Even if you have healthy investments and some assets of value, you might find that your funds are tied up when you’re in need of cash to cover unexpected expenses. This is where high-end pawnbrokers come in.
What are high-end pawnbrokers?
High-end pawnbrokers offer quick, discreet loans, accepting assets of value as collateral.
Once the loans and agreed interest are repaid, the assets are returned to the owner.
For example, high-end pawnbrokers may accept assets such as luxury cars, yachts, diamond rings or valuable pieces of art.
Based on the value of these assets, they may offer short-term loans in the hundreds of thousands or even millions.
These lenders are a far cry from the stereotypical, corner-store pawnbrokers associated with inner city areas (and a much poorer clientele).
The growth of asset-based lending worldwide
KPMG notes that in the UK, asset-based lending (ABL) has evolved from being a lender of last resort to “a credible alternative lending product.”
In fact, the industry is growing worldwide at a phenomenal rate.
According to UK Finance, the value of invoice finance and asset-based lending in the United Kingdom stood at a whopping £22.7 billion by the end of 2018.
This is 2.5% higher than for the same period in 2017. Growth was especially marked among SMEs.
The industry is also booming in the United States, where wealthy entrepreneurs are increasingly pawning their assets to finance business ideas.
In one example, a client had just a week to close the deal on a valuable piece of property. A bank loan would have taken too long to secure. So he pawned four luxury watches, receiving a $400,000 loan within 48 hours from a high-end pawnbroker.
A growing number of high-end pawnbrokers in South Africa now operate online, making it especially convenient for individuals and businesses to access finance.
Benefits of high-end pawnbrokers
Worldwide, both small to medium businesses and individuals are turning to high-end pawnbrokers because they provide loans significantly faster, more discreetly and with less “fuss” than banks.
Reputable high-end pawnbrokers in South Africa also offer these benefits over traditional bank loans:
- a simple, very quick application process
- privacy – no data is shared with credit bureaux or other third parties
- no minimum salary requirements (so you can apply even if you don’t have a traditional monthly income)
- funds paid via EFT, often within 24 hours
- compliance with the National Credit Regulator.
Asset-based loans with lamna
At lamna, we offer fast, discreet loans against the value of a wide range of high-end assets, including luxury vehicles, art, jewellery and even aircraft.
Our past loans to clients have ranged from R20,000 all the way up to R10 million and more in value.
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