Car Racing without Money-Chapter 464 - 184: Building a Win-Win Partnership (Part 2)

Chapter 464: Chapter 184: Building a Win-Win Partnership (Part 2)

In the face of Chen Xiangbei’s rejection, Briatore showed no impatience.

Instead, he exhaled a puff of smoke and asked calmly, "Bei, do you know what the mid-term operational costs for the team are?"

"No idea."

"This number."

Hua Bu said as he extended his index finger, "At least a hundred million!"

"Even if we build a wind tunnel, the improvements in testing, production, and manufacturing still run up to tens of millions of US dollars."

"Not to mention team salaries and operational management costs, which are also in the millions."

"If we want to compete for the championship, we’re really short on money!"

Listening to Briatore, Chen Xiangbei remained silent.

He actually knew that mid-term operational costs for the team were considerable, but he kept quiet because he understood Briatore’s intentions better.

The old Italian rogue wasn’t saying this to brainwash him, he was either aiming to manipulate him or to push a deal.

"Kalanbant can’t be relied on; he doesn’t have the capital or experience to run an F1 team, and our current car is not as competitive as last year’s PA109. We can only hold out until we achieve results and secure investment from major sponsors."

"To solve this predicament, it requires both of us working together, leveraging your status and background as a Chinese driver, and my connections and resources in Europe to build a great team!"

Seeing Briatore gesticulating enthusiastically, growing more excited as he spoke.

Chen Xiangbei could only respond helplessly, "Manager, just say what you need to."

"I can bring in sponsorship from Nike and Intel."

Having said this, Briatore no longer played coy; he had two major sponsorship deals and didn’t want to let them slip away for free to Chen Xiangbei or the HRT team.

Every F1 team has its own apparel partners, often divided into racing suits for the race and casual wear for non-race times.

Racing suits are mostly sponsored by Puma and Adidas, the two officially partnered brands in F1. If you look closely at F1 drivers’ suits, you can see the Puma logo on the shoulders.

As for casual wear, it’s mostly fashion brands, like "BOSS."

Where there’s Adidas, there’s usually Nike.

Just like where there’s KFC, you’re likely to find a McDonald’s across the street.

Intel is the same.

AMD had already sponsored the Ferrari Team back in 2002 with an annual amount up to twenty million US dollars, enduring for eleven years until they ended the contract due to financial strain.

However, with the launch of Ryzen, AMD made a comeback to the F1 paddock in 2018, sponsoring not only the Ferrari Team but also Mercedes, demonstrating a substantial financial clout.

As a primary competitor, Intel followed suit in 2006 by sponsoring the BMW Sauber Team, continuing until the end of 2009.

As BMW withdrew in the 2010 season, Sauber participated as an independent team, leaving Intel temporarily without a sponsorship target.

Briatore hoped for Intel to switch to the HRT Team, which would become the greatest support for the team’s continuous operation!

It’s important to note that after F1 banned tobacco advertising in 2006, almost all small and medium teams faced financial crises, combined with the major impact of the financial crisis in 2008, which led to a wave of F1 team closures.

However, some opportunities opened up after the tobacco sponsorship era ended, with the rise of technology company sponsorships in F1.

Major tech companies like AMD, Intel, Oracle, Qualcomm entered the fray, along with renowned brands like Dell, HTC, HP, Logitech, forming the primary sponsorship force for F1 in recent years.

Later on, when Zhou Guanyu entered F1, he had the support of SenseTime Tech.

Compared to smaller sponsors, giants like Intel and Nike can obviously provide long-term and stable sponsorship contracts, which are immensely beneficial to team operations.

The reason is simple: stable sponsorship funds enable stable planning.

There’s no "black technology" bursting with inspiration inside the F1 paddock. To become a dynasty-building team evidently requires continuous and stable R&D investment, not just relying on sheer luck.

"How much can you bring in?"

"Twenty million US dollars."

[Twenty million US dollars?]

Hearing this figure, Chen Xiangbei was taken aback.

He’s accustomed to gauging Hua Bu with the greatest suspicion because dealing with the old Italian rogue necessitates caution.

For Chen Xiangbei, whatever sponsorship Hua Bu brings is just a ploy to coax him into signing an agent contract, with unknown traps along the way.

But the sponsorship amount gave him a shock.

Knowing that all the relations and friendly sponsorships he looked for back home, excluding the state’s capital stake purchase, only contributed less than twenty million US dollars to the actual team operations.

True, there are domestic and international economic disparities at play here, but even abroad, this is still no small amount. Similarly, "newcomers" like Lotus and Virgin Teams would likely not even get half of it.

Moreover, if this includes a personal endorsement from Chen Xiangbei, such as an advertisement logo on his racing suit, he could receive fifty percent of the cut.

It’s no exaggeration to say that Hua Bu is practically gifting him a few million dollars.

To make this back, the old Italian rogue would probably have to offer a "sold contract" as an agent deal.

"Briatore, what is it you want?"

Chen Xiangbei asked warily, not really believing Hua Bu could have any pure intentions.

"A twenty percent commission."

"Only twenty percent?"

This sponsorship was brought in by Hua Bu himself. Giving twenty percent was pure profit for Chen Xiangbei.

Plus, his annual salary is merely a million US dollars. Isn’t Hua Bu planning on taking an even split?

Perhaps guessing Chen Xiangbei’s puzzlement, Hua Bu’s face showed a trace of a disdainful smile.

"Bei, don’t forget, I’m essentially a businessman,"

"Only businessmen who focus on win-win scenarios can make collaborations last."

Though a rogue, in business, Briatore’s agent deals are known for their integrity.

This is why Schumacher, Alonso, even Weber and company have worked with Briatore for years without complaint.

He never hogs all the benefits!

"But if you look at the outcome, it seems like I’m earning more, isn’t it?" 𝚏𝗿𝗲𝐞𝐰𝚎𝕓𝐧𝚘𝘃𝗲𝐥.𝐜𝚘𝕞

Hearing Chen Xiangbei’s reply, Hua Bu grinned even wider.

"Don’t worry, I’ll earn it back."

"Bei, you will definitely become the next Alonso, even Schumacher!"

Once, that was just "advertising." Now, that’s the goal.

Briatore doesn’t engage in unprofitable deals; he’s betting on Chen Xiangbei’s future.

"Since you believe I’ll become the next Alonso or even Schumacher, then naturally the HRT Team will become a champion team."

"I think this sponsorship contract isn’t quite suitable."

Chen Xiangbei replied with deeper implications.

"What do you mean?"

Hua Bu immediately countered. A long-term high-value sponsorship of twenty million US dollars and it’s not suitable? What’s the Chinese kid up to?

At this time, Chen Xiangbei’s lips curled slightly, fingers tapping on his desk as he uttered three words.

"Add more money!"

Since Hua Bu wants to buy the future benefits, naturally he’ll have to sell it at a good price; that’s what a win-win is.

And with his godlike foresight, Chen Xiangbei knew AMD’s advertising contract with the Ferrari Team was twenty million US dollars annually, and a similar price for Adidas with Mercedes, along with free custom-made racing suits for the whole team.

Although HRT isn’t quite on par with today’s Ferrari or Mercedes, he believes with Hua Bu’s abilities, there is still room for negotiation.

Doesn’t the old Italian rogue like to squeeze drivers?

Now it’s time to squeeze his manager’s potential!

Hearing Chen Xiangbei’s demand for more money, Briatore was momentarily stunned.

He hadn’t expected such an answer from the always calm and composed Chen Xiangbei.

Then Hua Bu’s face broke into a relieved smile, feeling like today he truly got to know the real Chen Xiangbei. The kid had the same crazy gambler’s mentality as he himself!

"Total of thirty million US dollars, with ten million as personal endorsement. This is the best I can offer."

"Deal."

Chen Xiangbei agreed without hesitation, fully aware that future gains are built on present achievements.

The F1 paddock is unforgiving: no money, no results.

Even knowing his counterpart’s penchant for stirring up trouble, he still decided to gamble for a "win-win."

At the same time, offering a share was Chen Xiangbei’s usual strategy, akin to when he signed a cooperation with the Super Dream Team, dividing even a friendly sponsorship by fifty percent.

Only by tying mutual benefits, can the other party be fully committed.

"OK, then I’ll prepare the agent contract."

After Hua Bu spoke, he pressed the call button on his desk, and immediately a tall woman and a little girl came into view as the door opened.

Chen Xiangbei recognized her; she was Heidi Klum, the Victoria’s Secret model and Hua Bu’s ex-girlfriend who got pregnant out of wedlock.

"Bei, once the work is done, it’s time to relax. Would you like to join my party?"

"Thanks, but no thanks."

Chen Xiangbei politely declined, if he remembered correctly,