As a broker, it’s important to continuously look for ways to expand and diversify your services in order to stay competitive in an ever-evolving market. One area that may be worth considering is commercial lending.
By offering this type of financing to businesses, you can help them secure the funds they need for various purposes such as purchasing equipment or expanding operations.
Not only does this provide a valuable service to your clients, it also has the potential to build long-lasting relationships and open up new opportunities for your business.
If you’re interested in learning more about the potential benefits of adding commercial lending to your portfolio, read on.
In 2023, brokers have a unique opportunity to diversify their offerings and increase their client base by adding commercial lending services to their portfolio.
With rising interest rates and an unpredictable economy, businesses are seeking alternative sources of financing for operations such as purchasing equipment or expanding.
By offering commercial loans, brokers can help business owners secure financing without the lengthy bank loan process or the risk of personal assets associated with traditional loans from lenders like banks or credit unions.
Additionally, providing this service allows brokers to build relationships with clients that may lead to future financial service needs.
Commercial loans offer several advantages over traditional bank loans or lines of credit: they can be customised according to each business’s specific needs, and they often offer greater transparency and flexibility — making them attractive solutions for many businesses.
The current economic climate can make it difficult for small business owners without access to large amounts of cash reserves. This creates a growing need for working capital solutions, which brokers are well-equipped to provide.
By diversifying and adding commercial lending services, brokers can take advantage of new markets and networks, protecting their income stream and providing flexibility should certain sectors become less profitable.
There is also potential to expand into related areas such as helping clients find suitable investments, further increasing revenue streams down the line.
If you’re interested in building experience in the field of commercial lending, take advantage of onboarding and training opportunities. These will help you quickly understand the ins and outs of working capital and give you the confidence and support you need to successfully secure commercial deals.
With a saturated mortgage market and rising rates, now is a prime opportunity for brokers to diversify their offerings and increase their client base by adding commercial lending services.
By providing this service, brokers can help businesses secure financing and build relationships, while also protecting their income stream and adding flexibility to their portfolio.
Onboarding and training opportunities are available to help brokers quickly get up to speed and understand the benefits, trade-offs, and best practices for their clients. To find out more about our broker incentives, visit our partners section and get in touch with our team.
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