Recession Resistant Revenue Stream!!
This high-end pawn shop in Orange County provides consumers quick, convenient, and confidential ways to borrow money. Ideally located, they draw customers from surrounding neighborhoods, both affluent and lower-middle class. Their primary revenue streams are reselling retail items and providing personal loans for customers’ collateral.
70% of revenue is retail sales; half is sold in the shop and the other half online. The shop acquires inventory when a customer defaults on their loan and sacrifices their collateral, or when they spot a good deal online. The other 30% of revenue is interest from loans; they take personal property as collateral, loaning customers 40-50% of its’ resale value. The state regulated pawn loans are a fixed 4-month term and are rewritten every 4 months. If pawned interest is not paid after 4 months, the customer enters a 10-day grace period. At the end of the grace period, the customer's collateral becomes the property of pawn shop, which the owner then resells. The shop has built a robust loan portfolio, with over $300k of outstanding principle backed by collateral with a resale value over $600k. Most of all the owner has done a fantastic job of building out a first-class pawn shop that appeals to folks with a wide range of financial and retail needs!
The seller is relocating, so it’s time to sell the business. A Buyer can step into a solid foundation and take this lucrative pawn shop to the next level. The website could use a serious refresh, as it doesn’t currently showcase a wide variety of in-demand consumer items. A marketing-savvy Buyer could also grow the social media and promote to a larger consumer market. This Pawn Shop is a rare, profitable, niche business opportunity for a Buyer to operate the business and realize a multiple 6-figure income, or hire a manager and still bring home 6-figures. Pawn shops typically do well in down economies when cash is tight, so this is a great recession resistant business! Interested? Contact the Agent today!
Business is home-based
No lease information found.
Open: 7 Days a Week None
Bottomline Business Brokers is sharing information about this Business for Sale under the terms of your current, signed Non-Disclosure Agreement. If you visit this business, please do so discreetly. Do not contact owner, employees, landlord, suppliers, or other tenants! Thank you.
We advise all clients to seek independent legal, tax, accounting, and other professional advice prior to making a purchase decision. The information contained herein has been obtained from the Seller. Bottomline Business Brokers (BRE # 01926680) makes no warranty or representation, express or implied, as to the accuracy of this information, and is submitted subject to errors, omissions, change of terms, withdrawal without notice, and any specific listing conditions imposed by our principals.
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