The self-employed broker model was created to give intermediaries an option to work for themselves, while retaining the help and support of an employer.
Brokers in the self-employed division have access to sales managers, who help and support them from making business plans and ensuring regulatory compliance to helping brokers find introducers.
There are no monthly fees and the model works on commission for both the brokers and Just Mortgages.
Just Mortgages claims that while employed brokers tend to get between 40-50% commission, its self-employed brokers can earn up to 85% commission.
The division is headed up by Carl Parker, who was with Countrywide for 23 years, including a final position as the head of Countrywide mortgage services.
Parker has recruited 13 brokers and three sales managers thus far this year, with plans to increase intermediary numbers to around 150 by the end of 2018, and 250 by 2023.
“Unlike other networks with self-employed arms, we do not charge a monthly fee. It is therefore in everyone’s best interest for the brokers to be successful,” said Parker.
Parker said that staff turnover has been significantly reduced since launching the self-employed option, as it offers brokers independence as well as support.
“It is all about diversification. Brokers – including those currently employed at Just Mortgages – are increasingly looking to go self-employed, but are reluctant to give up the support they’re getting from their employers, so we looked at how we could offer a solution,” said Parker.
Currently, each sales manager has no more than 40 brokers each to support.
“Although we want to grow, we don’t want to grow too fast. The key to our success is the experience and support we offer our brokers, so we need to make sure the ratio is right,” he continued.
Parker added: “The key to our success is great support from highly experienced managers have all been brokers themselves and whose own livelihood depends on the success of the brokers, and paying great commission.”