Investing in a personal assistant will provide more value to a broker than leasing an office, according to leading industry business coach Frontrunner Consulting Group.
Frontrunner's Doug Mathlin told Australian Broker Online that "professionalism doesn’t have a lot to do with the room that you are sitting in", and brokers should think hard about an office.
“If you had a nice looking office, a good place that looked fantastic, but your presentation and preparation was sloppy, that would be more detrimental than not having an office," he said.
"I think if you are looking after customers’ needs and delivering on those needs, then your professionalism will speak louder that way than just having an office.”
Instead, brokers should invest in process improvements for their business, which will be a more noticeable boost to professionalism than a 'shmick' office, Mathlin argues.
“I think the tipping point where professionalism really starts to step in is around four settlements per month, based on an average loan size of $350K,” Mathlin says.
“At about four per month you can invest in something, but rather than investing in an office, I think it should be made in process improvements – like a PA. If I had a choice between spending $1500 on an office, or on a PA, I’d go the PA every time,” he says.
Mathlin said brokers usually don’t process loans well between application and settlement; they are people people, good at getting the sale and deal done.
“Brokers are good at building rapport, writing the loan, and moving on to the next person,” Mathlin says. “But good processing is the stuff that improves the referral rate and makes customers advocates. From a professionalism perspective, referring them to a PA or team to assist would be a better investment than an office where they are the only one there.”
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