How do I sell my pawn shop?
To sell a pawn shop, tidy the loan ledger and pledge records, keep owned stock clearly apart from goods held for customers, plan how to stay open and quiet during the sale, and find out early how the buyer will be licensed. Ask your lawyer and accountant to guide the steps that carry legal or tax weight.
Selling a pawn shop is different from selling a store, because your vault holds property that is not yours. A buyer will test how well you keep track of it. Start preparing well before you speak to anyone, and expect the work to take longer than you think.
Get the records in order
Make sure every open loan matches an item in the vault and every item matches a ledger entry. Fix gaps now, not when a buyer finds them. Gather several years of statements, your inventory records and a plain summary of how the shop earns. Your accountant can help present them clearly. Our guide to selling a jewellery store covers some of the same ground for owned stock.
Keep the shop steady and quiet
Customers and staff may worry if they hear the shop is for sale. Keep opening hours, lending practices and service as they are. Share information only with serious buyers who have signed a confidentiality agreement, and give them the full picture in stages. If a sale falls through, know your options when a buyer misuses what they learned.
Find the right buyer
If the buyer needs its own licence to run a pawn shop, a sale may depend on the buyer being approved. Ask your lawyer how that affects timing and what your agreement should say. Ask the lawyer, too, how goods held for customers and records are to be handed over. BDC explains how to find the right buyer.
Related reading
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Buying
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Canada Revenue AgencyGovernmentSelling a business
- 02Business Development Bank of CanadaGovernmentHow to minimize negotiations when selling your business
- 03Business Development Bank of CanadaGovernmentHow to Find the Right Buyer for Your Business
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