ACE Money Express, Inc. Early Reputation For Check-Cashing Industry

ACE Money Express, Inc. Early Reputation For Check-Cashing Industry

Expansion: 1988-97

From the inception, ACE had to locate its way in this moving monetary solutions landscape. Much more tumultuous was the known proven fact that the organization quickly needed to battle a 1987 takeover effort by money America Global Inc., a system of pawn stores desperate to enhance its operations. The publicly exchanged money America eventually abandoned the acquisition due to issues on Wall Street that the business ended up being venturing too far afield from the core pawn store company. The company ’ s top priority in an effort to maintain ACE ’ s leading position in an increasingly competitive industry in the aftermath of Cash America ’ s bid, ACE president Don Neustadt and chairman and CEO Ray Hemmig made expansion.

In keeping with its give attention to development, ACE launched 52 stores that are new 1987 and 1989. By 1990, ACE reported income of $16.6 million. Although its operations remained very concentrated in Texas and Colorado, the business additionally looked for possibilities to enter extra areas. To the end, ACE sought to obtain Check Express, another big check-cashing string, in 1991. Strongly found in the southeast, Check Express offered ACE a foothold into brand new areas. The offer ended up being rejected, nevertheless, by Check Express ’ s board of directors in 1991 november. ACE ’ s sales for the 12 months rose to $20 million nonetheless.

Spurned by Check Express, ACE opted to fuel a public stock offering to its growth alternatively.

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