Beware of promises made by rogue commercial brokers, warns NACFB
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The NACFB recently formed a fraud committee to crack down on commercial advisers who charge upfront fees and then claim they cannot place cases.
But Adam Tyler, chief executive of the NACFB, says a large number of residential brokers have been fooled by bulk emails and national press adverts in which commercial brokers promise to obtain offers on unplaceable cases for an upfront fee.
Tyler says that in some cases brokers' clients have paid £25,000 in upfront fees only to be informed later that their deals can't be done.
He says: "We have received a large number of complaints from residential brokers. Sometimes they don't know much about commercial cases and in despair go to companies that promise they can process their cases."
He advises residential brokers with commercial leads to contact the NACFB to be put in touch with reputable commercial brokers.
