We are operating in difficult times – Dale Jannels

Some of these might be deemed relatively mundane under ‘normal’ circumstances, but we are currently operating in a world which is far from ‘normal’.

What this period has done is bring the best out of many people and highlighted some strength in adversity.

Working remotely means people have to better understand their roles, and that these roles are clearly defined.

It’s interesting to note how intermediary firms are currently coping and how they view the future.

Only third of brokers have plans for falling volumes

United Trust Bank’s latest broker sentiment survey found just 30 per cent of brokers have plans in place to deal with a significant reduction in business volumes.

It also found that 60 per cent of commercial finance brokers were “substantially reassessing” their business outlook for the year, which a few months ago, saw 37 per cent predicting business growth of over 10 per cent in 2020.

Meanwhile, the loss of third-party services was suggested to be something that only 23 per cent of brokers are ready for.

When asked about making contingency plans, 15 per cent of respondents replied they have none so far but were making preparations, while 11 per cent replied in the negative to both having plans and having any intention to form any.

Value in partnerships and referrals

There is no doubt that we are operating in difficult times and who knows what the future will hold, but the value in partnerships, strategic affiliations and referrals will only intensify over the coming period.

There are different types of worries facing clients, which require additional levels of intermediary help.

Advisers are required to support clients with financial worries and those in need of payment holidays. This is important, time-consuming work but it sadly does not help pay the bills.

However, there are also still cases out there which require speed, specialist knowledge and established relationships to find the right solutions to match individual client needs.

Especially when lenders are overhauling products left, right and centre.

These are also the types of cases which continue to highlight the value attached to packagers and our relationships with a variety of specialist lenders.

And it’s these specialist lenders who still have the appetite to provide funding during a time when many are struggling to access responsible and appropriate forms of finance to complete deals which have turned even more complex.

Valuable revenue

Intermediaries who don’t have referral relationships in place could be missing out on valuable revenue streams and potentially closing the door on some alternative lending solutions for their clients.

Not to mention, being able to pass over time-consuming administrative burdens, allowing more time to concentrate on the shifting needs of existing clients and other revenue generating activities.

These relationships also earn brokers a referral fee while maintaining full client retention, be this for regulated or non-regulated cases.

So, I urge brokers to engage with packagers as they can quickly recognise how to move forward with certain cases and have valuable relationships with specialist lenders who can provide the right solution in a timely manner.

These might just be the types of relationships which make a real difference in helping more clients than you might think and helping your business to survive and prosper over the short, medium and longer terms.