Joe Henkenius’ Post

Every consumer wants the rates of the big players in Finance but rarely meets these significant requirements. This is where having the right team comes to mind. 1️⃣ Finance/ Mortgage Broker 2️⃣ Accountant etc The Brokers job is to present you the best option/s for your specific needs and requirements AND who is most likely to approve your application. A lot of the time that "interest rate" you were "indicatively" provided by the big banks for example will NOT be approved based on the whole application. (that has not been assessed yet) Why? You may ask.. good question! Well, because at this stage only a soft touch has been conducted on your credit file and nothing else.. 1️⃣ Bank statements 2️⃣ Current work history or 3️⃣ Residential information.. are yet to have been considered.. Curious to find out if we can get you approved for your finance needs? Reach out for a more in-depth conversation. 📞 #finance #business

“YOU CREATE OPPORTUNITIES BY PERFORMING, NOT COMPLAINING” I read this quote by Muriel Siebert today, she was the 1st woman to head up a NYSE member firm and joined the exchange in December 1967. In a time when there always appear to be many complainers, I found the quotation thought-provoking. In UK business finance, for many years SME leaders have complained that their bank is not providing the support they need. But have the High St banks become more supportive as a result? In fact, should you trust any reluctant supplier to offer the support you desire to grow and prosper. I’d argue it’s a flawed strategy. The “Big” banks though are very active lenders to the alternate finance market, acting as wholesalers to the retailer, that have a genuine appetite to serve the SME sector. However, rather than the big 4, 5, or 6 banks of old, there are more than 100 alternate lenders, each with unique products that are directed at their preferred businesses. Having a relationship with a trusted finance broker is the pathway to obtaining the best product and terms for your business from alternate lenders. Indeed, many only work with brokers because this ensures that only the enquiries they seek are steered to their underwriters. Would it be more productive to recognise your bank delivers the clearing service you require, but that debt arrangements made via a broker will help with both the relationship and outcomes you seek? Did you know that brokers are usually paid by those lenders, so you’ll never receive an invoice for their service? Do you agree with Muriel Siebert? To start a conversation please message me, call 07557 980473 or email jerry@bftrust.co.uk

Prospect: “I have relationships at the major banks. Who are the 2 lenders you were thinking to bring this to? I want to make sure we are not duplicating efforts if we move forward.” Kyle: “Sounds like you’re picturing running select banking options yourself?” Prospect: “I will continue with the banks I’m talking too. If you have others in mind which I am not already talking to that is how we can work together.” Kyle: “We don’t do non-exclusive engagements. In the same way that a realtor wouldn’t agree to you selling your property outside of their engagement.” —- Sometimes we’re asked to take on limited engagements. Early on as a new/inexperienced/desperate broker, I’d say “yes”. But it’s the equivalent of engaging a realtor to prepare marketing materials, engage their network, run open houses, and create a competitive market for your home. But you then sell it “off-market” out from under the realtor. And not compensate them. Alternatively, it’s like wanting insurance, but being unwilling to pay the premium. We want to be helpful, and we do a ton of complimentary support upfront prior to engagements. But we are entirely success-based. And we have businesses to run and opex to cover. I don’t intend this to sound scathing. But it needs to be said. Either use a broker, or don’t use a broker. #business #finance #broker

Banking is perhaps the only industry where it is a strategic move to sometimes reduce the top line (sales/turnover) in order to maximize the bottom line (net profit). This is because of the nature of the business. A customer takes funds today, which they will have to pay back over time. Profit, therefore, is a function of the customer's ability to pay back the funds. Once the customer loses that ability (non performing asset), the bank loses a part of its profitability. If this scenario occurs on a large portion of the bank's disbursements, then you have a serious credit risk. What causes non performing loans? The loss of ability to earn. Therefore, any factor that leads to a loss of ability to earn or leads to earning less should be considered, particularly economic factors (recession, rise in inflation, and interest rates) or factors outside the realm of economics. Implications: The aim of smart management should not be to grow the loan book but to guard the book. In economically stressed times, guard the book, in economically easy times expand the book otherwise, What good is it to disburse a record amount in loans if most of them turn non-performing? Guard the book to maximize profit.

"𝑻𝒊𝒕𝒍𝒆 𝑺𝒆𝒂𝒓𝒄𝒉 𝑹𝒆𝒑𝒐𝒓𝒕 𝒊𝒏 𝒂𝒍𝒍 𝑩𝒂𝒏𝒌𝒔" Namastey #connections 💡Let's delve into what a "𝐓𝐢𝐭𝐥𝐞 𝐒𝐞𝐚𝐫𝐜𝐡 𝐑𝐞𝐩𝐨𝐫𝐭" is in more detail: 📋 "𝐓𝐢𝐭𝐥𝐞 𝐒𝐞𝐚𝐫𝐜𝐡 𝐑𝐞𝐩𝐨𝐫𝐭" simply means a document containing comprehensive examination of public records to determine the legal ownership of a property and to identify any encumbrances or liens that may affect the property's title. 📌 If the borrower doesn't legally own the property, the bank can't mortgage it in case of default. 🖊️ Points to be considered while reading any "𝐓𝐢𝐭𝐥𝐞 𝐒𝐞𝐚𝐫𝐜𝐡 𝐑𝐞𝐩𝐨𝐫𝐭" 👉🏻 It Must be certified by the qualified "𝑨𝒅𝒗𝒐𝒄𝒂𝒕𝒆𝒔" firm. 👉🏻 𝑶𝒘𝒏𝒆𝒓𝒔𝒉𝒊𝒑 𝑰𝒏𝒇𝒐𝒓𝒎𝒂𝒕𝒊𝒐𝒏: The legal title of the property must be in name of current borrower. 👉🏻 𝑨𝒅𝒅𝒓𝒆𝒔𝒔: Check the exact address of the collateral! 👉🏻 𝑵𝒂𝒕𝒖𝒓𝒆 𝒐𝒇 𝒕𝒉𝒆 𝒑𝒓𝒐𝒑𝒆𝒓𝒕𝒚: Whether the property is commercial or residential. 👉🏻 𝑨𝒏𝒚 𝒄𝒉𝒂𝒓𝒈𝒆 𝒐𝒏 𝒕𝒉𝒆 𝒑𝒓𝒐𝒑𝒆𝒓𝒕𝒚: Whether the property is freehold or leasehold. 👉🏻 𝑺𝒂𝒍𝒆 𝒅𝒆𝒆𝒅: If the property is acquired by from any other person, then the proper sale deed execution must be there. 👉🏻 𝑵𝒐𝒏 𝒆𝒏𝒄𝒖𝒎𝒃𝒓𝒂𝒏𝒄𝒆 𝑪𝒆𝒓𝒕𝒊𝒇𝒊𝒄𝒂𝒕𝒆: This is the most critical point. We have to check that the property is non encumbered, means without any charge created by any other party. 📌 𝑪𝒓𝒖𝒄𝒊𝒂𝒍 𝑵𝒐𝒕𝒆: In some banks it is called as "𝑳𝒆𝒈𝒂𝒍 𝑺𝒆𝒂𝒓𝒄𝒉 𝑶𝒑𝒊𝒏𝒊𝒐𝒏 𝑹𝒆𝒑𝒐𝒓𝒕". That's it for today folks! #bankingandfinance #riskanalysis #linkedin

Something I’ve been seeing a lot lately with prospects… As part of our sales process I do a financial health assessment One of the metrics I look at is revenue and net profit over the last 5 years just to get a general overview of the company’s history Lately I’ve been seeing businesses with plenty of revenue but an overall loss on their cumulative p&l over the last 5 years So the next thing I do is check the balance sheet to see how they’ve been funding that loss 🤔 What do I find? A large ($250K-$500K) EIDL loan A lot of these small businesses have been propped up by these loans. Because there was little to no due diligence for EIDL loans, the company did not have to prove their financial health like they would have to get a loan the traditional way with a bank The end result is these businesses sustaining losses year over year and not realizing/ignoring it because no one has looked at a P&L with them and explained that their gross profit is too low to profitably scale the company. but because they had cash they just kept chugging along hoping more revenue would solve their declining cash balance Well now the cash is all running out…. So what’s going to happen when all of these businesses finally run out of money? Or maybe they’ll get help before it’s too late? It just makes me sad because I wish I could have met them 4 years ago. Anyone else seeing this??

Avoid these mistakes if you’re buying a home soon: Applying for credit - this includes Afterpay, credit cards, car loans, personal loans, interest free facilities or being a guarantor and even signing up to a novated lease! Make Late Payments - making late payments on any existing credit facilities can reduce your credit score or may look unfavourable to the bank. remember, the bank is assessing your credit worthiness and your existing conduct is very important! Switch jobs or change careers - Banks like to see stability and whilst there are lenders who are willing to offer someone a loan with short employment, moving jobs can sometimes restrict you to only borrowing from certain lenders. Click this link to book in a call to learn more: https://lnkd.in/gGyQvbR4 #PersonalisedService #Homeownership #DreamHome#BorrowingCapacity #HappyClients #MoneyMoves #FinancialFreshStart #GoalsOnGoals #FinanceWizard #mortgagebroker #financebroker #EOFY #newstart #mortgageexpert # #financeexpert #mortgagetips #financeboss #financematters #mortgagegoals #invest

The company that introduced me to the credit industry taught me that I should NEVER negotiate with any customer who's in default. The only thing that should be done to this customer is to carry his/her property (Kuchota) mercilessly and sell the property to compensate the loan. By doing so,we lost so many customers due to fear. We were also struggling to bring in new business since people feared loosing their belongings. Many people cleared their loans and could not take up other loans. The company became the #ENEMY of the #PEOPLE and it almost collapsed. For the years I've been in this industry I've learned that #CUSTOMER #SERVICE is the foundation of every company’s growth and expansion. Giving the customer time/space to explain him/herself and having a #healthy discussion/negotiation can lead to increased customer #Value and create a good company #reputation hence business growth.

Avoid these mistakes if you’re buying a home soon: Applying for credit - this includes Afterpay, credit cards, car loans, personal loans, interest free facilities or being a guarantor and even signing up to a novated lease! Make Late Payments - making late payments on any existing credit facilities can reduce your credit score or may look unfavourable to the bank. remember, the bank is assessing your credit worthiness and your existing conduct is very important! Switch jobs or change careers - Banks like to see stability and whilst there are lenders who are willing to offer someone a loan with short employment, moving jobs can sometimes restrict you to only borrowing from certain lenders. Click this link to book in a call to learn more: https://lnkd.in/gGyQvbR4 #PersonalisedService #Homeownership #DreamHome#BorrowingCapacity #HappyClients #MoneyMoves #FinancialFreshStart #GoalsOnGoals #FinanceWizard #mortgagebroker #financebroker #EOFY #newstart #mortgageexpert # #financeexpert #mortgagetips #financeboss #financematters #mortgagegoals #invest

Avoid these mistakes if you’re buying a home soon: Applying for credit - this includes afterpay, credit cards, car loans, personal loans, interest free facilities or being a guarantor and even signing up to a novated lease! Make Late Payments - making late payments on any existing credit facilities can reduce your credit score or may look unfavourable to the bank. remember, the bank is assessing your credit worthiness, and your existing conduct is very important! Switch jobs or change careers - Banks like to see stability and whilst there are lenders who are willing to offer someone a loan with short employment, moving jobs can sometimes restrict you to only borrowing from certain lenders. #PersonalisedService #Homeownership #DreamHome#BorrowingCapacity #HappyClients #MoneyMoves #FinancialFreshStart #GoalsOnGoals #FinanceWizard #mortgagebroker #financebroker #EOFY #newstart #mortgageexpert # #financeexpert #mortgagetips #financeboss #financematters #mortgagegoals #invest