There are several reasons that independent pawn brokers should consider selling sooner rather than later. The most compelling reason is that market trends have created a climate that is ideal for pawn shop owners looking to profit highly from their investments in their businesses. The second is that this climate will not last forever.
Some of the factors that have caused the seller’s market to ripen include:
• the publicly-traded pawn companies’ need to gain larger pieces of the market in order to remain competitive and meet the wants and needs of shareholders,
• selling prices that reflect the future earnings potential of independent pawn shops (or, in other words, that reflect what the pawn shops will be worth to the buyers after they are purchased), and
• high gold prices that benefit loan balances.
Not ready to exit the pawn business entirely? You can still capitalize on the current seller’s market by using the cash you acquire from selling to re-invest in your next pawn shop and reposition yourself in the marketplace with a reorganized capital structure.
Considering retirement? Now is the time to sell if you want to get the most out of the sale of your business and prepare for a comfortable future.
Today’s seller’s market is a window that may not be open for long. Don’t pass up the chance to benefit from these ideal, but temporary, market conditions. Instead, enlist Stallcup Group as your exit strategy consulting partner. We will do our best to make sure that your timely decision to sell results in a sale price that reflects the true value of your business.