The benefits of using a business finance broker

If you’re a business owner looking for funding options, the choices can seem baffling. Plus, applying for business funding can be time consuming when you’re already trying to run a business.

This is where a business finance broker can help. A finance broker can take the hard work out of securing business finance, liaising with funders on your behalf to ensure the best possible terms are secured, leaving you free to focus on running your business.

Furthermore, they will assess your needs and arrange the facility from start to finish, ensuring that you find the best funding option to drive your business forward.

Here we’ll take a look at the key benefits of using a finance broker, and also the importance of finding the right type of finance broker who really understands your business and your requirements. 

1. A business finance broker can save you money

A good business finance broker should take into account that all businesses are different and therefore need unique funding solutions. There isn’t a ‘one size fits all’ approach to business finance: instead your finance broker should take time to fully understand your business, what you do, and your requirements before they start looking for the best funding solution for you.

Look for a finance broker who has a proven track record of success, and also who has access to multiple lenders: this will mean they have access to more competitive funding lines which will help ensure you get the best possible deal that will save you money.

2. A finance broker will save you time

One of the main blockers to businesses applying for funding is the time it takes to apply. Often the range of funding options and products can seem daunting, and the application processes can be long-winded, which takes business owners and managers away from their all-important day-job of running the company.

Professional business finance brokers often have access to around 150 lenders: if you were trying to research deals from all these lenders by yourself, it would certainly be a time-consuming process! Luckily, a finance broker can do the hard work for you: researching and securing the best deal on your behalf. 

3. Finance brokers bring ideas as well as finance

A good business finance broker should do a lot more than just securing you a quick deal. They should understand their marketplace inside out, and you should be able to benefit from their experience and ideas.

Good finance brokers look outside the box: it’s not about securing the first loan that comes along. It’s about looking at your business and what you want to achieve, and bringing the ideas that will really help your business to grow and thrive for the long term.

Nowadays, the alternative finance sector can offer customers so much more than a traditional bank loan. If you work with an expert finance broker who understands the funding options that are out there, you really can secure the type of funding option that will take your business to new heights. 

4. Business finance brokers can secure funding fast

One of the problems in securing a traditional bank loan is that the process can be very slow. In comparison, business finance brokers tend to be able to secure funding solutions quickly, allowing you access to the funds you need, fast.

What to look for in a business finance broker

There are lots of commercial finance brokers out there, but the key to a successful, profitable business partnership is finding the right one for you.

You should look for a finance broker who has a proven track record of success: find out how long the company has been operating, how many businesses they’ve helped previously and how many lenders they work with. This should give you an indication of how experienced and successful they are. It’s also worth checking which sectors your finance broker is experienced in working with. Some finance brokers will be highly-experienced in securing funding for businesses within your sector.

It’s important to check that your commercial finance broker is authorised and regulated by the Financial Conduct Authority and the National Association of Commercial Finance Brokers. This is an assurance that your finance broker will operate to the highest possible standards.

Another crucial thing to look for is a finance broker who you can form a lasting, profitable relationship with. A good finance broker is on your side. They’re not just looking to make a quick sale: they should see the benefits of a long-term relationship with you, their client. You should be able to trust them to find the most suitable options and lenders for your business, and they should be committed to developing a one-to-one relationship with you for the long term. Unlike the kind of faceless service you’re likely to receive when you take out a loan with your bank, your finance broker should stay with your business as it grows. They should be able to provide innovative ideas throughout each stage of your business growth, helping you to access funding solutions that are perfect for your business needs at the time, and ensuring you never miss an opportunity to grow.

Look for a finance broker who always delivers high levels of customer service and makes you feel valued. They should be on hand to answer any questions you may have, and provide advice and reassurance when you need it.

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