at least as SAFE AS HOUSES
by Just Loans, last updated on 2nd April 2012
Looking for a solid investment? A Just Loans franchise guarantees 20% return
According to Rueben Skipper, ‘There is a lot of cash out in the market looking for a safe home at the moment. As at September 2011, bank deposits accounted for over $101 billion of household savings – up $10 billion from two years ago, and more than $35 billion up compared to September 2006. But after the credit crunch and the bursting of the property bubble, people are just too scared to do anything with it, so they keep it in the bank gaining a measly four percent or so interest. If they took a closer look at what the Just Loans franchise has to offer, I think many of them would be very interested.’
Rueben Skipper is the founder of Just Loans and attributes the considerable business success he has achieved at the age of just 38 to keeping a clear focus on facts. Over the past decade, this natural entrepreneur has established a number of companies including the very successful franchise, The Coffee Guy. Four years ago, he established a new business, Just Loans, to be unlike any other finance company operating in New Zealand.
‘I’ve never bought into the doom and gloom approach to the economy,’ he says. ‘My firm belief is that if the fundamentals of a business are solid, it will do more than survive an economic downturn – it will thrive and grow. The credit crunch signalled an opportunity to me and I developed the Just Loans business model after examining all the mistakes made by previous finance companies.’
Just Loans, which specialises in making small personal loans from $500 to $5,000, was an immediate success and, once Rueben had proven that it worked as planned, he started franchising. Two years later, there are five Just Loans franchisees, all doing very well – so well, in fact, that the first thing Rueben invites any prospective buyer to do is pick up the phone and call them.
‘Now we are looking for more franchisees throughout New Zealand. I think some people still think there is a bit of a stigma about finance companies but, as our franchisees have found out, it pays to look past the emotion and instead examine the rational evaluations and endorsements that Just Loans has been given by lawyers, accountants and other franchise advisors. Just Loans is a company with integrity that offers a fair product and the best service to our clients. That’s why we are called “Just” Loans.’
The Just Loans business model is simple, transparent, has a very low level of risk and is highly profitable – so much so, the franchise agreement carries the guarantee of a 20 percent annual return on investment or the difference will be made up by the franchisor. Rueben says he remains confident no existing or future franchisee will ever need to pull the ripcord of this financial parachute.
‘The key difference between Just Loans and others in the finance industry is that each franchisee is lending their own money – we recommend franchisees have around $100,000 working capital available. In my experience, most of our loans are used to pay unexpected bills such as car repairs, funeral expenses or urgent travel, but they are also used to buy cars, renovate homes and consolidate debt.’
‘All loan enquiries initially come to Just Loans’ office where we undertake the standard credit application process which includes credit scoring and risk assessment. Leads are not passed on to franchisees until these preliminary criteria have been met. Keeping this process centralised means greater consistency and better control over the quality of clients,’ Rueben explains. ‘Interest rates are also controlled by the franchisor to ensure a fair and competitive level for clients, and a fair return for franchisees.
‘And none of our franchisees are doing it by themselves. Our team is in constant communication with them providing information, support and, or course, new clients. Our relationship with our franchisees is the most important thing to us. If they are happy then we are happy; if they make money then we make money.’
A Just Loans franchise is adaptable to the needs of the franchisee. ‘You could be looking to work full-time for a solid income, or a business person looking to build an asset for the future, or a retired couple seeking a passive income. The system is flexible and can require as little as a few hours per week to operate,’ says Rueben. ‘At only $19,995+gst, Just Loans can offer an excellent return on your time and money with very low overheads.
‘Given the success of all our franchisees, you would think that people would be lining up to learn more about this opportunity, but New Zealanders are currently scared to invest in anything other than term deposits and property. They need to look closely at the fundamentals and clear their heads of sentiment. If they do this, they’ll see that the Just Loans franchise is at least as safe as houses. Give me a call and find out how you can achieve 20 percent return on your money - guaranteed.’
This advertorial is taken from Franchise New Zealand magazine Volume 20 Issue 4
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