Instant disbursal –
Gold loan offers quick, hassle-free, and discreet application as well as disbursal process. You don’t need to visit any branch to complete the documentation requirements.
You will be provided with a limit of some amount which can be used to disbursed gold loan till the same amount. The Franchisee will book the loan and upload the necessary documents into the system. After utilisation of the limit, a MAG staff will come to your place of business and collect the gold ornaments, test them for authenticity and renew your limit.
High loan to value (LTV) –
The amount disbursed under a gold loan depends on the loan to value ratio offered by the lender, as well as the purity and weight of the pledged jewellery. MAG offers the highest LTV, allowing you to avail a substantial amount against the gold pledged.
LTV or loan to value ratio decides the maximum loan percentage that a lender can provide against the value of the pledged gold. A high LTV thus transcends to a sizable loan amount based on the gold available with you.
Safe and secure –
Gold loans as a form of franchise finance offer a secured borrowing facility. When you pledge your gold to MAG, your jewellery is taken with a GPS-trackable MAG staff and stored at the nearest partner bank’s safety vault. To prevent further risk of financial loss due to accident or theft, the pledged jewellery is backed by an insurance policy. Also, all the legal and technical backing will be provided by the MAG team for the said arrangement.
As for franchise and dealership business, it is only likely to increase over the years, touching new milestones and providing a robust source of revenue for the Indian economy. With the help of franchise finance in the form of gold loan, you can tap into the growing market and become a successful business owner with ease.