So today we’re going to talk about the business loan broker game plan and how to get started right as a business loan broker. Now I recruit several agents a week into my business, my loan broker opportunity, and many agents need to know how to start your business and get it off and running as fast as possible.
Business Loan Broker Game Changing Plan – 7 Crucial “Getting Started Right” Steps to Make Bank
So I have seven steps on how to grow your loan broker business. You do not have to be on a team to watch this video/read this article. This is where every person out there who becomes a business loan broker or is interested in becoming one. I have the seven most important steps
7 Crucial “Getting Started Right” Steps to Make Bank as a Business Loan Broker
So many people join as a business loan broker and they have no idea where to start. And I feel bad for all the agents that started in the past that did not get the proper attention. They didn’t get the right guidance.
So I want to do this as thoroughly as possible and to help you get started on the right footing.
Get Educated on Your Company’s Financial products/Services
You want to first of all watch the training in our company or the company that you joined and watch all the training that they have on the products because you need to learn what the requirements are for each funding program. That is the bottom line.
You can’t talk about business fundings at all if you haven’t watched the training and know all of the requirements for every single program that we have.
Every funding that we have has different credit criteria and time in business and so forth. So definitely watch the training first. For our company, that’s in the agent Resource Center.
Step One: Find Your Affinity
What types of businesses do you want to talk to?
Affinity means the type of industry that you can relate to? The simplest way to do that is what type of industry were you in when you worked?
I worked in the restaurant industry for over 20 years. I also got my CDL Class A license. I love tracking and trucking happens to be a very popular industry for these types of funding programs.
I tried restaurants in the beginning but they seem to get traditional bank loans before they go for alternative financing. So my next second best was obviously trucking.
I live in Texas. I’m surrounded by truckers. It’s a huge industry with over 1.2 million trucking companies in America and they need working capital. They usually can’t get business funding from the banks. So they need to go the alternative route which is us.
So find your affinity. You know if you’re a hairstylist, maybe you want to target hair salons. They’re a great industry. Because they have consistent cash flow.
You need to find an industry that has consistent cash flow, but they need additional working capital. That’s what we do. We give them working capital so they can expand their business or they can keep their doors open.
We can get funding for the 80% that cannot get funding from the banks. So we do help a huge segment of the market.
Banks are only approving 14% of businesses for loans so we have plenty of people that need our capital.
So find your affinity and find the best industries for our program. The best three industries off the top of my head are contractors, trucking industry and salons, or auto body repair, maybe landscaping. It’s anyone that gets consistent cash flow that needs extra income to keep going
With trucking, they’re considered a high risk industry so they might have to have one year in business instead of six months. So don’t think that our requirements are the holy grail. There are general requirements to our business funding.
But, there are exceptions to the rule and some business industries have to show more revenue. So those are the best industries.
Canvas Local Markets as a Business Loan Broker
Step Two: Start with the Local Market
Start canvassing your warm market or local businesses. You can literally just get out there and start canvassing your area and forming relationships with businesses.
You have to go in with the mindset of truly wanting to help business owners stay in business instead of looking at it like a numbers game or you know where’s my money?
You do not want to do it for the money because it could take months, or even a year to get any commissions so your heart really has to be in this and I know that you might have a family to feed and you want to hustle and make commissions as fast as possible.
I was the same way but the people that make it in this industry really do care about small businesses and talking to the business owners.
So you want to start with your local business or local businesses. You could go to the Chamber of Commerce, you can do networking networking events. There’s a networking website for businesses, the Chamber of Commerce and then there’s BNI meetings and so forth, where you can talk to local business owners.
We have drop cards in our agent Resource Center. Or you can print out business cards, but drop cards have all of the info to our requirements to our funding programs. So that might be more detailed than a business card. So definitely check out the drop cards.
So start with your warm market and then you can branch out into the statewide market.
Step Three: Branch Out to Statewide
Then go statewide and even nationwide. You can create a Google Business Listing, you can start a YouTube channel. You can get the word out. You could run Craigslist ads, but you’re not going to have that connection with the business owner, like you do with hands on or hitting the phones.
So you’re gonna have to find your method that works best. There is not one right method of promoting this business. We have people that do it all online and then we have people that don’t do it online at all.
They’re hitting the pavement, they’re talking to business businesses in person. The agents who do talk to business owners the most usually get the fundings; the people that are hands off that just want to run ads, you have to run a lot of ads, you have to go through a ton of numbers to even get funding.
I’m 100% online, and it’s been a hard road because I don’t build those relationships. That’s just me. I’m an internet marketer. I’m an introvert, and business loan brokering is just one income stream. I do get fundings.
But, you know, I’m not like a top agent, because I don’t have those connections.
But you can do it either way. You can go to the agent Resource Center and watch all the past interviews with our top agents of the month and find a style that works for you.
There’s people that do cold calling, people that do it all online. So you just find what works for you and stick with it. So that leads me to step number four, you can promote this online.
Step Four: Promoting Business Fundings Online
I would choose one to two platforms in the beginning and be consistent. You can talk about the loan program, the Business advance on YouTube, on Tiktok, on Facebook, you want to pique people’s curiosity and then you want them to click on your link under the video or the post or in your bio if you’re doing tik tok or Instagram.
The bottom line is if you’re doing this online, you want massive traffic to your company’s website. If they do have a website that you can use that is replicated to you that has your name on it so you get credit when people get funding through your website.
With our company, we have replicated websites, you just put your agent number on the end of the link you want to promote and you get an email when you get a lead when a business applies. So that’s really cool.
We have underwriters waiting for your leads. So everything can be hands off and done for you. But if you want to increase conversion rate and you want that personal touch, personally I use YouTube.
I use a blog just for business fundings. That’s really hard to do. It’s taken me a year and over 100 articles just to get 20 views a day. I don’t recommend blogging. I have been a blogger for 10 years. So that’s what I do.
YouTube blogs, Tik Tok, Facebook and LinkedIn are great. LinkedIn has a ton of business owners, but you don’t want to just spam people with your links, you want to actually find out if they’re interested in funding or not.
Just inform people and we’re in the business of informing people but not pushing people and not spamming people. You just want to inform them and let them know that there’s another alternative out there besides traditional bank loans, that’s all we’re doing is informing people.
Step Five: Fortune is in the Follow-Up
You have to follow up. Now we do have an email follow up system for all our clients that you generate. But you know that a personal phone call can really help or personal email follow up.
I just generate lots of leads and I let the company email my leads. That’s just me. But the fortune is in the follow up.
Step Six: Consistency
You might go three months to a year without getting funding. You just have to keep doing it every day. You have to really access the why. Why are you doing this business?
Are you doing it to feed your family? That’s a strong “why” to keep going. Are you doing it because your uncle’s restaurant went out of business? That’s a strong why.
You have to find your why to keep going because there’s going to be dry days, dry weeks and dry months. Right? Months go by and I don’t get any funding. You have to keep going. So consistency is key.
Step Seven: Don’t Quit
Because usually you’ll put a lot of stuff out there and there’s a delay. And you might quit and realize you did help someone get funding and there was just a delay.
Clients can come back a month from now and be like, hey, I’m interested in what you offer. But if you quit, then they’re not going to get the funding. So stay committed.
This is a marathon not a sprint. You want to definitely visualize yourself being successful a year from now and come up with monthly targets and try to beat those targets every month.
It could be targets like how many leads you generated for the month and then try to beat it the following month. How many contacts did I make? Trying to beat the following month’s milestones for me really keeps me motivated because I want to beat every single month.
I want to improve and become better every single month. And so definitely write down your goals and write down your stats. How many businesses have you talked to today? And try to increase those numbers every single week, every single month until you’re talking to 20 to 50 businesses a day and you’re getting one to three fundings a day and life is good. So I hope that helps. Again, share this around.
Erik Christian Johnson