S11 group founder on running migrant worker dorms.

[Wt_know]

24 minutes ago, Yewheng said:

60 cents out of 1 dollars goes to government.. That says a lot.. If can reduce that amount.. Things will not turn out so bad.. 

bro, $100B pump into the economy comes from where?  

when you buy a car ... how many % goes to ah gong? you calculate ...  

Edited August 5, 2020 by Wt_know

[noobcarbuyer]

20 minutes ago, Yewheng said:

Now the funny thing is that now government lan lan have to rebate and temporarily reduce levy. This land bidding thing need to improved so that it will not put too much strain in the dorm operators.. Like extend the duration that the dorm can use that land to operate.. 

Shouldn't that be applied to COE too? 

So in bad times, those that had previously bid for and gotten their astronomically priced $100,000 COE, can get an extension of their COE duration?

I don't think that's a good idea. Sets a dangerous precedent.

What would be good is for the government to award future contracts to the 2nd or 3rd highest land rent bid by the company that has both a good track record and an economically viable plan. 

Edited August 5, 2020 by noobcarbuyer

[Wt_know]

ah gong can set the "ceiling" for number of worker per room, per block, mandatory communal space and facilities

then operator is not able to bid the land far too high 

problem is dorm operator simply pass on the cost to biz owner > consumer > LLST ... 

Edited August 5, 2020 by Wt_know

[Lethalstrike]

1 hour ago, Yewheng said:

Now the funny thing is that now government lan lan have to rebate and temporarily reduce levy. This land bidding thing need to improved so that it will not put too much strain in the dorm operators.. Like extend the duration that the dorm can use that land to operate.. 

Even if govt gave special rights and reduce land lease to them, I doubt they will pass on the savings back to the market. They are a business, not a charity. Maybe they profit even more if land lease was reduced. 

Thing is, as a responsible business, it's their imperative to upkeep the conditions within the dorms. They can't simply have their cake during the good times and when shit blew up in their face as now, come out cry father cry mother say profit not enough to cover. Please lah, this trick Founder's Ba Kut Teh tried liao lah. 

Edited August 5, 2020 by Lethalstrike

[t0y0ta]

4 hours ago, Philipkee said:

Actually I have a different take but I am no businessman.  

Let's say you sell coffee in paper cups.  The cost to you is 11 cents per cup.

Now, let's say you sell at 10 cents per cup.  You lose money.  You sell at 20 cents per cup, people might say you profiteer cos you earn 9 cents for every 11 cents spent.  But you can't sell at 15 cents cos no one will buy (do they still sell items in 5 cents today)?

So my point is, it seems like they are making huge profits but maybe not really.  Let's say they earn 1 million dollars a year in profit.  It's a lot.  But it could be 9% of their expenditure.  So meaning if they increased their expenditure by 10%, they would be making losses.  

You can argue they increase their expenditure by 5%. My point is not the 9%.  Its just a figure.   It could be 0.9%.  The point is an increase in expenditure would mean losses, or more expenditure for very little gain (example, buying two new tables for ten people to share.  It does benefit but it's so little maybe it's best not to spend it at all).

My two cents.

Sometimes I do wonder how businesses can survive with such thin margins without creative accounting.  Then I also realise many people are facing retrenchment, no savings for retirement and yet COE is still going up north.  So maybe there's something I am missing here.

 

No one is asking jokers like Cheah to do charity and do business at a loss.

But he has the check to go on media and tell blatant lies like no profit, all money go to govt and expenses

When he probably was resting during CB in his GCB bunglow

When he is definitely indirectly responsible for COVID explosion.

Ma de, that guy should kena blanket party

[Victor68]

19 hours ago, Sosaria said:

Yes, obviously, because they work overtime, save a lot of SGD, send back home, convert to bangla Taka, become Taka millionaire, buy land, buy houses, go back bangladesh and become the big boss. Everyone thinks that about FW and FT.

Hello, why would any FT or FW come all the way here to donate money? Obviously they find it 'lucrative' enough to come. Same, same we would be doing the same when we go anywhere. Will be very rich or not is another matter but worth the trouble.  This thread is about how the dom is being awarded, run and why no control lah. Everytime government plan something,  cannot to benefit a target group and ownself check ownself lah.

[Windwaver]

On 8/4/2020 at 9:02 PM, Voodooman said:

61% margin.  No wonder can have a weekend home at Sentosa.

Reminds me of slavery

[Windwaver]

22 hours ago, Lethalstrike said:

Even if govt gave special rights and reduce land lease to them, I doubt they will pass on the savings back to the market. They are a business, not a charity. Maybe they profit even more if land lease was reduced. 

Thing is, as a responsible business, it's their imperative to upkeep the conditions within the dorms. They can't simply have their cake during the good times and when shit blew up in their face as now, come out cry father cry mother say profit not enough to cover. Please lah, this trick Founder's Ba Kut Teh tried liao lah. 

I tried to be a responsible and honest business man earlier in my life but it doesn't work out because honest and responsible cannot make money.

无商不奸

 

[Lethalstrike]

1 hour ago, Windwaver said:

I tried to be a responsible and honest business man earlier in my life but it doesn't work out because honest and responsible cannot make money.

无商不奸

 

There's probably a degree of truth to this. A better way to put it across is when in business, one must be savvy. But that is different from being simply irresponsible. 

The dorm operator in question is lamenting this and that in the article, which to me is disgusting. They aren't the only business caught off-guard by the pandemic, but many conduct themselves in a more honest and honourable way to see things through. If they can't tahan, then fold lor. There's someone to take their place in this market anyway.