Introduction to Module 8 Growing Your Business Submodule 1 Funding Expansion Credit Analyst and Placement Employee Credit Analyst Compensation Warehouse Lines Of Credit Private Mortgage Fund Submodule 2 Sales Expansion Sales New Hires, Sales Compensation Submodule 3 “Super Broker” Model Submodule 4 Manufacturer Programs
Submodule 1 Funding Expansion Credit Analyst and/or Placement Employee Credit Analyst Compensation Warehouse Lines Of Credit Private Mortgage Fund
Credit Analyst Compensation Backing into your Payplan If your company funds $20MM at minimum 2% spread. Company will net $400k. If you have a “Credit Analyst / FundingSpecialist”. You will also need to consider paying them a commissions. This discretionary but this could be a win-win pay plan. A split could be 35% House, 45% Sales Person, 20% Credit Analyst $140k House $180k Sales People (Divided by sales people who produce the $20MM in Funding) $80k Credit Analyst
Warehouse Lines Of Credit
Private Mortgage Fund
Submodule 2 Sales Expansion Sales New Hires, Sales Compensation
Sales Person Compensation • Usually salary plus % of net proceeds from transaction • DO NOT PAY A COMMISSION ON THE TOTAL FUNDING! • In the beginning, use the salary as a draw against commissions to keep costs down. • If the salesperson has previous experience (and a book of business) you might need to pay more.
Sales Person Compensation Backing into your Payplan If your company funds $20MM at minimum 2% spread. Company will net $400k. If one of your new sales person is responsible for $10MM of the $20MM commissions could look like this: Sales person will be responsible for netting $200k (of the total $400k form previous example) A split could be 35% House, 45% Sales Person, 20% Credit Analyst $70k House $90k Sales Person $40k Credit Analyst
Submodule 3 Super Broker Model • Niche becomes focusing on much larger deals. • Typically focused on end-user business • Focus on equipment intensive industries: mining, energy, construction, etc., Industries that need to continually replace and/or grow their equipment fleet. • Focus on credits that are “BBB” rated - large companies that have had some financial problems but are too problematic • These deals typically much more competitive and are more structure intensive. • CFO’s and C-Level Executives are the target relationships. • Telemarketing to find out the Cap Ex budgets for these companies • What will they be buying and when. • Please refer to Bonus 1 In My Book “Big Ticket Equipment Finance Transactions - The Big Leagues Of Equipment Finance”
Submodule 4 Manufacturer’s Program • You create a relationship with a manufacturer who has a nationwide distributor/dealer network. • You create and design a program for all of there dealers when it comes to selling their equipment • All deals thoughout their entire network are funneled through you as their finance partner. • Some manufacturers will subsidize the finance program to sell more equipment including guaranteeing residual purchases. • Programs could include 0% interest programs (blind discount programs), deferred payment programs, etc.
Recommend
More recommend