Pawn Business

I once analyzed a loan request from a large, regional pawn company. I learned more about the pawn broker business in two days than I knew about it from all my years before.

One thing I learned is that pawn brokers really don't want the customer to repay the loan if the pawned merchandise is gold or silver jewelry. The demand for those metals for smelting purposes was the real cash cow for the business. The company even operated its own smelting plant just for the melting down the jewelry that was not reclaimed.

All of the the other pawned items just need to help cover the fixed costs of the company.

The highest operational expense was for security. Burglars and armed robbers just love those places!

I love Pawn Stars

no..... Pawn Stars a show on History Channel, pretty addicitve

Pawn Stars

quote:

---

no..... Pawn Stars a show on History Channel, pretty addicitve

---

Oh, sorry. I thought you said "porn stars."

It's all about the doofus known as Chumley, one can't make that shite up.

I bet you could make a killing laundering drug money. Lots of cash transactions, all kinds of different inventory rolling through. Rob yourself once in a while...

I bet the Old Man and Rick have made a shite ton of money out of that business.

It's a cash business ... the amount of money that goes in and out that store on a daily basis has to be almost unbelievable ... and then it disappears and never shows up again on the P/L report ...

In a recent episode it was stated they have 400 people enter the store per day, wwwwwooooooo, money.

Pawn stores are usually in shadiest areas of town, so that's not too surprising. I wonder if any of them are "fronts" for something else on the side.