Question: Why have many local bosses in manufacturing processing plants been fleeing in recent years?

Answer: Maintaining a small factory is extremely costly. A pants factory with a production line of 30 people is considered very small.

1. Salary and social insurance: 250,000 - 280,000.

2. Canteen subsidies: 10,000.

3. 15 double occupancy dormitories: around 10,000.

4. Utilities: estimated at 8,000.

5. Office expenses: 10,000.

6. Working capital for purchasing raw materials: 200,000 - 500,000.

7. Miscellaneous expenses: 10,000, vehicles, logistics.

8. Various fees: slight.

9. Various debts.

You need to have a net profit of 300,000 - 400,000 each month to keep things balanced without making any profit. The problem is that whether the manufacturing industry can even achieve a 2% profit is uncertain. What do you say? It's a hard loss, relying on business loans to survive. On payday, if the local boss can't make the payment, it leads to serious consequences. By next spring, the bank will come knocking again. By the end of the year, they must pay off outstanding debts and give employees year-end bonuses, plus next year's rent.

If there's no money, the local boss can only run away. Of course, running away is not the right thing to do.