Dusty's Digital Digest | Business Pages
The payday loan industry has come under a lot of criticism lately for taking advantage of a vulnerable section of society by charging extremely high, some argue illegally high, rate of interest. But, one new business owner Sigrid Schultz wants to change this. A new immigrant to Canada, Brampton to be exact, from Switzerland, Siggy (as he refers to himself) brings years of experience in the Swiss style of banking which he has transposed onto his new financial 'payday loan' business. He wants to transform the image of a sleazy run down neon lit shop serving poverty stricken individuals to more of a traditional discreet, elegant, rich looking establishment similar to the banks in his homeland of Switzerland. He makes a good point that the fees and interest rates charged justify such a look.
So, I took a trip down to the stately looking store front on Dundas Street to chat with Siggy about his new venture.
Why here and why now?
Canada is far behind in the financial world, especially in the payday loan market. There appears to be only one choice for those looking for a payday loan, the discount store. The market for high end payday loans is untouched, is unserved. Every other industry has multiple levels of quality, why not the payday loan market? It was time for someone, it just happened to be me, to come in and provide a high quality service and product.
What makes you think this will work?
I don't mean any disrespect by my Swiss bluntness here, but, have you looked into the profit margins in this industry? Some products are reaching 300% interest rates! That is unheard of in any developed country, especially in a legal business. You hear of the underground market full of loan sharks, I believe you call them here, and big men sent to break an arm charging this high of interest rates. So I think, why not take the legal route and do the payday loan business?
What will set you apart from these 'discount' payday loan firms?
That is an easy one Dusty - Service, style, and complimentary beverages. Service will be upmost. I want to replicate the style found in Switzerland. One where you know your banker, and trust your banker, more than their wife. That was a joke. One of upmost discretion as well. Our look will also be important. I know I would not sleep at night if the banker dealing with my money was not wearing at least a three piece Armani suit back when I lived in Europe. Even our overdue bill collectors will be required to wear a jacket, no synthetics either. Lastly we will bring the Swiss tradition of having a drink when dealing with money; espresso, cappuccino, champagne will all be offered.
I wished Siggy 'goodluck', finished my espresso, and made my way out the door. On my way out I did hear positive comments from the many patrons coming and going. One gentleman was coming in for his third meeting, and glass of champagne, of the day. It was only ten in the morning. If Siggy's shop attracts customers at this rate there is a 300% guarantee it will be successful for many years to come.
Dusty | GTA | 12:35 pm
No comments:
Post a Comment