Seeing Fan Hongyang's breathing getting heavier and heavier on the other end of the phone, Zhang Yida knew that he was scared and nervous.
Zhang Yida paused, thought about it, forget it, let’s just say it all!
Now that I have said it, let’s see what Lao Fan decides!
So he went on to say:
“A maturity mismatch occurs if the maturity of risk mitigation is shorter than the maturity of the current risk exposure.
Let’s take a simple example. From the perspective of the platform, it means that you borrowed a sum of money and agreed to pay it back today, but you will not be paid until next week, which creates a term mismatch.
What to do? If your financial situation is good and you can completely rely on your own reserve funds to ease the repayment pressure, then it will be considered a short-term financial crisis at best;
But what if the platform has no money and can’t pay it back? As far as I know, some platforms will extend their claws to new investors, issue new bids to raise funds, and then use the raised funds to repay the dues of expired projects.
Principal and interest.
Once this pattern cannot be solved in a timely manner by relying on positive capital flows, it will form a long-term snowball pattern, that is, a "Ponzi scheme."
What about the capital pool?
Generally, investors are allowed to recharge into the platform account through a third-party payment channel. Then the money recharged by investors can be accessed by the platform.
When investing in a target, the investor tops up the funds, invests in the winning bid, and then the platform transfers the funds to the borrower's account.
There is no direct transfer record between investors and borrowers, and the flow of funds here is seriously opaque.
The fund pool can easily prompt the platform to misappropriate funds to make up for bad debts, and can also easily form a Ponzi scheme.
However, it does not mean that the above-mentioned things will happen if you create a capital pool. The main thing depends on the professional ethics of the platform people.
If you set up a fund pool and use it honestly for lending without any misappropriation, the problem won't be too big.
In short, whether it is splitting bids, mismatching deadlines, or even setting up a fund pool, the biggest problem still lies with the platform operation managers. As long as we can control our intentions and do not reach out or misappropriate, then we will not create a huge problem.
The Clan and the Crash.”
Fan Hongyang said:
"I understand all of this. Banks and trusts also have capital pools and maturity mismatches. We just need to do a good job in risk management and prepare sufficient risk reserves, so that risks will not occur. Or they can be rectified if they occur.
This is a game of beating the drum and passing flowers. Continuously use new short-term financial management to pay off the old. As long as the capital chain continues, the risk will not be exposed.
The biggest core still needs a steady stream of investors to join in and increase investment.
But once the number of investors and the inflow of funds decrease on a certain day, the risk exposure will be exposed.
How to remedy this?
We must take precautions before they happen and think of countermeasures in advance.”
Zhang Yida thought for a while, and from his past experience, the P2P industry is a typical profit-making industry that "only values the results, regardless of the process."
As long as you manage risks properly, don't expose risks, and finally successfully land the company, you will be a good company.
Or if the risks are exposed, if you have money to pay the bills and pay investors, you are a good company.
Apart from borrower default, the biggest risk is operational risk.
All kinds of fancy operations, all kinds of showy operations, many companies are trying to kill themselves in this way.
I relived my life and chose this industry, didn’t I just want to make a career? So, I made a clear decision:
"You just have to operate with confidence. If there is a risk, I will use all my personal property to cover it.
My shares in Ruixiang are worth 1 billion. Even if I sell them at a low price, I can still sell them for 3 to 5 billion.
Until Yimin's wealth is worth three to five billion, we will all be safe.
I am personally willing to sign an unlimited joint and several liability guarantee. If something goes wrong, I will sell the shares to investors to pay for it."
Fan Hongyang was a little surprised by Zhang Yida's determination, and at the same time admired his responsibility. Following such a boss and partner, he couldn't be too hesitant or timid!
So he said with great enthusiasm:
"Okay, Mr. Zhang, since you have made up your mind to do this, then I, Lao Fan, am willing to accompany you in your madness.
In terms of platform fund operation, I do my best to control risks as much as possible.
If you really can't stand it anymore, it's up to you, Mr. Zhang, to take action."
Zhang Yida continued:
"We are forced to do this at this stage because of the situation. Everyone is growing wildly. If you have to be honest and develop step by step, it will only lead to a dead end.
In extraordinary times, extraordinary measures must be taken.
After one or two years have passed and the platform has become stable, we still have to eliminate these hidden dangers one by one. After all, this is not a long-term solution.”
Hearing this, Fan Hongyang couldn't help but admire Zhang Yida's clear mind.
Those who work in finance must always be wary of risks.
Zhang Yida lit a cigarette and recalled many past events.
He loves and hates P2P. He loves it because he enjoys the industry dividends and makes money, but hates it because the industry lacks supervision and too many people with evil intentions enter this industry.
Finally, bad money drives out good money. People who develop honestly cannot defeat those who misappropriate investors' money to advertise or expand the scale of the enterprise.
Of course, most people who engage in self-melting and misappropriation end up in jail.
Very few have successfully landed. Basically, only the dozen or so companies listed on the New York Stock Exchange, Nasdaq, and Hong Kong Stock Exchange can survive.
Other small and medium-sized platforms, which are developing honestly and want to be small and beautiful, are slowly being held back by various high costs.
Zhang Yida took a deep breath and sighed.
The "Battle of Hundreds of Groups" in group buying and the "War of Thousands of Broadcasts" in the live streaming industry are also meat grinding grounds, with very few winners.
There are a total of 5,000 to 6,000 P2P platforms, and it is estimated that no more than 50 will survive in the end.
Entrepreneurship in other industries has failed, but there are still opportunities for a comeback.
As for starting a business in Internet finance, it is a struggle that involves all one’s wealth and personal credit.
If you lose, your personal finances will be ruined, your credit will be ruined, and some may even go to jail.
Zhang Yida does not want to lose and does not dare to lose. Having grasped the regulatory trends and industry development trends in the next six years, he also believes that he will not lose.
The promotion plan produced by Ruixiang Technology for Yimin Wealth is released.
"A user who invests 100 yuan per month, the promotion price is 40 yuan.
The total promotion fee is 3.6 million yuan, and the number of promoted users is 90,000.”
After seeing this plan, Zhang Yida immediately agreed and arranged for the operation leaders of both companies to start the docking work.
Zhao Sheng has been living a good life recently. He has opened five loan orders this month, and his face is almost broken with laughter.
Since the company started cooperating with Ruixiang Technology, it has received a steady stream of customers. Zhao Sheng is also one of the beneficiaries of this wave of dividends.
However, Zhao Sheng is also a little worried. According to his past understanding of the company, the company's monthly loan funds are only 20 million. After the 20 million is disbursed, it will no longer accept new loan applications and documents this month.
Now, the performance of the whole company is improving by leaps and bounds, and I am afraid that the 20 million will be used up soon! What should I do if there are customers later!
Just when he was worried, the director walked out of the boss's office laughing loudly and announced:
"What a great event! The company's loan performance exceeded 20 million today! All my friends have contributed a lot. In the evening, the company will pay for a dinner to celebrate everyone!"
Zhao Sheng's heart thumped, and he came up with whatever he wanted. It's over, he can't do business this month!
Just when Zhao Sheng was grimacing and feeling sad, the director spoke again:
"Also, don't worry, everyone!
In the past, the company stopped applying for incoming goods once its monthly loans reached 20 million yuan.
Now this rule has been changed to 30 million monthly loan funds.
The company has added a new funding channel, so everyone can do business with confidence and boldness. In the future, if the company's performance has a good momentum of growth, more funds can be added."
After Zhao Sheng heard this, he almost jumped up with joy. With the newly added loan funds of 10 million, he would be able to do more business.
At the dinner table in the evening, Zhao Sheng happily ran to the director and said flatteringly:
"Director, didn't our company only grant loans of 20 million yuan every month before? Why did it suddenly increase the amount of funds by 10 million yuan now?"
The director drank some wine, got a little drunk, and said with a mouth full of alcohol:
"In the past, that was just the old calendar. Now if you look at our company's business and performance, it can be said to be prosperous and prosperous."
Zhao Sheng immediately handed the director a cigarette, lit it, and said:
"It's all thanks to your leadership, Director, that our company's business has grown by leaps and bounds and is unstoppable."
The director took a nice puff of his cigarette and said with a smile:
"Zhao Sheng, seeing as your performance has been very good recently, I will give you some heartfelt words.
Our company recently cooperated with a P2P company, which was introduced by someone from Ruixiang Technology.
Think about what kind of company Ruixiang Technology is? It’s a large company with a valuation of hundreds of millions of dollars. Can what they introduce be bad?”
Zhao Sheng nodded, looking deeply convinced. He has such good performance now and can earn so much commission, thanks to Ruixiang Technology! These are big and thick legs.
The director continued:
"That P2P company is called Yimin Fortune. Do you know what P2P is?
Let me tell you, P2P is the abbreviation of peer to peer, which means person to person, also known as peer-to-peer network lending. It is a private small-amount lending model that gathers small amounts of funds and lends them to people in need of funds. It belongs to the Internet
A type of financial product.
It is a private small-amount loan, an online credit platform and related financial management behaviors and financial services that rely on the Internet and mobile Internet technology."
Zhao Sheng was stunned when he heard it. The director is the director, and he can speak so well.
Seeing the confused state on Zhao Sheng's face, the director felt that he was a bit too pretentious, and even this kid didn't understand. So he continued:
"You don't need to know that much anyway.
You just need to know that Yimin Wealth is a partner with us. We recommend borrowers and they provide loan funds to us.
In the future, we will have Ruixiang Technology to acquire customers and lend money to benefit people’s wealth, and our company will take off.
You should seize the opportunity. If the company expands in the future, I recommend you try being a team manager."
Zhao Sheng understood this time and nodded like a chicken pecking at rice:
"Thank you, Director, for your training. I will definitely perform well in the future.
No matter where I am from now on, I will always be your soldier, and I will always remember your kindness."
The director chuckled, this guy is quite good at talking, and his performance is also good. He can focus on supporting him in the future.
Zhao Sheng thought for a while and felt that he had a question, so he asked again:
"Director, our company has a strong ambition to attract customers in the future, and lending money will benefit the people. What is our company doing?"
The director thought for the same reason, what role does the company play in this? It seems that it didn't do anything, oh, it still did something.
Contact the customer and enter customer information. If the customer is overdue, you have to collect payment.
Why doesn't Ruixiang directly cooperate with Yimin? He still has to contact our company, which is a bit confusing.
The director said helplessly:
“I can’t figure it out either! Maybe they are interested in our company’s many years of loan experience!
We also signed a guarantee agreement with them. If the customer is overdue, we have to advance the money to Yimin Wealth."
Zhao Sheng suddenly realized:
“This Yimin Wealth is so good at doing business!
Give us the money to lend, and they will sit back and collect the money, and the harvest will be guaranteed during droughts and floods!
Why doesn’t our company open a P2P company to raise money for ourselves?”
The director thought that it was a good idea to open his own platform. He would report it to his boss later, and maybe the boss would remember him for his contribution.
Just when Yimin Wealth was preparing to use loan companies as business transition targets, loan companies also saw the charm of P2P, and many people with ideas also wanted to start this business.
Without him, people who have not joined the industry think that the profits are high and the threshold is low, and everyone wants to do it! So the fight soon became a red sea.