Chinese pawn industry
(1) Current status of the Chinese pawn industry
The limitation of financing channels and the slow expansion of asset scale According to Article 28 of the latest edition of the “Pawn Management Measures” formulated by the Ministry of Commerce, the pawnshops may not finance from places other than commercial banks and the leverage shall not exceed 1.5 times.
In addition, the only new pawn listed in the New Third Board, Dingrun Investment, was suspended due to regulatory policy in August 2017, and the New Third Board financing business was suspended. For the above reasons, most pawn shops still rely on their own funds to operate. Also, due to the limitation of the liability side, the overall business capacity of the pawn industry is difficult to grow, and the cumulative issuance of gold has remained below 350 billion yuan in recent years, and has declined year after year after 2014.
The national pawn industry supervision information system shows that as of June 2017, the total assets of the pawn industry in the country were flat compared with last year, the total liabilities and pawn total decreased slightly, the profit level fell seriously, and the overall business risk was at a low level.
(II) Overall operation
1. The total assets were basically flat and the debt level decreased.
As of the end of June 2017, there were 8,472 pawn enterprises and 955 branches in the country with a registered capital of 170.45 billion yuan and 48,000 employees. The total assets of the company were 164.10 billion yuan, which was basically the same as last year. Total liabilities totaled 10.51 billion yuan, down 5.1% year-on-year.
2. The total amount of pawn has decreased.
From January to June 2017, the total amount of pawn in the industry was 169.03 billion yuan, a decrease of 12.85 billion yuan compared with the same period of the previous year, a decrease of 7.1%.
3. The pawn balance decreased slightly.
As of the end of June 2017, the pawn balance was 88.59 billion yuan, a decrease of 1.78 billion yuan compared with the same period of the previous year, a year-on-year decrease of 2.0%.
4. The business structure remains stable.
According to the total amount of pawn, from January to June 2017, the movable pawn business accounted for 33.07% of the total business; the real estate pawn business accounted for 51.17%; the property rights pawn business accounted for 15.76%.
(3) Future development trend of pawn industry
1. Pawn management will become more specialized
In the past, most of the pawnshop operations adopted a diversified strategy. The pawn items involved gold and silver jewelry, antique calligraphy and painting, machinery and equipment, and real estate stocks. As market risks increase, pawn operators begin to take the road of specialization in order to avoid risks and improve market competitiveness. Pawn shops in various places have appeared specialized business trends with certain types or types of pawn items. For example, pawn enterprises in Liaoning, Heilongjiang and Chongqing are mainly based on real estate pawn. Some pawn enterprises in Jiangsu mainly use gold diamond ornaments. Pawns such as watches and watches are the main pawn, and pawnshops in Anhui, Shandong, Jiangxi and other places mainly rely on pawn of property rights (such as stocks, management rights, etc.).
2. SMEs will dominate the pawn service target
The service objects of the traditional pawnshops are mainly individual residents. Because of the urgent needs of the family, they only go to the pawnshops for financing. Now, due to the development of the market economy, people's concepts have changed, and more and more business enterprises have been established. Private enterprises, partnerships, and private enterprises. The total number has accounted for more than 90% of the total number of enterprises in China. Many residents and individual bosses no longer use their personal status to finance the pawnshop. The service object of the pawn has shown a trend of change from the individual to the business SME. In the future, most of the pawnshop's personal-oriented business will be relegated from the original primary position to the secondary position, and the SMEs will be in the pawn service target. Take the lead.
3. Business pawn becomes the leading pawn business
With the improvement of the level of market economy development, China's social financing system has become increasingly sound, and official and non-official financing channels have become increasingly abundant. SME owners, private owners, and industrial and commercial self-employed households, which mainly focus on production and management, have developed into pawnshops. Customers, they are relatively large-scale financing, relatively fast, and will dominate the consumer pawn in the entire pawn business, while the consumer pawn will retreat to a secondary position. Therefore, from the perspective of long-term development, China's pawn type will show a trend of change from a consumer pawn to a business pawn. This is determined by the development of the social function of pawn financing under the current national conditions in China, but does not exclude a few pawnshops. Positioning the market with individual residents and consumer pawns.
4. The pawn industry will develop in rural areas.
The existing layout of pawn enterprises in China is uneven, unevenly distributed, showing more cities, fewer counties and districts, more in the east, less in the west, more cities in large and medium-sized cities, almost blank status and characteristics of rural areas, combined with rural financial system reform and China's county economy. The diversified demand for funds in the development process, as well as the urgent need and dependence of the majority of farmers on production and operation funds, will inevitably lead the pawn investors to turn to the rural areas where the demand has great potential. China is a big agricultural country. The development of rural economy with Chinese characteristics is financial support that cannot leave multiple financing channels. Therefore, the layout of China's future pawn industry will gradually develop from large and medium-sized cities to counties, districts, towns and other rural areas.
As a new and old industry, the pawn industry once set off a boom in the whole industry. In the near future, facing the increasingly severe economic situation, the pawn industry also has its own problems, such as: the legal system is not perfect, the industry norms are not perfect, the business structure of the industry is unreasonable, and the development of the enterprise is not balanced. However, the development of all things has its own rules and processes. As an emerging old industry, it also needs to go through the necessary stage of enterprise development. As a growing industry, it needs to constantly explore and innovate, complete its own breaking into the butterfly, and hope that the future pawnshop will Not only can you add more flowers to your business, but you can also contribute to the snow!