Chapter 183: Working for Carter for Free

"Damn, that's brilliant!"

Watching Carter on stage, looking as if he had suffered a great injustice, LeBodin felt his heart race. An F-word almost escaped his lips.

Just like the salary structure Carter had mentioned earlier, these words made sense at first glance. With so much initial investment, recovering some through store shares seemed reasonable and fair.

But damn it, this still didn't change the fact that he was practically freeloading shares from the stores!

As much as Carter loved crunching numbers, LeBodin found himself doing the same in his mind.

Suppose only one store joined the franchise. In that case, Carter would effectively be using a million-dollar investment to get a 20% stake in a small store, which would be a huge loss. But what if a hundred stores joined? His franchise cost would suddenly drop to ten thousand per store!

If this kept growing, eventually reaching a thousand or ten thousand franchise stores...

Remember, Carter's million-dollar investment was all in fundamental, one-time infrastructure! Although LeBodin knew that as HT grew, the current supply chain system would need expansion, and Carter would have to invest more to meet the franchisees' demands.

But these investments, compared to his returns...

Especially since people develop habits! If from the start, HT set a rule that the brand must own 20% of the stores' shares, over time, people would gradually accept and normalize it.

Eventually, every potential partner wanting to join HT would automatically consider surrendering 20% of their shares. Then...

"Yes! I support Mr. Black!"

"Right! He's made so many contributions and invested so much money. He deserves the 20% shares! If I had something to mortgage, I'd want to open a store and be my own boss too."

"Who says you don't? Haven't you got your house, Haven?"

"Enough! Vote! Vote! I support the HT plan!"

As long as Carter didn't mess up. By continuing to invest in brand influence and the supply chain, HT's brand value would only keep rising.

The higher HT's brand value and influence, the more franchisees would flock.

A virtuous cycle of capital would form!

Hearing the impatient cries of the citizens, LeBodin quickly finished his thoughts and ran onto the stage. With a slightly shocked expression, he approached Carter, leaned in, and said:

"Alright, stop playing the victim! I now realize that in the Black bank, you're the biggest fox!"

After a slightly annoyed comment, LeBodin turned to the crowd and seized the moment:

"Alright, since everyone is so enthusiastic. I hereby announce the official start of the public vote on the Pearson City and HT Company cooperation plan! To protect Pearson's catering industry, the votes of former Pearson restaurant owners will be weighted three times that of ordinary citizens."

"Now! Please, everyone, proceed to your respective areas to collect your ballots from the staff and solemnly cast your vote, deciding the future of Pearson and each one of us!"

As the crowd surged towards the polling stations, Carter, like the quietly retreating Paulson, discreetly left the stage.

He knew that LeBodin had seen through his little scheme, but so what?

Just like he had told Paulson, right now, only he had the money and the means to accomplish these things. For his own political achievements and to resolve Pearson's current predicament, LeBodin couldn't possibly expose Carter's scheme.

Or even if he did, it wouldn't matter. They could just move on to another city.

Listening to the cheers and shouts of support, Carter knew he had gambled right!

"Carter! You! How does your mind work? Do you know, when you called the catering association crap, you almost scared me to death!"

Goodman, who had been following Carter's every move, quickly approached him as soon as he stepped off the stage. Unable to contain his excitement, Goodman gave Carter a bear hug.

Patting Carter's back, Goodman exclaimed:

"And this franchise plan, it's different from what we discussed. Aren't you afraid it might fail?"

"It won't! Who else besides us has so much money to invest in this industry? Those with money aren't interested, and those who are interested don't have money. We're the only option!"

Carter chuckled, not bothering to explain much. But Goodman understood what Carter meant.

Indeed, those who truly had money weren't interested in the catering industry; those interested usually didn't have money.

As for the current fast-food giant, McDonald's, it indeed had a supply chain that could rival HT's, if not surpass it. Joining McDonald's wouldn't require store shares, nor would it need franchisees to give up equity.

But there's a catch.

McDonald's had money, but their franchisees didn't!

To join McDonald's, the headquarters wouldn't ask for your store's shares, but there were franchise fees, annual fees, rent, renovation costs, and initial procurement expenses...

Would McDonald's lend you money?

They're the leader in the fast-food industry! They don't need to curry favor with small franchisees.

In contrast, look at HT and Carter's current situation. While the investment was significant, without established stores, the brand was virtually unknown.

If HT wanted franchisees to pay a large sum upfront, it was unthinkable. Typically, small businesses would open a few stores, build a reputation, and then expand slowly.

But here was HT's advantage over small businesses. This advantage was summed up in two words Carter had mentioned: money!

The company had money, allowing them to pressure small independent stores through the supply chain. Carter, or rather the bank, had money, enabling them to lend to franchisees to expand the brand quickly.

In the current scenario, joining HT was easier than joining any other brand!

No franchise fees, no annual franchise payments, not even an upfront investment. Just mortgage your property with Forest Bank, and you'd get enough money to open a store. In return, you give up 20% of your shares to HT.

HT would handle everything needed to get your store running.

See!

The work of opening the store was done by them, and the money to open it was also provided by them. Under these circumstances, was it too much to give up 20% of the shares?

Some cautious and conservative people might worry about repaying the loan used to open the store, thinking it's a bad deal. But in this world, where there are cautious people, there are always bold and aggressive ones!

In almost no actual upfront cost, getting 80% ownership of a restaurant.

That's too tempting!

And once someone gives in to this temptation, then...

They should prepare to work for Carter for free for the next few years!