How To Start a Payday Loan Business

Payday loan businesses are popping up all over the United States, Canada, Mexico, the Carribbean, Australia, New Zealand, England, Ireland, and more. The payday loan industry may be the fastest growing financial segment - bar none! Not only can you find a payday loan store seeminly everywhere but additionally there are payday loan web sites as well. As a matter of fact, the payday loan internet component offers even greater rewards than the payday loan brick-n-mortar!

So, why is this so? Why is the payday loan industry growing at such a rapid rate? And why are a few of the most saavy financial minds entering this "loan shark" business segment? The answer, of course, is the TREMENDOUS PROFITS AVAILABLE! Depending on the state or province, payday loan consumers are paying $10 to $35 per $100 borrowed for a term averaging 8 days. These cash advance fees are equivalent to 480% to 1200% APR's (Annual Percentage Rate). These returns are simply PHENOMINAL!

Not only are the fantastic profits luring entrepreneurs to the payday loan industry but consumers throughout the world have an unsatiable demand for the payday loan product! Small loans ranging from a few hundred dollars to $1500 or more are in huge demand by cash strapped consumers everywhere on this planet. The demand for these so-called "micro-loans" is so profound that Muhammad Yunus who founded the Grameen Bank won the Nobel Peace Prize in 2006 for leveraging small loans to impoverished families. Take a look at his book; "Banker to the Poor: Micro-Lending & the Battle Against World Poverty". (Couldn't we use a portion of our profits and our business model to help families? Think about it!)

Sure, your're reading this and saying to yourself, "Who the heck needs to borrow $300 until their next paycheck? I cannot imagine". So, here are some quick payday loan demand statistics:

• Payday loans, just in the USA, are estimated to be a $40 billion to $50 billion dollar industry and still growing 20% to 30% annually! (Internet transactions are difficult to estimate)
• Publicly traded payday loan companies like: EZ Corp (Nasdaq: EZPW), Cash America (NYSE: CSH), QC Holdings (Nasdaq: QCCO), Advance America Cash Advance Centers (AEA), First Cash Financial Services (FCFS), and more are growing 20% to 40% in gross annual revenues and profits. Listen to their quarterly conference calls and check their 10K's.
• There are payday loan lead generating companies selling 20,000 plus leads per month for an average $25 to $35 each to payday loan operators. Note: in a recent Cash America conference call CEO Daniel R. Feehan stated as much. Here is a publicly traded payday loan company with net income for the first half of 2007 exceeding $32 million dollars buying thousands of payday loan applications every month.
• At a payday loan Internet forum, we talked to a payday loan operator purchasing 50,000 payday loan leads every day at an average $9.00 each. He claims to be funding 40% of them!
• We know from operating our own payday loan stores, attending FISCA & CFSA Conventions, analyizing the earnings reports for the publicly traded payday loan companies, and having performed dozens of consulting assignments that even a payday loan single store operator can gross an "average" 30% return on their "street money". Many operators have even higher margins! $100,000 loaned out on "the street" (average loan $278.00 X 360 loans) could result in a $30,000 gross monthly profit! THIS IS WHY OUR INDUSTRY IS IN HYPER GROWTH!
• 12 to 14 million households were served last year.
• 100 million transactions occurred last year
• At a CFSA Payday Loan Convention, Mike Flores, a very respected analyist with Bretton Woods at the time, projected there will be 50,000,000 consumers of payday loans in the USA alone. (Note: we are certain this figure is low.) He also estimated there are roughly 14,000 to 18,000 payday loan stores and this number will grow to 60,000 USA locations! We are not even close yet!
• It has been estimated that 70% of us live paycheck-to-paycheck. One small setback, we search out a pawnshop, a friend, a family member, or a payday loan store.

Payday loans were developed to help a person receive the money they need today without having to wait until their next paycheck.

We delay the deposit of their personal check until their next pay day, which is usually less than 2 weeks away.

With a payday loan, they get the cash they need before their next payday!!

PAYDAY LOANS or PAYCHECK ADVANCES are one of the fastest growing businesses in the US, Canada, Australia, Costa Rica, South Africa, England, and others. It's the ideal complement to your present business or as a new establishment. If you have a 5 ft. by 5 ft. area available, you can turn it into additional income.

We are helping entrepreneurs open payday advance offices everywhere! There is a tremendous opportunity for individuals to open a payday advance business and get in on the ground floor of a wonderful, money making business. You can even open a Payday Loan business in conjunction with your existing business. Pawn shops, check cashers, liquor stores, car and truck rental companies, furniture rental stores, etc., are opening payday advance loan businesses.

A typical 8 day paycheck advance extended to your client will yield an annual percentage rate on your money of 805%!. Starting costs vary tremendously and are determined by your goals. A new store might require leases, first and last plus a deposit, signage, licenses, phones, etc. Adding a payday advance loan business opportunity to an existing business requires hardly more than working capital, business cards, flyers, advertising, forms, etc.

Payday Advance Loan working capital requirements are determined by you! We have heard of new deferred deposit operators who began with less than $2500.

Order a Payday Loan Training Manual on-line from our secure, encrypted server.

To purchase the Payday Loan Training Manual, $297.45 with Priority Mail USPS Shipping, e-mail us, fax us, pick-up the phone and call us, or ORDER ON-LINE now via Our Secure Order Form. Checks and credit cards are accepted.

Payday Loan Manual On-line Ordering Available

A paycheck loan or paycheck advance business is easy to operate IF YOU KNOW HOW TO CONTROL IT. Typically, you advance your check to your client and accept their personal check for an amount in excess of the amount of your check. Your accepting a check, giving the writer less than its face amount, and holding it for an agreed upon period of time. Thus, paycheck advance or paycheck loan or deferred deposit or...

The rationale behind the boom in payday loans is perceived high credit card rates and high bank fees for bounced checks. Immediate gratification by the consumer is another driving force in the deferred deposit business. There is nowhere a consumer can go for a small loan in an emergency. Banks don't do it and loan companies are too slow and complicated. High check bouncing fees drive the business. Banks charge a $20.00 fee and more for bouncing a check (even more for a 2nd or 3rd!). Then the original recepient of the check charges a fee. (Remember the recipient's bank charges a fee to them!) That can make a paycheck advance/deferred deposit fee the best choice.

To achieve success and make SERIOUS MONEY you need Information. Our Payday Loan Manual & Seminars cover the following Topics:

• 3-Ring Binder totaling nearly 600 pages
• CD with forms, contracts, disclosures, arbitration agreements and more
• Industry Overview
• Industry Analysis
• Pckg with Your State License Application (if applicable0,Legislation & Laws
• Step-by-step procedures
• Strategies
• Tactics
• Manloading & Personnel
• How to build your business
• How to screen your customers
• How to advertise
• How to handle problems
• Laws affecting your business
• What type of equipment you will need
• How to select a great location for your store
• Manual or computer managed?
• How to select your bank
• Forms required
• Vendors who will guarantee your customers checks 100%
• State and federal permits/licenses
• Telephone Support
• Operating an Internet Payday Business
• Borrower identification tactics and data bases
• Check recovery services
• Industry trade magazines
• Payday loan indutry trade organizations, conventions & workshops
• Payday loan guarantee vendors. NEVER lose a dime of your money
• How to become an affiliate/agent of a Nationally Chartered Bank
• Subprime Consumer Reporting Services
• ACH & EFT methodology
• ATM card procedures
• Electronic Funds Transfer.
• What software is appropriate? What to look for? Vendor contact & pricing info.How to get great payday loan software for less than $750
• Collections
• APR formula with examples
• Compliance issues.
• Arbitration discussion
• Demographics
• Marketing
• Infomercial source
• Photo/Signature capture
• Industry Resources & periodicals
• Business Plan & cash flow projections on the CD
• Forms, advertising materials, and links to more information
• Discussion of alternative methods for conducting Payday advances. (InternetService Provider/cash rebate, Sale-Leaseback, Catalog sales, etc.
• Additional income possibilities & Traffic Builders
• Discussion of alternative methods for conducting Payday advances. (Sale-Leaseback, Catalog sales, etc.
• Additional income possibilities & Traffic Builders
• Includes our Canadian Payday Loan Report when we ship to Canada - a $39.95 VALUE !
• Includes our Payday Loan Software Report - a $39.95 VALUE !
• Includes Australian Pay Day Loan Report when we ship to Australia - a $39.95 VALUE !

Don't Need Any hand Holding? Just want the Payday Loan Training Manual & the Forms with 2 hours of Telephone Support?

Purchase Payday Training Manual-Now