Purple Circle Financial Services and Mortgage Australia Group have formed Co-Active Finance Group, a new co-operative venture to provide financial services and benefits to brokers and sub-aggregators.
The new group currently provides over 200 members with financial benefits and operational efficiencies such as CRM software, compliance support, white-label loan products, virtual assistants, para-broking and more.
“Whilst initially the not-for-profit venture shares margins and cost reductions with its member groups, the strategy and vision is to build scale, profitability, independence and equity value for every stakeholder,” said Frank Paratore, director at Purple Circle.
In an effort to eliminate duplicate costs that often come with establishing a broking group, Co-Active Finance Group will also lessen and share overheads between its members, all the while remaining independent of each other.
“There is an ever-increasing time and financial burden on mortgage brokers,” said David Ham, director at Mortgage Australia Group. “By pooling our resources, we can minimise these costs to our members whilst still improving their value proposition to all of their clients.”
Ultimately, venture is meant to be beneficial to everyone involved, according to Greg Pennells, director at Purple Circle.
“Our mission is for Co-Active to become a lighthouse for every non-major broking group in Australia and for every member to experience supported independence, strategic ownership in a large venture, increased profitability and all the while offering their members an unrivalled range of support and services,” Pennells said.