Broker-introduced asset finance lending has also increased by 8%, in line with the level of growth seen across the industry, meaning that their market share has remained at 18%, according to the Finance and Leasing Association1. Although brokers are clearly contributing to the sector’s growth, they are in a great position to drive this even further and, by doing so, serve their customers’ needs even better while increasing their revenue streams.
Asset finance can be a hugely beneficial resource for UK SMEs but some are not aware of it as an option. Many brokers will already have business owners on their books and are therefore well placed to bring asset finance, as well as other business finance products, to their SME clients’ attention, so that they can consider whether it’s the most suitable option for them.
In my experience, growing SMEs will normally reach a stage where customer demand for their services or products can outgrow the systems or resources that they have in place, which can result in them having to turn away customers, inhibiting their growth.
This is what makes brokers such a key part of the business finance industry. There are many options out there for companies who are facing this issue, and advisers are in a good position to raise awareness of these solutions.
Therefore, ensuring that intermediaries, who are new to the industry, have access to regular training sessions is crucial in order to provide them with the information they need to advise their clients on the best ways to source additional funding. This is what prompted Aldermore to launch its asset finance training programme to support brokers in 2014 and we’ve run a training programme every year since then.
Over 200 brokers will have attended the sessions from 2014 to 2016, in what could be interpreted as a sign that more intermediaries are looking to enter this area of the market. Hopefully this trend will continue, and will raise awareness of the options available to SMEs so that they can unlock their growth potential further.
