Whether you are an experienced broker organizing training for your staff, or a new broker looking for a good loan broker training program, there are a few things that you will need in order to provide excellent service in the industry. Training programs should offer insight and support in all of the areas that loan brokers need to succeed.
1) You need knowledge.
You need to know the ins and outs of your financing vehicles and how to determine what funding fits which clients. Your loan broker training should teach you how to get clients qualified regardless of their credit history and past loan denials. You should also know how to speak the language of finance and your loan broker training program should teach you how to look, sound and act professional in the field. Knowledge is key in this industry and having a large amount of it will get you noticed!
2) You need sales skills.
This is ultimately a people business, so you need a loan broker training program that focuses on how to build relationships, how to sell, and how to close deals. You will need to learn the importance of follow-up and how to implement a strategy that will save you time and build great relationships with clients and bankers alike. The ability to sell the loan, and make the client feel comfortable enough to want to work with you is very important in the loan broker industry. Sales skills will teach you how to approach the situation, how to treat the client throughout the process, and ultimately how to get lending finalized and approved for your clients.
3) You need practice.
You can listen and read and write all day, but until you do it yourself you won’t truly learn. Make sure the loan broker training includes some real life examples or in-person training to get you used to making deals work. A great program will provide real world examples and insights, as well as the ability to gain knowledge through practicing the skills that you are learning. The best programs will include a strong role playing or in class practice program to let you hone your skills in a safe environment.
4) You need a strong network.
Much of the value that loan brokers offer their clients is the strength of their network. Unless the broker has a few hundred million dollars of their own that they are looking to lend, the broker will instead be facilitating the transaction that occurs between their client and the lender. Most lenders specialize, focusing on the industry or financing type that they know the best. This means that if the broker’s network includes only 2 or 3 lenders, they will not be able to serve any clients who need different types of funding. So ideally the loan broker training program will help the broker to establish a large network of lenders so they can ultimately serve a variety of clients.
If you are looking for more information on how to structure a loan broker training program for your staff, or if you are interested in obtaining more knowledge yourself, the Commercial Loan Broker Institute is a great resource.