Speed, flexibility and service

Last week, shoppers were queuing overnight for days in London in  the rain, sleeping bags and folding chairs. This wasn’t for the start of the Selfridges sale or to see One Direction, but instead to become the first owners of Apple’s new iPhone.

Innovation, flexibility, image; Apple have (some of) us captivated by their whole package.  This is not too dissimilar from what a broker would be looking for in a Bridging lender. Luckily, in our case doesn’t involve camping overnight in the rain! So how can lenders evoke such positive reactions from intermediaries?

Speed is always associated with this sector of the market and seems a common factor when placing this type of transaction. This doesn’t necessarily mean  every case will complete in 24 hours but more the fact that it’s important to realise that the speed comes from everyone working together on the case to achieve a common goal.

Flexibility is another area that brokers require from their lender partners. Bridging finance has evolved from its traditional use from bridging the gap for a sale and purchase of a residential property to now being used for a wider commercial use such as capital raising, cash flow injections and business expansion.  Brokers require lenders that have proven expertise with the knowledge of reviewing cases in a pragmatic way where there may be some complexities on a case that don’t tick all the boxes. A good lender will identify the risks involved for the lender and the client; really understand the type of security that they are lending on, geographical location and clarity of exit. 

Service - this has to be the catalyst for all lenders, having a smooth process  that is consistent and easy to interact with, coupled with a proactive approach to get cases over the line. Now there may be some critics that would say rate, fees and, do I dare say remuneration, are fundamental drivers to placing cases. However without speed, flexibility and service the inevitable is that applications will crash and burn in this sector of the market wasting time, resource and more importantly, an unhappy client.  By this rationale the rates, fees and remuneration are not always the drivers on an application. Although, a client will always seek an affordable rate with acceptable costs, it is not always the only reason. 

The true cost of the application includes the cost for short term finance as part of the profit and loss of the overall project. So if the end result is profitable, surely the monthly and arrangements costs shouldn’t be a stumbling block when speed, flexibility and service are all in place.

Anyway must dash, I have an appointment with my chiropractor; my back still hurts from sleeping in a folding chair last Thursday night!