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Is it time to trade in your old broking group?

Car seat

Let’s face it, a lot of broking groups have very high mileage on their clocks.

Their engines are out-dated legacy models using too much fuel and under-powered by today’s standards.
Despite this their many owners over the years squeezed as much out of them as they possibly could, before passing them on like an unwanted gift to the next owner.
The paintwork is chipped and their tyres have no tread. But still, they keep on going…

Now that the elections are over and we’re all breathing a bit easier, the time is right to treat yourself to a new and improved model.

Seriously though, some new broking groups out there are worth a closer look.

Today’s best businesses are platforms for their members to contribute to and to learn from, is in stark contrast to the old fashioned 90’s autocracies. In those models, absolute power was held by only the chosen few.
Platform style businesses give up the old overarching control, instead allowing everyone full collaboration, inclusion and transparency. They encourage members to not ‘hoard’ their good ideas, but throw them ‘in the pot’ for all to enjoy and learn from.

‘Boutique broking group of the Year’ finalist 2018 and 2019 and ‘Innovator of the Year’ finalist 2019, Purple Circle Financial Services represents a new breed of broking group.

Giving it’s members shares and living by an ethos of inclusion and mutuality, ‘Empowering Brokers’ is at the heart and soul of the company.
Believing every broker member has the ability to be a leader, PCFS brokers are involved in important company decisions like lender panel, software platforms, CRM’s, Cross-selling and up-selling integrations etc.
Only 2 and a half years old, Purple Circle recently went past the magical $500 million in settled loans, growing it’s member numbers month on month, completely bucking the recent trend being experienced by most broking groups.

This open platform methodology is attracting brokers who have grown tired of the old ways of being treated like a number, and who are ready to embrace the new world of broking in post-Royal Commission Australia.

If you would like to know more, please contact the team.

Small and Medium Enterprises (SME) Guarantee Scheme

The Scheme will enhance lenders’ willingness and ability to provide credit and will be available for new loans made by participating lenders until 30 September 2020.

The Government will provide eligible lenders with a guarantee of 50% per cent of new loans. Some generic terms are:

  • Businesses with a turnover of up to $50 million.

  • Maximum total size of loans of $250,000 per borrower.

  • Loans will be up to three years, with an initial six month repayment holiday.

  • Unsecured finance, meaning that borrowers will not have to provide an asset as security for the loan.

Reduced Interest Rates

Consider your current banking arrangements. The Reserve Bank has recently reduce the cash rate and lenders have passed this on to various loans they have.

Instant Asset Write Off

An increase in the instant asset write-off threshold from $30,000 to $150,000 30 June 2020.

Deferment of Loan Repayments for up to 6 Months

The banks are developing their own approach as to how to deal with requests from their clients for repayment holidays. Some are automatically granting the request, others are assessing the requests individually.