Online Pawnshop in Singapore possible?

Pawnshops

The other day, I was talking to li jiuan about the pawn shop business in Singapore. I notice that Maxi-Cash a chain pawn shop operator positions itself different from others. It is uncommon to see advertisements on pawn shop in Singapore media, but Maxi-cash does it different, they have been publicizing heavily on TV and having mediacrop artiste endorsing for them.

Then we were discussing, how do pawn shop actually work?  is it a legal loanshark? does it work like a bank?

Maybe it really works almost like a bank –

For example: A pawn shop

A customer goes to a pawn shop with his jewelery

Pawn it > collect cash (less than market value)

if the customer return with cash within the redemption date (usually 3 months) to redeem his jewelery then he just need to pay some interest on top of his principle

otherwise if it passed the redemption period the pawn shop is free to auction off the item.

In a bank, it works the same

A customer used his house as mortgage – takes up a loan

if he pays up on time (principle and interest) , he gets back his deed otherwise he loses his home.

Then a random thought came, maybe we can set up a pawnshop next time > since it work almost like a bank and setting up a bank requires huge capital and many many regulations. maybe we can set up a smaller amount to have a pawn shop? I was thinking why not we do it online?

Well this is what I found what I did a search on google.

http://www.internetpawn.com/ > This is a start up in US that just raised US1.5M

Can you believe it US1.5M for an online pawnshop? > I wonder if you proposed an online pawn shop to SPRING, would they fund it for SGD50k?

Well anyway, just to note “Internet Pawn was established in 2009 by people who’ve actually owned and operated a chain of brick-and-mortar pawn shops in different states”

so they actually physical shops, we were thinking the business model would work in Singapore with only online presence? then many questions were arises

  1. where will you keep the items ? Safe?
  2. How do I access the value of the items?
  3. Are you experienced?
  4. and many others….(which we neverreally think through)

but for those who are interested into this business , these are just some of the pawnshops in Singapore with both offline and online presences

  1. Moneymax
  2. Hengseng Pawnshop
  3. Maxi-Cash
  4. Valuemax

*list of pawnshops in Singapore and how does pawnshops work

and oh by the way, what spark the topic on pawnshops, simply because of the opening of Resort world and Marina Bay sands – we guess that maybe with more gamblers, there will be higher demand for people to pawn their to raise short-term cash / loans 🙂

so will pawnshops complement to the business of the 2 new casinos that another story all together.


Advertisements

7 thoughts on “Online Pawnshop in Singapore possible?

  1. I Think its a great idea opening up a pawn shop near casino’s. It may seem to be preying on people with a gambeling addiction but at the end of the day it is business and I have a feeling that this will do very well.

    1. Yeah… agreed with you
      but it seems like getting a license for a pawn shop in Singapore is not easy as I thought. Currently doing more research on it, will keep posted 🙂

    1. Hi Cash for Gold,

      Nice to hear from you, I read up your site before 🙂

      A very good business model i must say to bring cash for gold onto a online platform 🙂

      would like to learn more from you about the business operations if my online pawn shops come up 🙂

  2. Why not setup business which people can “pawn website” for money? Ha3… they can pawn the website when they have moeny… and they can redeem back their valuable website when they have enough money. 🙂

  3. Hi Good afternoon, i have a question? i pawned my Laptop to a so calles pawning services that i found in the newspaper here ing Singapore, but when the time that i want to collect it the person said that my loptop is been sold to another person, and until now he’s avoiding me and doing nothing to solve the problem. What should i do? do i need to report to police? please help for any solution…thank you so much and looking forward for your reply. have a pleasant day…

    1. Hi

      Did you attempt to collect ur laptop before your due date, if you did. I think you been tricked.

      I think you could highlight your case to the police or you may like to try the following agency – http://www.case.org.sg/
      They help consumers. you can find out more from the above link

      Good luck 😀

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s