Capital and technology had long been the two major problems afflicting the private economy. The government was still adopting a "Wait and See" attitude towards this form of economy. It wasn't until ten years later, in 1992, that policies on loans for private enterprises were introduced.

The four brothers sold everything they owned of any value, including their watches and bikes, and raised 1,000 yuan. With it they bought 2000 chickens from the county trade cooperative. And so the entrepreneurial history of the family began.

Just as the Lius were setting up their business, the sensational occurrence known as the "Eight Kings Event" was happening in Liuzhou, in Guangxi Zhuang Autonomous Region. Eight business people from Liuzhou were arrested, on charges of "speculation" and causing "severe disturbance to the economic order". In 1982, the CPC Central Committee and the State Council had ratified the Decision on Cracking Down on Economic Crimes. Following this, 1,640,000 cases of economic crimes were filed, 860,000 of which were dealt with by law, 30,000 criminals were sentenced, and fines totaling 320 million yuan were levied.

These events had a profound influence on many self-employed businesspeople.

On January the 4th, 1985, People's Daily published a commentary, under the headline: What Specialized Farmers Fear. It highlighted in particular their fear of policy changes.

Chen Yuxin said, "Policy risks were probably the most serious, given the unforeseeable consequences. We were uncertain about the extent of our country's development, and about what was allowed."

Liu Yonghao said, "I was under enormous pressure, not only money-wise but also physically and mentally. No one would give up teaching to become self-employed then."

Zhong Guanglin said, "Some county officials blamed me for letting them go. They said: "Zhong Guanglin, what were you doing allowing a graduate to turn capitalist?""

On January the 22nd, 1987, the CPC Central Committee adopted a decision, called Deepening Rural Reform. It was the first document since the reform and opening to acknowledge the inevitability of individual and private enterprise in the primary stage of socialism. Effectively, the long-neglected private economy was given an official vote of approval.

The Lius achieved output value of 100,000 yuan in their first year of doing business. They were the envy of their neighbours. Their breeding farm was growing, and more and more orders were coming in.