Cash Converters takes over its own outlets

Cash Converters, the second-hand goods specialist, has hit the expansion button for Scotland as it looks to open up to an additional 50 stores north of the Border.

The firm outlined its growth ambitions yesterday after buying back the "sub-master" franchise licence for Scotland in a deal worth 420,000.

It said the agreement provided it with "the opportunity to substantially increase its store network".

There are currently ten franchised Cash Converters outlets in Scotland which are contracted to pay weekly fees totalling almost 190,000 a year. Under the terms of the agreement, 70 per cent of those fees were retained by the previous franchise holder - Cash Converters (Scotland) Limited.

Cash Converters International, which started from a single store in Australia, in 1984, will acquire that income stream, plus the rights to develop the store network in Scotland "to its full potential of about 60 stores", the group said.

David Patrick, head of Cash Converters UK, said: "(The deal] will allow us to accelerate the growth of our store network and rollout of our financial services products in Scotland in line with what we are doing in the rest of the UK."