How a commercial broker can help your business
Published by MFAA
Whether it’s smooth sailing or your business is on the rocks, a specialist commercial broker at your side is your greatest asset.
It’s surprisingly easy for businesses to fall into financially hard times. Luckily, MFAA brokers are experts at resolving difficult financial situations to help a business survive and thrive, whether it takes refinancing, restructuring debt, improving cash flow or working capital, as well as a wide range of other solutions brokers have at their fingertips.
An MFAA accredited finance broker in Adelaide who knows the value that a good broker can bring to a business in financial strife.
“I had a deal last year for a large-scale, privately owned but fairly corporate business,” says the broker. “They had some issues with a JV partner who went into administration, and it cost them a lot of money because they had invested a lot of money into the joint venture.”
The broker's client was in a dangerous situation. Unforeseen circumstances had lead them into serious debt – $11 million of it.
“They were in a position where they had a lot of creditors. They had a million dollars out to the tax office, and we were able to refinance,” says Samuel.
"We helped them restructure all their debt, pay out a million dollars of tax, and put them on a new repayment plan, with a new bank, which they could afford."
Since working with the broker, an MFAA member with more than 10 years in the finance industry, the business's financial situation has turned around. They’re now on their way to paying back their debts and growing as a business.
"They’ve improved significantly," says the broker. "They’re in a bit of a tough industry at the moment, but they've payed down over a million bucks worth of debt. They’ve improved and they’ve restructured the business and are making it more profitable. So they’re definitely on the right track."
Having a good finance broker on your team from the outset is the best way to address difficult situations before they affect the viability of your business.
MFAA accredited brokers are the most experienced in the industry, and are held to higher standards of education, ethics and experience than apply industry-wide. All MFAA brokers are required to hold a minimum of the Diploma of Finance and Mortgage Broking Management and to have two years’ industry experience, while less experienced members are required to complete the MFAA mentoring program with an experienced industry leader.