November 2018 - Steady as she goes!
So we made the step into the unknown a little over 3 months ago. The good news is that we have hit the ground running and the pipeline continues to grow ever stronger as the weeks progress. In an industry such as ours, the pipeline is the most important gauge of the future prosperity of the business. The only problem that we face is that generally the pipeline has only a lifespan of 3 months - clients tend not to look too far in the future when buying property! So we don't really know how things are going to fare after the three month period.
Sounds a bit precarious?
In order to create a better foundation for the business we have taken the decision to take insurance commissions "on the drip". Meaning that any commissions that are paid by insurance companies are spread over a period of time. This has a double effect. First, it gives us potentially a steady income for a period of 4 years and second it means that we are not in fear of a calamitous series of clawbacks that could have a serious effect on cash flow and at worse scupper the business.
There is also some comfort to be taken in that we have a bank of clients that are starting to need to look at remortgaging. Although never a guarantee of future income - it at least gives us an opportunity to speak again with our client base to see how we can continue to help them. Indeed if the clients want to stay with their existing lender then we can arrange the product transfer at no cost to our clients.
So there it is! 3 months in and steady as she goes as we continue creating long standing relationships, add value for our clients and grow the pipeline. These will be keys to our long term success.