London brokerage Cobalt Capital has created a 5m recruitment fighting fund and is offering prospective employees who sign up a 50,000 golden handshake.
The fund is enough to enable Cobalt to poach, for example, the entire team of staff from rival brokerages. The fund can be utilised to buy other broker firms outright, and Cobalt has confirmed that it is carefully looking at at least two brokerages.
Julian Ingall, managing partner at Cobalt Capital, says: “The advantage we have is that this money has been raised ourselves, so we keep our independence. This means that if we want to do something quickly we can discuss the matter internally without having to get anyone else’s agreement.
“It gives us a competitive advantage especially when it comes to recruitment as we have no set rules and start with a blank piece of paper. If we can justify the commercial sense in doing a deal we can move forward quickly.”
The fund was created in a bid to solve the recent recruitment crisis and increase competition between firms. By offering golden handshakes of around 50,000 Cobalt believes it will be able to recruit some of its biggest competitors’ key staff and the best brokers in the market.
On top of this, the 5m fund is rumoured to not be the maximum amount Cobalt can draw upon, with rumours circulating of access to double this amount.
Deirdre McManus, head of sales at Bristol & West Mortgages, says: “This should allow Cobalt to attract additional high calibre individuals to complement its existing high profile team.”
Cobalt has also launched an exclusive Portfolio Debt Management Service, targeted at landlords looking to build up a portfolio of properties or who already have a portfolio of 10 or more properties.
It says the aim is to unlock the full potential of landlords’ portfolios and manage the debt in as cost-efficient a manner as possible.