PORAN SINGH
Montclair, NJ (USA)
Role(s):
Founder/Owner/Principal
NJ Gold Spot
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Startup
Location:
Montclair
Industry:
Other
Year Founded:
2011
Number Employees:
1-10 people
Business Stage:
Growth (profitable)
Entity Type:
Not Incorporated
Description:
The Pawn Shop will act as a short term collateralized lender that will accept jewelry, electronics, certain musical instruments, and other objects of resalable value with the intent to provide a loan to the customer. These loans will typically be for a two week period and will carry a loan to collateral value ratio of 50% or more. If, during the two week period, the customer does not come back in to pay the loan, the Company will then auction the merchandise off or sell it back to the general public.
The Company anticipates a default rate of about 60% on the loans, which means that the business will generate a substantial portion of its income from the sale of customer inventories that have lapsed beyond the loan period. The Company will comply with all state and federal laws guiding the operation of pawn shops.
The third section of the business plan will further describe the services offered by the Pawn Shop.