Jim Giovinazzo Surge in Obtaining Quick Finance by Small Entrepreneurs
It was said by Pawnbroker H&T that it was seeing a surge in providing the finance to small business owners as the conventional sources of credit dried up. According to the company plumbers, electricians and other tradesmen increasingly searching the alternative sources of finances for their enterprises. Chief executive John Nichols said that there is a downturn in credit availability to small enterprises from conventional high street banks. As a result a surge in small business customers such as builders, plumbers and many other small entrepreneurs are taking the finance from the firms. They use H&T as a solution which can tide them over for a month.
As per H&T, it was being witnessed as an alluring alternative gratitude to its lack of red tape and speed of transaction. When non-business people take the credit then it remains for longer period. On the other hand, entrepreneurs borrow the amount for the short span of time, hardly for a month. Around three-and-half months are averages on providing conventional cash aid for the non-entrepreneurs.
The full-year result revenue slip of H&T shows the profit margin of 125.5m. According to it, profit before tax was also down 8pc at 23.5m. The fall in profits was put by company down to one-off effect of the sale of an important amount of stock last year. Besides, adjusted gross profits were calculated up 5.8pc to 65.4m. The tough economic climate is going on in the company but still it said that there was no increase being seen by it in the average time customers who were leaving products with H&T before redeeming them. Need urgent cash apply with 12 month cash loans and get required cash in quick way.
But, there was a demand for the leading firm to open more stores. Last year, it opened its 25 outlets and is expecting to open them in same amount in the year 2012. Company also stated that it was seeing the borrowers taking the amount by pledging the entities of higher value like jewellery and gold watches. Stephen Fenerty, the commercial director of the firm said that the company has seen more high value watches and gem standard jewellery coming into the shop in the last 1 year. The company deals in gold in the vast majority. The high price of gold is helpful in attracting more business. On 7th June, the company will pay a 7p final dividend. So the total of the year will become to 10¾p which will be a 13.2pc increase on 2010.