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ISCOVER
Staff Reporter
Brokers that build strong referral relationships perform better than those that look to diversify their own core offering, one aggregator has claimed.
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Australian Loan Company said brokers that attempt to become financial planners, risk writers or accountants struggle to wear both ‘hats’ effectively.
While the aggregator’s general manager Lesley Wood admits that some brokers will diversify to great success, it isn’t an easy path to tread.
“Adding this service can result in difficulty with focus and often stretches the broker thin, not to mention the additional costs incurred, the need for double CPD points, software and compliance across two separate licenses,” Lesley Wood said.
“ALCo has been supporting financial planners, risk writers and accountants with mortgage brokering services for 8 years and we find that adding an additional income stream through referral agreements often works better.
“This way, the broker can add additional services to their offering by referring planning business to a planner and risk business to a risk writer and earn additional income by doing so.”
