07
Jul

Where to Open Payday & Title Loan Stores

Where to open a new car title or payday loan store?

Alright, after months of researching the payday loan and car title lending industry you’ve finally decided to pull the trigger and launch your new business. Sure, you’ve read our chapter focused on “Site Selection” in our  “How to Start a Car Title Loan Business Manual” or our “Payday Loan Bible.” And you’ve visited dozens of your competition’s stores. You’ve got a few loans to see how it works. You’ve talked to employees of your competition just as we suggest.

But I know what you’re feeling about now! FEAR!! In spite of all the hard work you’ve done to prepare for this day, you’re still nervous. I know because I was where you are today. Back in 1998 I opened my first payday loan store in Garden Grove, Calif. That was followed by a car title loan store in Mission Viejo.

Signing on the bottom line of that 3 year store lease was SCARY. And there was NO STARTUP MANUALS to walk me through all the laws, the loan management software, the marketing strategies, collection tactics, borrower underwriting and all the other pieces that a Lender needs to successfully run a small dollar credit store.

But, after reducing the shaking in my hand I signed on the bottom line of the Lease Agreement and never looked back.

That was 15 stores ago plus the launch of several highly successful Internet portfolios, mentions in the Wall Street Journal, New York Times, Bloomberg…

So, in a nutshell, where would I open a new payday or car title loan business TODAY? In a Walmart. Or next door to one. Or across the street… Not possible for you? Then near a tax return business with a well known brand (Think H & R Block) and lot’s of clients. Or near a highly successful pawn shop chain. Or, a well known and branded check cashing chain like Ace.

You get the point. Borrowers who qualify for payday loans and car title loans have the following:

  • Jobs. Or at least some kind of steady income you can verify
  • Bank accounts.
  • Household incomes of $18,000 to roughly $85,000 annually
  • They shop at Walmart, Target, get their taxes done…

Click here to invest in our “How to Start a Payday Loan Business” or “How to Start a Car Title Loan Business” and learn how to dump your day job and achieve serious success in the small dollar credit space. Just follow our model…

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Comments ( 4 )
  • Larry beebe says:

    Ok, I work for a private 40 store company and all of their stores are in two large metropolitan areas except our store which is out by itself 3 hrs away in a smaller city making it hard for them to check on store physically, cross train or move an employee at last minute to cover for sickness,vacation from their other stores ect…. would it be smarter to make them an offer to purchase first instead of starting own from ground up and having one more store in the area market? Their store does numbers ,almost exact, to your example you use when est. how much a store will make in the PDL business! Lmk

    • jerjer says:

      Why buy their store and pay a premium? If they truly cannot manage this store and you can kick their ass with a better location, better customer service, longer hours…

  • Larry beebe says:

    I have actually been working at a PDL company for the last 6 months trying to learn all i can on what it takes to run a PDL company .im also going to purchase your bible to read ,now that it wont look so greek to me. My question is
    will i be able to find an investor to back me financially to start my own PDL company with the experience and knowledge i will already have?

    • jerjer says:

      Well of course, the answer to your question depends on you! Typically, friends and family are your first solution. They know you, they know you’re work ethic, they know the likelihood of you’re success… Investors are a different breed. But, you’re having worked in the payday loan industry – in the trenches – is HUGE!

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