is lower, but since the majority of the cost is operating costs, the overall cost won’t be reduced much. However, each plant should still allow Breeder Augustine to earn 25,000 Magic Stones.”

“But I think the five-headed snake will be able to sell more, so in the end, it will make more money than the nine-headed snake.”

Locke nodded. Scarlett Witch was undoubtedly professional in pricing.

The general price of a first-ring magic plant is around 10,000, but the price of a stronger first-ring defensive magic plant, especially one that is useful for wizards in the crystallization stage, should be between 50,000 and 100,000.

In other words, the price Scarlett Witch set for her five-headed snake has reached the upper limit of the unit price of a first-ring defensive magic plant, and the price of the nine-headed snake is not even the price of an ordinary magic plant.

Of course, part of the reason is that both magic plants are tactical-level magic plants.

Of course, this means it will be a harder sell.

Scarlett Witch said to Locke, “Besides that, I have another suggestion. I think… we can organize an event. For example, on September 1st, wizarding organizations that purchase a Hydra plant can receive a five-headed snake for free.”

“Of course, only the first fifteen wizarding organizations that purchase can enjoy this offer. What do you think? Although this will further increase our costs, it can increase Hydra’s sales and perhaps bring in some unexpected gains.”

Locke nodded slightly. “Of course.”

Scarlett Witch said, “That’s it for now. I’ll be leaving now.”

She waved the seeds Locke had given her. “I’m going to deliver these seeds to the mass production plantations of the store alliance as soon as possible.”

“On September 1st, I hope our products will sell like hotcakes in the Golden Crown Mountain area.”

Alsace has a system to protect the commodity ecology of the store alliance, so the Yunze Wetland is divided into ten major regions. The areas with the geographical locations of the seven top colleges in Yunze Wetland as the core are divided into seven major regions, and the remaining areas are divided into three major regions.

Other store alliances are generally divided in this way.

In this way, we can protect the product ecology, safeguard the interests of the store, and guarantee the interests of the breeders who cooperate with Alsace.

Locke said a few more words to Scarlett Witch and then said goodbye to her.

He gave Gregor and Williams a few instructions, asking them to pack up the things in the plantation and take away all the useful things. Then he left the plantation early and went to the Dragon Blood Gathering.

…

The goblin family bank in the Dragon Blood Gathering uses mahogany furniture throughout. And because the goblins are generally short in stature, even wizards who enter have to lower their heads when entering.

These strange creatures are said to originate from the Fey Wilds. The fairies looked at Locke as he walked into their shop with wary and shrewd eyes.

Locke looked at a one-ring crystallized goblin trader and said, “I want to make a loan.”

A shrewd light suddenly flashed in the eyes of the goblin trader, and a sincere smile appeared on his face. There is a saying that goes – the Goblin Family Bank welcomes all customers who come to their bank for loans and regards them as their God of Wealth.

The goblin trader immediately made a gesture. “Wizard Augustine, please.”

They entered a VIP room filled with exquisite mahogany furniture. The goblin trader, Fisher, poured Locke a cup of Eagle Tooth black tea with his goblin-like dry and slender fingers.

He only poured one cup, and instead of pouring himself tea, he drank a glass of water.

Fairy wizards are stingy and thrifty in their own way, but they are courteous and generous to every guest.

At least for them, it’s already generous.

Fisher, the goblin trader, looked at Locke with a warm smile on his face. “Wizard Locke, a researcher like you from the Academy of True Knowledge is a truly honored guest of our Goblin Bank.”

Locke nodded, probably because he had a name and could escape the monk but not the temple.

For the Fairy Family Bank, I have a stable cash flow every month, a stable job, and a stable residence. I am a rare and high-quality customer source.

Fisher, the goblin trader, said, “How much do you want to borrow?”

Locke said: “That depends on the interest rate of your bank.”

The goblin trader Fisher immediately took out a [Crystal Apple] carefully from the mahogany drawer. He did not eat it himself, but swallowed his saliva and looked at Locke.

Locke picked it up casually, thinking it would be a waste not to eat it. He took a bite and looked up to see Fisher staring at him and swallowing his saliva.

To be honest, the goblin wizards have reached a certain level of stinginess, but the problem is that their stinginess is different from that of others. They are stingy with themselves but very generous to their guests.

They will try their best to ensure the customer experience, and for themselves, they will try their best to save costs, spending as little as possible.

Fisher, the goblin trader, said, “The Goblin Bank definitely has the lowest annual interest rate of all banks. We’re a family bank, with branches all over the place. Our ancestor is in… the Star Sea. He’s very old, and he holds great status and authority in the Star Sea. He led us out of the Feywild Plane, immigrated into the Wizarding World, and became wizards of the Great World of Truth.”

“Today, we have forgotten our own language and culture. Many goblins still believe that we are the native race of the wizarding world.”

“Maybe this is a good thing. It means we have fully integrated into this place.”

Locke nodded slightly.

According to the Pan-Magic Race Wizarding Law of the White Wizard Association, any race that can learn magic and voluntarily join the wizarding world can be regarded as a native race of the wizarding world.

This is even said to be recognized by the world will of the wizarding world.

The law is the magical crystallization of the sacred school. The ultimate goal of the sacred masters in the sacred school is either to create the most perfect religion in the world, or to create laws that can be recognized by the world’s will.

Use artificial laws to replace the established physical laws of the world.

The pan-magic race wizard law is one of the masterpieces of the sacred masters.

According to this wizard law, all races that learn magic can voluntarily become “humans”.

But Locke was not led astray by Fisher. When a fairy wizard leads you to talk about all sorts of things, you must remember the original purpose of your conversation with him, otherwise you will easily fall into his rhythm.

Locke asked again: “Well, I know that the Fairy Family Bank has a long history and has a lot of credit to rely on.”

“It’s more reliable than those small banks, so I came to your bank to inquire about a loan. So, what’s the annual interest rate?”

Fisher, the goblin trader, quickly checked Locke’s bank records at the Goblin Family Bank and beamed. “Alright, alright, my anxious guest.”

“For high-quality customers like you, the annual interest rate for loans under 500,000 magic stones is only 5%. That means for every 500,000 magic stones, the annual interest is 25,000 magic stones.”

Fisher said, “However, the minimum loan amount is 500,000 magic stones, and it must be repaid in full within a year. Early repayment is not possible.”

“Also, you’ll need to provide proof of assets. However, I’ve seen your monthly bank statements with our bank, so that’s not necessary.”

Fisher said, “This is absolutely a very fair interest rate. Because the White Wizard Association has strict restrictions on the five major banks, including our Fairy Family Bank, our annual interest rate for loans is 5%-30%. The interest rate is determined based on your credit limit, the amount of the loan, and the loan term.”

“The more money you borrow and the longer the loan term, the higher the interest rate.”

“For example, the maximum loan amount for a first-ring wizard is two million magic stones, so the annual interest rate is 30%. However, generally speaking, such a high loan amount requires collateral. If a wizard defaults on payments for even one month, our bank will immediately confiscate the collateral.”

“We will not provide a second loan to a wizard until the loan is fully repaid.”

Fisher said mysteriously, “Of course, these are legal loans. Small banks and private lenders have fewer restrictions and higher interest rates, but they can break some laws… and some loans don’t consider your credit or bank balance.”

Locke nodded slightly. He had done some homework before coming.

The reason why many first-ring wizards became debt slaves was that they only took out small loans at the beginning. At that time, due to the restrictions of the White Wizards Association, the interest rates were relatively reasonable within the scope of small loans.

Then, these wizards will start to take out large loans, and the interest rates of large loans will be very high, directly reaching 30%.

But soon, due to lack of funds, they will have to stay away from the formal Big Five banks and start to contact those small private institutions. As a result, the loan amount and interest rate will become higher and higher. Because they cannot afford to repay the loan, they can only borrow to pay off the loan and eventually become debt slaves.

But loans are essentially beneficial as long as they are within certain limits.

It can increase consumption and solve your urgent needs. After all, everyone will have times when they are temporarily short of money and need funds to operate.

Sometimes you just need a small sum of money to get things going so that you can get through the economic crisis. If you can’t make it through, all your assets will be used to pay off debts.

Therefore, the loan services of the five major banks are, to a certain extent, very beneficial to the wizarding world.

You can ask someone to lend you some money when you need it.

But people’s greed is never enough, and in the end this greed will kill themselves.

Some wizards regard the money they can borrow as part of their own money, but this is a dangerous cognition.

Because loans are essentially the advance appropriation of your future earnings, every penny you borrow is not in vain.

Locke thought about it and decided to borrow 500,000 magic stones with an interest rate of 25,000 magic stones. But in this way, he could raise enough money to buy the ring of four elements and plant the seeds of the ancient tree of life in his forest sanctuary.

Once the Ancient Tree of Life is planted, his own forest sanctuary will be strengthened to a level that even its creator, the wizard Levis, could not have predicted.

Moreover, with the Four Elements Ring, he could do even more. He could begin experimenting and conceiving within his Druid Ring, creating the prototype of his own ultimate magic.

I am already a wizard in the first ring crystallization stage, so I can start looking up information and accumulating knowledge. It is better than accumulating knowledge when the time comes.

The interest rate is only 25,000 magic stones, which is really not high to be honest.

Almost like giving it away for free.

Whether out of necessity or out of a desire to understand the loan process of the Fairy Bank and become more familiar with the way the wizards of Yunze Wetland do things, Locke felt it necessary to make a loan.

Locke nodded and said, “Okay, then I’ll loan you 500,000 magic stones.”

Fisher, the goblin trader, smiled even wider. “Dear guest. Here’s the contract.”

“I’ll go get you fifty magic crystal cards.”

“By the way, do you want to buy another insurance? We have all kinds of insurance here…”

Locke was a little speechless and said, “I won’t use this for the time being.”

(End of this chapter)