Brokers can build a new client base

15 March 2010

Commercial finance business levels are down and traditional sources of finance have diminished.

This situation offers a chance for brokers to grow their client base, as small businesses run out of ideas to raise cash and need professional advice.

A recent survey by the Forum of Private Business in conjunction with commercial credit reference agency Graydon UK shows the desperate measures some small businesses are taking.

Of the 750 firms surveyed 28% of owners had turned to their relatives or other directors for private loans, while 8% had used their personal credit cards.

Worse still, of the 40% that were unable to access the finance they needed in late 2009 52% were refused business loans and 38% were refused extensions on their overdraft facilities.

Businesses seeking funding are losing faith in their ability to deal directly with their traditional sources of finance.

And herein lies the opportunity for commercial finance advisers who can market their expertise to a large number of new clients.

Our Commercial First Partnership is encouraging members to offer their clients access to practitioners who can help them claim capital allowances successfully.

It also offers access to a cash advance service for businesses, plus an overdraft alternative.

The market we are operating in provides brokers with a great opportunity to seize a loyal base of clients and lay the foundation of future profits.