Ormond hits BRW's Young Rich list

By Andrea Lavigne | 14/10/2009 10:30:00 AM | 4 comments

Refund Home Loans' founder Wayne Ormond features in BRW's Special Edition of the Young Rich.

The 36-year-old ranked 74th on the list, thanks to his 65% stake in Refund Home Loans worth $25m.

Ormond started his mortgage broking franchise in 2003 and says the secret to the company's success is its strong focus on customer service.

"[Customers] don't want to get treated like they do at the banks and other mortgage brokers are starting to work like banks. People want a bit of independence," he told the magazine.

Ormond's business model, which splits the commission it receives from lenders with the borrower, initially attracted the ire of major banks. Attempts to stop Ormond from refunding half its commission failed, but the publicity that resulted really helped his young business grow.

"The banks probably thought we were bigger than we were. I was worried but at the same time I knew we had done nothing wrong. So I saw it as an opportunity and went on the attack."

The company's annual revenue increased from $10.5m in 2007-08 to $15.5 m in the last financial year.

It's not the first time Ormond has been recognized by BRW - Refund has also appeared on the BRW Fast 100 and Fast Franchises lists.

Latest Comments

Total: 4 comment(s)

oldBroker on 21 Oct 2009 11:15 AM

So Mr Ormond relies on the brokers to do all the work, pays them only half the commission, and ends up worth $25M. God, I love this country...

Matt on 21 Oct 2009 11:21 AM

If that company is worth $25 million I am a monkeys uncle. Sounds like what ever its worth may be refunded to ex franchisees.

Jim on 21 Oct 2009 02:42 PM

The Refund model is flawed and doomed to fail. A decent broker is worth 100% of the commission they receive.

Trev on 26 Oct 2009 04:00 PM

I wonder what the fees are for a loan, do they get some thing in extra to be able to give away half their commission?? Banks dont pay much these days so what does a franchisee get for his work?? Maybe some one could tell us?!

Latest TV

Once bitten: Strategies to avoid commission clawbacks play

Once bitten: Strategies to avoid commission clawbacks
KIRAN SALDANHA of The Finance Professional ...

Latest news

AB issue 9.09

E-Mag

AB issue 9.09 OUT NOW
New ‘unfair’ liability as NCCP enhanced; MFAA closely watching commissions; Adva ...

view online

Your comment

Australian Broker forum is the place for positive industry interaction and welcomes your professional and informed opinion.
Name

Comment


By submitting, I agree to the Terms & Conditions

You are about to submit your comment. Please ensure it is:

  • Professional
  • In your own name or pseudonym, not impersonating someone else
  • Free from offensive language
  • Free from advertising
  • Please also see our Terms & Conditions

If you prefer not to post but want to get your viewpoint across, you can always email the editor.