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What is Cash America's formula for a pawnshop valuation? |
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Cash America is a cash flow purchaser. Primarily, our valuation is based on projected cash flow and the return on our anticipated investment. |
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What does Cash America need from me to provide a valuation on my pawnshop? |
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We will initially require income statements used for tax purposes, as well as earning-asset reports (pawn loan and inventory balances) from your pawn operating system. |
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Are there other factors that add value to my pawnshop? |
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There are several indirect factors that enhance pawnshop value. For example:
- Licensing availability, i.e., is there a moratorium on licenses or zoning restrictions?
- Potential upside regarding products not currently offered
- Location of the shop
- Lease terms
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Does historical financial performance affect the valuation? |
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No. The historical financial performance only establishes asset trending. Our assumption-based projections are the primary valuation factor. |
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What assurances do I have with regard to confidentiality? |
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Cash America provides confidentiality agreements to prospective sellers to protect the confidentiality of your data and business practices. |
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