Just Mortgages self-employed division has increased six-fold in less than 12 months, growing by 500%.
The self-employed division, which first launched with just three brokers in June 2016, grew from 13 brokers at the start of 2017 to 81 by the end of the year.
It was launched to offer a way for brokers to go it alone while still retaining the help and support an employer provides. The division is headed by Carl Parker, who was previously at Countrywide for 23 years and in his last role there led Countrywide Mortgage Services.
Parker has recruited 13 brokers already this year and also now has three sales managers on board.
He said: “It is all about diversification. Brokers – including those currently employed at Just Mortgages – are increasingly looking to go self-employed, but are reluctant to give up the support they’re getting from their employers, so we looked at how we could offer a solution.
“Since launching, we have significantly reduced staff turnover because we are proving an outlet for people who want to make that move.”
Brokers working for the Just Mortgages self-employed division are completely self-employed but have a dedicated sales manager to help and support them.
This support ranges from making a business plan and ensuring they are FCA-compliant to encouraging them to become a part of their local communities and helping them find introducers.
There are no monthly fees, the whole model works in commission, so if the brokers don’t earn, Just Mortgages don’t either.
Parker added: “Unlike other networks with self-employed arms, we do not charge a monthly fee. It is therefore in everyone’s best interest for the brokers to be successful.
“That is why our sales managers provide so much support in helping our self-employed brokers find clients and get referrals.
“We also ensure each has no more than 40 brokers to look after – this means that they can spend quality time with each one, helping them and supporting them in finding leads and generating business.”
While employed brokers tend to get between 40-50% commission, Just Mortgages’self-employed brokers can earn up to 85% commission with no monthly fees.
Parker said he is really pleased with how the self-employed division has grown so far and plans to increase broker numbers to around 150 by the end of 2018 and to 250 by 2023.
He said: “Although we want to grow, we don’t want to grow too fast. The key to our success is the experience and support we offer our brokers, so we need to make sure the ratio is right.
“We will, therefore, be taking on another sales manager in April to ensure we maintain that level of support.
“The key to our success is great support from highly experienced managers have all been brokers themselves and whose own livelihood depends on the success of the brokers and paying great commission.”