I'm seeing many brokers diversify into Insurance and other areas in an effort to prop up their income streams.  I think that's a great idea, provided you don't spread yourself so thinly that your service gets diluted.

When a client sees a broker, they should be receiving more than just a product recommendation.  You as a trained finance professional should be analysing the clients needs and the structure of the transaction, investigating the suitability of the transaction across the various lenders credit policies, recommending a product and lender and then assisting the client by preparing and completing the application.

In doing all of this you are applying not only your knowledge of products etc, but your acquired knowledge of the structuring of lending and the policies and procedures of the various banks.  This knowledge base is more than that supplied by a Certificate IV, a Diploma or even a degree.  It is amassed over time, through experience and also through your network of colleagues within the industry.  There are some broker models which rely heavily on software and less on the broker knowledge - these models allow a broker with a 2 week course under their belt to sit in front of a client, punch some info into a software program and within the space of an hour delivery a recommendation.  These models don't focus on the brokers expertise, but rely on the system and any experienced broker will tell you that there are so many variations to transactions that no software could replace the expertise of an experienced broker.

But what about the new to industry broker I hear you ask?  How do they provide this service.  Again, if the broker (regardless of their level of experience) takes the time to sit with the client and analyse their situation and then explains to the client that they will then need a day or two to do their research - this then allows the "green" broker to methodically research information and discuss the scenario with their mentor, colleagues and BDMs.  Then when they return to the client they will provide them with a full solution rather than the cheapest rate that the system recommends.

It's for this reason that I'm a firm believer in a fee for service model and this is why I also believe that for a finance broker, insurance and the other add-ons should be on a referral basis rather than another full advice model.  Take the time to specialise and offer your clients a full service.

It's a glorious day here in Brisbane, the sun is shining and tonight the Maroons will win the State of Origin.  That will make it 6 years in a row.

Of course NSW have kept up their side of the game by turning up to every game.

That's like broking at the moment, sometimes when times can be tough - it's important to just keep on turning up and staying in the game.  It's all about stamina.

But, it's also important to review your business and look for ways to improve upon your business model.  Just like the Blues should look at their game and try something different.

But they're still not going to win tonight.  Queenslander!