Bill Warren, network director of The Complete Network, has urged packager firms to make the most of opportunities for business development as FSA regulation approaches.
Speaking at the recent IIR Mortgage World conference, Bill Warren warned packager firms of the dangers of isolating themselves from the regulated environment, which could result in business stagnating.
He said that statutory regulation is a giant step forward for many packagers, who were not covered by the previous voluntary MCCB self-regulation scheme.
He says: “Although it may be tempting to sit tight and do nothing, there are real businesses growth opportunities emerging for packagers, as the inevitable consolidation in the distribution market starts to gain momentum. Evolution is one route forward, offering opportunities for smaller firms to merge or start broking. Acquisition is another option with smaller firms now possibly looking for a purchaser. There should be plenty of choice for medium-sized packagers to grow in this way. Lenders are also looking to invest in well-run, successful packager firms.
“The technical messages about FSA compliance should be well understood by now, but there is a danger that the wider opportunities for business growth have been neglected so far. Now that every packager who is really serious about getting authorised has more or less completed their preparations, it's time for a more creative, positive and optimistic approach to developing businesses into the future.”