Brokerplan are now on Instagram!
Brokerplan Are Now On Instagram View Profile Where to find us… Facebook Twitter Linkedin Youtube Instagram
Network Conference 2019
Network Conference 2019 Tuesday 18th June 2019 | Arden Hotel, Birmingham On Tuesday 18th June, Brokerplan held their first ever network conference. Joined by over 50 network partners and lenders, the event was a busy and exciting day for all. The conference included roundtable discussions with lenders, an awards presentation, motivational speaker and networking. Previous Next Award Winners To recognise the truly outstanding work that our network partners have achieved over the past year, Brokerplan held an awards ceremony during the conference. Below is a list of our 2019 winners and their award category. Best Newcomer – Mark Everard (Michaels Commercial) Most Completed Cases – Rob Griffin (Aspired Finance) Permanently Polite – Andrew Wattsford (Wattsford Commercial Finance) Best Case Submission – Chris Harrington (Ela’s Business Finance) Client Care – Carl Clarke (Focus Lending) Kind of Compliance – Bobby Paul (Abundant Finance) Most Determined – Joy Dowell (Hadrian Capital Finance) Laissez-faire – James Wallis (Aben Financial) Client Relations – Richard & Rachel Knowles (Element Finance) Best First Case – Justin Matravers (Choice Commercial Finance) Positive Perseverance – Mark Pilsbury (STAG Capital Finance) Broker of the Year – Darren Peacock (Peacock Finance) Roundtables Brokerplan were joined by lenders: Precise Mortgages, Close Brothers, Bibby Financial Services, Affirmative Finance, Shawbrook, Paragon, Cambridge & Counties, Redwood Bank, Lloyds Bank and Pension Led Funding. Lenders presented to our Network partners, discussing criteria, products, rates, case studies and commission structures. Previous Next Motivational SpeakerStuart Myers – World at your feet Conference attendees were treated to a presentation by Stuart Myers from World at your feet solutions. An inspiring and motivational presentation – more information about Stuart and his company here: https://www.facebook.com/worldatyourfeetsolutions/ Post-Conference Meal After the conference, Brokerplan staff were joined by partners and lenders for curry at a local restaurant.
Case Study – HMO Development
Case Study – HMO Development Development Finance Deal with Bridging Finance Client: Highly experienced multi-unit developer and landlord. Owns HMO properties with licenses. 2nd Deal (Returning Client) Purpose of Loan: Purchase & Development – £512,000 loan (Development Tranche 200k, initial Advance 312k) – 12-month loan Project: Development of former 18-bedroom, 2 storey care home Into a House of Multiple Occupancy (HMO) with four ‘cluster’ flats (2 per floor) of 5 and 6 beds – Each flat having shared kitchen/dining/sitting room, each bedroom with its own bathroom. Exit: Refinance on completion Partner Commission: £512,000 of funding was arranged with Mint Bridging for the client. 60% of the total case commission was paid to the partner – Which totalled £6,144
Case Study – CBM Cafe Purchase
Case Study – CBM Cafe Purchase Earlier this year one of Brokerplan’s network partners approached the case team to source funding via a commercial mortgage. The client who has an existing mobile catering business which they have grown over the last 14 years, intended to buy a freehold building consisting of a trading café and a self-contained residential flat, for a total consideration of £225,000. The client had a gifted deposit from family and had equity in their own property. The café’s current owners were retiring and winding down the business, leaving an opportunity for someone to take over the business and help it reach its full potential. £145,000 of funding was arranged with Natwest Bank for the client which has enabled them to purchase the café and flat. 60% of the total case commission was paid to the partner – Which totaled £1,566.
Case Study – Accountancy Acquisition
Case Study – Accountancy Acquisition Unsecured Business Loan for Accountant We were approached by an accountant who needed a loan for £500,000 to acquire the goodwill of an existing accounting practice. This would allow a significant synergy of staff and skills and the acquired business was to be fully incorporated into the existing accountancy business. The client already ran a profitable accountancy practice and although we suggested that either he or ourselves could approach a high street lender we were told speed was of the essence. The client had already approached a previous broker who had put together a quite competent package of lending for £275,000 with a “coalition of the willing”; a series of asset finance providers working together, but when we worked out what they were charging the client as a blended overall cost of finance it was over 14% APR over terms of 36 to 60 months. We structured a deal from a single provider instead that didn’t quite get to the same level (£250,000) but at a rate of 8.05% APR fully over 60 months, this enabled the client to negotiate with the vendor a higher level of deferred consideration (with the balance in 12 months) and so these funds proved to be enough. From application to approval took 1 working day but in the main due to the client timing his purchase with the vendor it then took a further 2 weeks but at the end of this 2 weeks the money was in the clients account. To win the business from the other broker the fee structure was minimised to a £4k earn but as an example of how to take business away from the competition who had, by our calculations, put in over £10k of fees into their proposal this shows solidly the speed of unsecured business lending. In addition – with this lender we can loan up to £500,000 and so when the client has to pay the balance of purchase in 12 months’ time then of course we are well placed to also provide that finance and of course …. earn further commission.
Case Study – BTL Fishguard
Case Study – BTL Fishguard Case Overview Type of Loan – Buy to Let Purpose of Loan – Refinance to Capital Raise Security – 2 bedroom terrace in Fishguard Value of Loan – £108,750 Details & Difficulties Time taken from submission to completion – New case came into the practice on the 5th February for assessment, application put through to Precise Mortgages on the 13th February and the cases completed on the 28th March. The security is adjacent to the applicants residential – Some lenders will refuse applications on this basis. One applicant had an outstanding tax bill that needed to be cleared prior to the offer. The valuation came in at £10,000 lower than anticipated so the available loan was reduced accordingly. Had to take a 5 year fixed rate due to the rental stress test. Partner Commission Gross Fees Generated – £1631.25 Lender – Precise Mortgages Any Subsequent Fees/Opportunities as a result – client also currently has a commercial application with us to refinance their commercial property
Case Study – Spot Factoring
Case Study – Spot Factoring Factoring case provides regular monthly income for Network Partner The Network Partner who submitted this deal to Brokerplan was approached by a domestic and commercial plumbing and heating contractors with a “high quality problem”. They had just won a number of new contracts, but due to the size of these and the terms agreed they now had a cash flow problem. A factoring agreement for the monies that they had outstanding was deemed to be ideal but the clients wanted the ability to just spot factor those invoices they needed and so this was exactly what was arranged with a spot factor called Select. This wasn’t a set facility – as with a whole of book factor – but an agreement to support the clients with one of their clients. This facility was agreed in May 2018 and every month to date the clients have used it with the fee income earned monthly varying from £675 to £3,181. In 10 months this one client, using one facility has paid out £19,905 in fee income for this Network Partner and it sees no sign of stopping – last month they received just short of £3,000 This was an instance where rather than arrange a single loan for the client a more flexible on-going facility was requested which had the added benefit of paying the Network Partner out not just a one-off payment but a monthly trail income. The clients and Partner continue to be happy with the flexibility of this arrangement!
Brokerplan Named Best Commercial Finance Network – UK
Brokerplan Names Best Commercial Finance Network UK Brokerplan has been named the ‘Best Commercial Finance Network – UK in 2018’ by Corporate Vision Magazine. The award was voted for by industry professionals as part of CV’s annual franchise awards. Corporate Vision released their award winners with the following statement… “Franchises are a shining light within local economies the world over, despite the struggles that are befalling the business world. {…} However, Corporate Vision wants to do more than just celebrate the accomplishments of the franchisees. We want to celebrate the franchisors who make these opportunities available and we want to recognise those who make all this possible, from those who work in franchise recruitment, to those who make everything financially possible. As with every single one of our award programmes, the Franchise Awards are given on merit alone. This means that the number of votes received, size of nominated firms or financial incentives play no part in the crowning of this year’s winners, with all recipients instead being decided upon through an exhaustive and rigorous research and judging process, carried out by our dedicated in-house team. Rest assured that only the most deserving nominees have walked away with one of our prestigious awards.” Read Corporate Vision’s Article Here
Case Study – BTL Purchase
Case Study – BTL Purchase Case Overview Type of Loan – Buy to Let Purpose of Loan – To purchase the adjoining house to their residential to add to their portfolio Security – 3 bed terrace valued at £430,000 Value of Loan – £322,500 Details and Difficulties Time Taken from Submission to Completion – 5 months but some delays were due to vendor Difficulties Overcome – 4 applicants in a limited company with two having no experience. The experienced applicants had income below £25,000. Exit Strategy – sale of property Anything else that makes the case stand out/unusual/exciting – First case for a new AR, not all lenders are comfortable when clients are purchasing houses that are adjoining their own/other properties they already own. Partner Commision Gross Fees Generated – £2607.50 Lender – Precise Mortgages Any Subsequent Fees/Opportunities as a result – Clients are portfolio landlords so may make further purchases
Case Study – BTL Refinance
Case Study – BTL Refinance Case Overview Type of Loan – Buy to Let Purpose of loan – To refinance BTL property held in late husband’s name. Applicant was left with several properties which need to be transferred into her name following the death of her husband. This was the first property. She also raised some money to pay off some of her residential mortgage. Security – 2 bed apartment in a converted former Victorian school Value and Term of the Loan – £206,250 over 25 years Details and Difficulties Time Taken from Submission to Completion – The application was put through to Precise on 12th September and completed 5th December. There were some delays caused due to the complications involved with the probate. Difficulties Overcome – This case involved probate, rent being paid through the solicitor, transfer of ownership and a slight down-valuation. Exit Strategy – Sale of security Anything else that makes the case stand out/unusual/exciting – The underwriters scrutinised the rest of the portfolio in detail and asked for a lot of supporting documents to evidence rental income which was being paid through the client’s solicitor as it was in her late husband’s name. Just before we thought we were ready to complete, the client was advised by her conveyancer that the offer was invalid as she hadn’t owned the property for 6 months prior to the application. This clause did not apply in this case but the solicitor caused the client a great deal of unnecessary distress and took a lot of convincing, before she would continue with the conveyancing work. Partner Commission Gross Fees Generated – £1531.25 Lender – Precise Mortgages Any Subsequent Fees/Opportunities as a result – The applicant does have other properties that she may need to transfer and refinance
