Sold. Unsecured Loan Books

Unsecured Loan Books
Ref.CG066
Location Operated from Essex
Asking Price GBP 210,000
This business provides home collected credit and unsecured personal cash loans made available over a selection of weekly terms. With over 250 clients the loan books value is GBP62,000and GBP47,000 respectivelyproducing profits of GBP47,000+GBP34,000.
As a member of the Consumer Credit Association the Business operates under the rules of the Consumer Credit Act 1974.

The business offers weekly loan terms available at varying rates of interest. The business in general offers interest rates of between 846.5% and 1276.1% APR for home collected credit and between 2-3.5% per month for the higher value loans.

The business operates in two Essex towns with the right kind of demographics and has a widespread, loyal customer base.

The collector calls on the customers on a weekly basis, to collect payments and to provide customers with on-going credit facilities as required. The vast majority of payments are collected face to face, on the door.

The business enjoys a 98% retention rate amongst its clients and a collection ratio of 80%.

Most loans are currently between GBP200 and GBP800.

Expansion Potential
The business has the ability to grow substantially. New customers at present are generated just through word of mouth referrals. Advertising via the local press, via the internet and via door to door leafleting campaigns would provide a substantial boost to the business.

Market / Competition / Non-Competition Agreements
The business does not currently advertise