Collateral loans are the fast, hassle-free way to solve short-term cash flow issues in your business.
A story in last month’s San Francisco Times highlighted the fact that many pawn brokers are transforming themselves into “luxury lenders” and presenting a huge lending opportunity for small business owners. When it comes to getting fast cash for business needs, consumers now have a variety of options to choose from, including online businesses like Pawngo and iPawn as well as brick and mortar stores like Gems & Jewelry Inc..
For many lenders, the decision to go upscale has been driven by the market. First and foremost, demand for luxury-based collateral loans has been very strong, with borrowers looking for fast sources of cash due to the stagnant bank lending arena. Both individuals needing cash for personal use and small businesses needing operating capital have been flocking to high-end pawnshops to raise large sums of money fast, with no credit check, income check, or lengthy bank approval process needed.
Secondly, in some cases the neighborhoods around traditional pawnshops have actually become revitalized and reinvigorated to the point where a whole new clientele moves into the area. Customers then begin bringing art and luxury watches into the shop rather than stereos and power tools and also seem to approach the collateral loan process with considerably more business savvy.
Both of these market factors affected one San Francisco shop profiled in the Times last month. The small, family-owned pawn shop suddenly found itself in a newly trendy neighborhood and was soon lending $5 to $6 million per year. Many small business owners began frequenting the shop, requesting loans for everything from opening new donut shops to launching a tech startup to closing investment or real estate deals.
At Gems & Jewelry Inc., we too have been seeing an infusion of small business borrowers in our store. If you are looking for a reliable provider of a high-end collateral loan for your small business, we encourage you to come visit us rather than using an online service. Of course, certain large items that we accept at Gems & Jewelry Inc. such as cars, boats, and airplanes, as well as delicate items like artwork, are hardly suitable for sending through the mail. But more importantly, we offer a personal touch and the ability to see where your items will be stored securely for the duration of the loan. Come take advantage of our in-person opportunity for small business owners to leverage their personal assets to provide startup capital or cash infusions.
