Case Studies

Commercial Brokers Australia has helped literally thousands of businesses secure the right type of finance to meet their needs.

Here are just a few of our success stories.

Management buyout finance.

An individual wanting to finance a management buyout of a printing company approached Commercial Brokers Australia. He had already approached his own bank, who had declined to provide the required level of finance.

By analysing his financial situation, putting forward a compelling case for finance approval and using the value of the business as security, we were able to obtain a business loan for our client at home loan rates. The loan structure and competitive rates also meant that the customer saved $4,000 per month in equipment finance repayments.

New business purchase.

Experienced catering and boating business partners had identified a new business they wanted to purchase, and approached their bank for finance. The bank declined as the assets of the new business were predominantly in the form of river cruise boats that were 30 years old.

Recognising that our clients had significant experience in both catering and operating river cruises; Commercial Brokers Australia was able to present the lenders with a professional proposal highlighting the skills and history of our clients.

This resulted in finance at competitive rates being approved on 30 year-old boats – something that many in the finance field believed would be an impossible task.

Property development finance.

When it comes to finance for property development, most banks insist on the loan value being covered by 120% in presales before funding will be supplied.

By reaching out to private investment sources, Commercial Brokers Australia was able to secure funding for a client on 2 subdivisions with absolutely no presales requirements.

The funding costs were slightly higher than through a bank, however the financing arrangement enabled our client to start more projects and produce more built product each year – which made sound financial sense from an overall profitability perspective.

Looking after the interests of our clients.

One of the requirements of our finance brokers licence is that we must take into account our clients’ circumstances before recommending a loan or borrowing structure. This is in stark contrast to the banks who are not required to do this.

Most banks are structured around different types of lending and they segment based on dollar limits and products. Talk to the wrong person at a bank and it’s very possible that you’ll end up with the product that they are most comfortable selling, or that the bank is currently promoting – which is all well and good except that it may not be the best product to meet your needs.

Add to this the fact that approval limits a tiered amongst bank officers – so if your $950,000 loan is being approved by someone with an approval limit of $1,000,000, it will probably be scrutinised a lot more carefully that if it’s being approved by someone with a $10,000,000 approval limit.

Additionally, banks provide staff with a disincentive to move clients to a different product or loan structure (even if it is better suited to their needs) because the movement of a client from one silo to another often means the manager of the losing silo is impacted financially because the size of his or her portfolio has reduced.

At Commercial Brokers Australia we understand how the banks work and we know who to approach and the best method to get our clients a great deal. It’s not unusual for us to be able to save out clients up to 1% of their loan rate.

Contact us for all your finance needs