role as a straw borrower in the Lincoln Savings and Loan Association collapse, formed Duck Ventures, Inc. in 1990 and bought Ugly Duckling's assets. Later he started Ugly Duckling Holdings, Inc. and made Duck Ventures a subsidiary. Ugly Duckling had two car dealers, one in Phoenix and one in Tucson, by 1992. The company bought three more dealers but added four new ones, giving them an appearance comparable to a standard dealer, rather than the unpleasant look most subprime lots had. One dealer closed in 1994 because it did not live up to the new image. Ugly Duckling also tried an experiment in Gilbert, Arizona, selling newer and more expensive cars, but ultimately sold that dealer in 1995. In 1994, Ugly Duckling bought Champion Financial Services from Steve Darak, making Darak Chief Financial Officer. The company had a new source of income—buying installment contracts from other dealers, still considered subprime, but from customers more affluent than Ugly Duckling usually had. Ugly Duckling arranged financing in several ways. The company prepared tax returns and let people use their expected refunds for down payments. The company allowed people to get Visa credit cards by paying a deposit to Visa. Also, those who made payments on time could have their down payment refunded, usually 10 to 15 percent of the purchase price. The dealers had repair service, and a buyer could obtain a repair contract. And unlike most car dealers, Ugly Duckling let customers make their payments with cash. In 1996, Garcia took the company, then based out of Phoenix, Arizona, public on the NASDAQ exchange, where the company traded as "UGLY"; this raised $170 million for the business. By this time, the company had gained regional fame; William Gibson, an analyst for Cruttenden Roth, said in Investor's Business Daily in 1996, "You go to Tucson or Phoenix and people know The Duck. It's an icon in those cities." Ugly Duckling began to exit the rental car business. 100 franchises closed by August 1996, and the other 40 would close over the next ten years as their contracts expired. GE Capital increased its credit line to $100 million in 1996. With new financing sources, Ugly Duckling began a major expansion program. The company bought five dealers and $25 million in finance contracts from Seminole Capital Corporation in the Tampa/St. Petersburg area. For $26.3 million, Ugly Duckling bought some assets of E-Z Plan Inc.