There are certain characteristics that you should look for if you are looking to work with a commercial finance broker to raise funds for your business or partner with.
It could be that you are buying a property, purchasing a business asset, looking for a loan or trying to improve cash flow through invoice finance. Whatever finance you are trying to raise for your business you should be looking for brokers that have the following in place:
- NACFB Membership – The NACFB is the National Association of Commercial Finance Brokers and using a broker that is a member of the association means that they will have more choice of the lenders to go to, better rates available to them and also work towards the OFT code of practice.
- FCA regulation – Check that the broker is authorised and regulated by the Financial Conduct Authority (FCA) and have an OFT licence…Why not ask to see the registration number?
- ICO and Data Protection – Ensure the broker you use is going to treat your data properly. Check that they are registered with the ICO and on the data protection register.
Increasingly we are seeing the larger lenders ask for proof of our membership to these bodies and because we take what we do seriously we can show them.
Just be mindful when choosing a broker to deal with…