Conquering the critical first year

For most brokers, the first year of business is the hardest. In addition to obtaining lender accreditations, finding clients and building a lead pipeline, brokers need to make those all-important connections that will support their business in the years to come. While around 20% of small businesses in Australia fail in their first year, the figure can be as high as 50% for mortgage brokers who are new to the industry.

Franchise models, like the one offered by Mortgage Choice, give new brokers a head start and remove a lot of stress by providing unlimited access to subject matter experts, support teams and a network of experienced franchise owners who understand the secrets to building a successful brokerage. But that doesn’t mean it’s all smooth sailing for new brokers.

Aaron Slater, General Manager of Distribution at Mortgage Choice, recognises that establishing a new business takes determination and perseverance. In January, Aaron and his team launched a new 12-month Broker Success Program to help new Mortgage Choice franchise owners fast track their progress. The program starts immediately after the broker completes the Mortgage Choice induction program and provides one-on-one support as the broker starts to build their business.

“We see firsthand how critical the first year is to a business’s success,” Aaron said. “New brokers put everything into growing their business. This program is designed to provide even more support as they get up and running so they’re more quickly meeting their business growth and income goals.”

Building blocks for success

The way a new business owner approaches the first 90 days of their business will often determine their success. Aaron says this is why the Broker Success Program focuses on a particular set of activities in those first three months – with weekly action plans to keep participants on track.

“The initial building phase is usually the hardest part of any business, but it can also be the most rewarding,” Aaron said. “Many organisations treat onboarding as a ‘tick the box’ exercise, but there’s a lot more to it than completing documentation and some basic training modules. Our Broker Success Program has an unmatched level of detail, support and investment in helping brokers accelerate their growth.”

The program supports brokers through several critical stages to establish the building blocks for success – from initiating marketing activities and setting business goals to lead generation and business development. It includes intensive training on how to use the platforms, systems and software that will be integral to building their business, as well as dedicated support to accelerate the brokers’ understanding of Mortgage Choice’s vast resources.

While brokers can move through the program at their own pace, there are clear milestones to help them track their success along the way. Aaron explains that the program is tailored to each broker’s specific needs because everyone has their own unique career background, learning style and level of industry knowledge.

He said, “Having a consistent approach, tailored to each individual, means we can help new brokers quickly identify and overcome any challenges they might be facing. With any potential roadblocks cleared from their path, the broker is free to take advantage of opportunities and build a sustainable pipeline for their business.”

Tailored support to accommodate brokers’ skills and needs

During the program, brokers interact with experts from across the Mortgage Choice business to help them develop the skills they will need to successfully run a small business. They are also given the opportunity to build their network with people who will support their development.

In the first critical stage of the program, participants receive dedicated support from a Credit Coach and the compliance team to make sure they’re comfortable navigating the credit landscape. Brad Inwood, National Franchise Recruitment Manager at Mortgage Choice, says this is an area where brokers who are new to the industry often need additional assistance.

“A Credit Coach works side by side with the broker for their first 90 days of credit submissions,” he said. “They make sure the brokers are building their confidence and compliance knowledge at the right pace and provide unlimited support until the broker is able to operate independently.”

Throughout every stage of the program, the new broker is mentored by a dedicated Franchise Development Manager.

“The Franchise Development Manager leads the broker through the 12-month program and is the first point of contact whenever the broker needs support,” Brad explained. “This dedicated relationship keeps brokers motivated throughout their first year while also holding them accountable.”

Getting the right start

Mel Pedler was one of the first brokers to join the Broker Success Program. As a new broker, she anticipated working on her own most of the time and assumed she would have to take all the responsibility for learning the skills she needed to establish and grow her business. She was surprised by the level of support she has received as a participant of the program.

“The support I’ve received from the Mortgage Choice team during the Broker Success Program has given me a sounding board for when things have not been working right,” Mel said. “My peers have shared their insights on what they went through when they were starting out and provided tips about what techniques have worked for them. I’ve also learnt a lot about marketing, networking, and how to keep in touch with my clients so I’m top of mind for their next financial need. It The program has really helped to keep me focused on working on my business holistically and makes me feel like I’m part of the Mortgage Choice community.”

^{1. Australian Bureau of Statistics. Data for 2022-23 financial year.}

^{2. Finance Brokers Association of Australia. Data for new-to-industry members at September 2016.}