Medallion Financial Began As a Taxi Cab Business
The American Dream in three generations
It takes a very large dream then hard, tenacious work. More...
Andy Murstein (top right) took his family's cab to Wall Street and transformed this business into a billion-dollar banking enterprise.
New York City: Medallion Financial was started by an immigrant taxi driver and today, it is a major NYC finance company. When three successive generations keep focused on the family businesses, it can grow quickly. The Murstein family went from cabs to financing medallions in one generation. They became a Small Business Investment Company. Then, in the third generation, after an IPO and subsequent rounds, they buy finance companies. In three generations, this family grew a billion dollar business.
Learn about debt and equity capital. What will you do with your business? Could it be sustained beyond your lifetime? If so, consider an IPO or a DPO. Get some liquidity. Consider the M&A market. Are you growing a team to take over?
Andy Murstein is a regular guy and there are great lessons for each of us within Medallion Financial. Even those of us who are not on the way to becoming a billion dollar business, this episode of the show is on the money.
This is a truly remarkable statement from Andy, "Medallion Financial is the largest SBA lender in the US to women and minority-owned companies. It has been lending money to disadvantaged business owners for over 50 years. In the taxi industry it has lent over 1 billion dollars and with zero loses."
Small Business Investment Company. Consider that extraordinary quote from Andy ... Medallion Financial became a very large Small Business Investment Company (SBIC) very quickly because they were already doing it! They were doing exactly what grandfather asked them to do: Stick to your niche and you'll get rich.