An Upscale Pawnbroker Offers an Alternative Form of FinancingA men's clothing retailer pawns his Harley-Davidson to keep his store open.
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Losing the lease on his Manhattan storefront left men's clothing and costume designer Michele Savoia scrambling for funds last summer, traditionally his slowest time of year.House of Savoia--which caters to Broadway, film and TV productions and individual clients--is a thriving business. But the lengthy legal battle Savoia waged trying to stop his landlord from hiking his rent sapped his savings.
To get over the financial hump, Savoia put up his prized 1958 Harley-Davidson as collateral for a $5,000 loan from borro, a high-end, modern-day pawnbroker that makes same-day loans of $1,000 to $1 million against luxury cars, watches, jewelry, fine art, antiques and other personal assets. Appraisers--20 in borro's New York office and throughout the U.S.--meet borrowers in person to make their valuations (or the service can be completed online). Loans typically span six months, although extensions are negotiable. Borrowers who fail to repay their loan forfeit their assets.
