Vow Academy 2015 WEBINAR SERIES

Transcription

1 Vow Academy 2015 WEBINAR SERIES

2 Agenda 1pm 1.05pm Welcome & Vow Update Tony Newcombe National Training Mgr Vow/ YBR pm - Commercial & Leasing Opportunities with Glenn Mitchell Head of Vow Commercial, plus Kevin Arkell Liberty; Brian Steele - Macquarie & Tony Ahdore - Bibby (debtor Finance specialists) Hannah's Chance Foundation is the passionate voice in the fight against sarcoma, an aggressive form of cancer that primarily affects young people between 12 & 25. Vow Financial has chosen Hannah's Chance Foundation again in 2015 as our preferred charity to support a worthy cause and those affected by this rare and aggressive cancer. At our major events Hanna s Chance volunteers will be present, give generously to this worthy cause A person's true wealth is the good they do in this world Help us make research happen and change the future for sarcoma sufferers everywhere 2pm - Close

3 Congratulations! Lenders tip broker market share to approach 60 per cent Australia s biggest lenders and mortgage groups believe broker market share could hit between 51 and 60 per cent in three years time, according to a major report. Deloitte s Australian Mortgage Report 2015, now in its tenth year, asked eight mortgage market leaders what proportion of mortgage settlements brokers will represent in three years. Six out of eight said broker market share would grow to between 51 and 60 per cent, with only two predicting market share to fall to between 41 and 50 per cent.

4 Vow Academy ACL Software Migration update Anticipated dates for data migration for ACL Infinitive Users: WA brokers have completed training & data migration set for next week QLD ACL training is set for 20 & 21 April & migration From 1 st May NT & SA & Some NSW will commence from 24 April 1 st May ( there is an opportunity with 5-8 workshops in NSW that we can accommodate say 60 ACL holders) TAS 18 th & 19 th June / Vic from 22 nd June / NSW 4 th May on at various dates for a final migration of data on Sat 27 th June. Expected turn off of Spectrum is 30 th June 2015! all migrations to be completed

5 Vow Academy Software update What will the training cover? Training will be a 3 hr workshop, bring your laptops, and at the training you should have access to your symmetry system to set up a dummy loan, do a preliminary assessment loan & interest rates comparisons, produce & file compliance & support documents, navigate to Apply on Line to lodge electronic applications, & learn how to track & monitor the loan application to settlement process. if you are not familiar with Symmetry already ( & a lot are) we encourage you to have a look at the symmetry system handbook & training tools in anticipation of your migration they can be located on the Vow Broker web site

6 Vow Academy Update What training is on in APRIL? Melbourne & TAS 8 th New Broker Induction workshop 15 th ACR Compliance Workshop & Commercial/Leasing Webinar 28 th CPD Day - Tasmania Sydney 14 th Loans Processing Workshop for broker admin staff 16 th 30 th Symmetry training new brokers to Vow + ACL holders 21 st ACR Compliance workshop 23 rd Induction Workshop for new brokers to Vow 29 th Mini-conference 30 th Pinnacle Club _ Top 20 Vow Broker conference Perth & Brisbane 1 st 2 nd Symmetry Training ACL & ACR s _ WA nd Symmetry Training ACL holders Qld.

7 Vow Conference update Registrations :contact your State Mgrs Conference web site is now up & running

8 DO MORE WITH LIBERTY Presentation to Vow 15 April 2015 Strictly Confidential This report contains information that is confidential and proprietary to Liberty Financial Pty Ltd ( Liberty ) and is solely for the use of Liberty personnel. No part of it may be used, circulated, quoted, or reproduced for distribution to any person other than the intended audience. If you are not the intended recipient of this report, you are requested to return it immediately to Liberty as its property. Copyright Liberty Financial Pty Ltd. All Rights Reserved. Liberty Financial and the Liberty star logo are registered trademarks of Liberty Financial Pty Ltd.

9 THE COMMERCIAL FINANCE LANDSCAPE Credit impaired Low doc Tax debts Stated income Boundary of prudent lending Bank guidelines SMSFs Bank appetite Specialised securities Stand-alone leases No doc Bridging loans

10 COMMERCIAL RATES AND FEES Product Base Rate Base Settlement Fee Enterprise Full Doc From 5.65% From 1.00% LeaseStream From 5.65% From 1.00% SuperCredit-SMSF From 5.65% From 1.00% Enterprise-Low Doc From 5.95% From 1.50% Boost (Clear Credit) From 6.50% Flat 2.50% (min $3,000) * Rates accurate and correct as at 15 March Refer to Introducer Guide for full rates and fees. A rate for risk approach that varies in line with (i) LVR, (ii) credit profile, (iii) verification choice, (iv) loan size, and (v) security type. Rates and fees will also vary where loans require credit committee approval. Rates shown above are inclusive of trailing commission of 25bps. Settlement fees are inclusive of a 50bp upfront commission. Upfront fees may be increased to 1% with commensurate increase to settlement fee.

11 LIBERTY MOTOR SUITE LIBERTY DRIVE A new-to-market prime motor loan for Residential Specialists Delivery rate starting at 7.69% pa, with a 3.30% commission Simple qualification process owner buyer, clean credit, stable employment System approvals and one hour settlements MAX LVR: 150% LIBERTY OPTIONS Options for short term/casually employed Credit blemishes, unpaid defaults, recently discharged bankrupts Available to renters/boarders/living with parents Rates starting from 11.99% depending on profile Fixed rate commissions structures to keep things simple Four hour approvals and settlements MAX LVR: 150% Drive and Options come with: Availability on new and old vehicles (up to 20 years at the end of term) Loan terms of up to 7 years Backed with Liberty s hands-on BDM support

12 THE MOTOR OPPORTUNITY Client Auto Profiles Asset Finance Potential: 53.5% 46.5% % of all applicants had cars that were 7 or more years old - On average these applicants had about 30% home equity - ~282,000 new/old cars purchased every month - Average family has 1.8 cars - People will change one of their vehicles within 6 months of buying/refinancing their home Cars more than 7 years old Cars less than 7 years old

13 LIBERTY RESIDENTIAL OFFERINGS Product Base Rate Max LVR Liberty Star Prime From 4.39% Up to 95% + cap LMI Liberty Custom From 4.99% Up to 95% Liberty SuperCredit 5.74% Up to 80% * Rates accurate and correct as at 15 March Refer to Introducer Guide for full rates and fees. Up front commission of up to 1% and trailing commission of up to 20bps (paid from day 1). Applications can be lodged via LoanNET or ApplyOnline with a 24 hour turnaround time. Dedicated credit team - so you deal with the same underwriters from application to settlement, supported by your Liberty BDM.

14 Liberty Financial: Do More

15 Commercial Origination Business Banking April 2015 STRICTLY CONFIDENTIAL

16 Commercial Origination strategy Mortgage led distribution of Business Banking services Strategic arrangements with intermediaries are fundamental and primary distribution strategies for Macquarie in mortgages, wealth, leasing and funds management Business Banking aims to replicate this success and build the market-leading Commercial Origination capability We commenced operations in July 2014 We have a team of eight broker BDMs who manage broker relationships and source new deals Our team comprises of experienced industry professionals Ross MacPherson Steve Elliot Nicholas Oates Daniel Cherrie, Kevin Treanor and Michael Broughton Bill Mauger and Belinda Allsopp PAGE 16

17 Commercial Origination customer value proposition We understand our customers business We adopt a people approach to lending rather than product or policy Business Banking creates wealth for business customers We have a reputation for disciplined execution and strategic reliance on broker partners Our customer relationships are detailed and long-standing We focus on relationships, flexibility and analysis rather than price 2013 Business Banking customer satisfaction survey PAGE 17

18 Risk Appetite Summary Prudent growth through disciplined risk culture Strengths are professional firms, financial services and property Proactive pricing of risk and return Flexibility of LVRs and Terms No SPV construction and development, agribusiness or small retail Industries Accounting Commercial real estate Corporate transactional banking Financial planning Insolvency Insurance broking Legal Strata Residential real estate Private and property clients Doctors Medical specialists Dentists/Orthodontists Veterinarians Engineers Architects Quantity surveyors Environmental sciences Geological/geotechnical sciences Valuation services PAGE 18

19 Products and Services Full suite of services to meet customer needs Deposits Business accounts Transactional accounts At call investments Term deposits Basic trust accounts; ideal for securely holding monies on behalf of your clients Regulated trust accounts; tailor-made for real estate and legal firms Personal accounts Transactional accounts At call investments Term deposits Lending Cash flow lending SMSF property lending (residential and commercial loans) Working capital Succession Acquisitions Strata improvement loans Property loans Commercial Residential security / business purpose Payments Transactional accounts Account payables and receivables solutions DEFT and batch payments Merchant services International money transfers PAGE 19

20 Accreditation and commissions Attractive and flexible commission structure Existing accreditation framework via Macquarie Mortgages applies Schedule of eligibility and commissions attached to existing VOW distribution agreement Upfront and trail model Up to 50b basis points upfront and 30 basis points trail (negotiated on each deal and determined in Macquarie's absolute discretion) No deal size cap PAGE 20

21 Disclaimer This material has been prepared by Macquarie Bank Limited ABN AFSL & Australian Credit Licence ( Macquarie ) for general discussion purposes only, without taking into account your personal objectives, financial situation or needs. Before acting on this general information, you must consider its appropriateness having regard to your own objectives, financial situation and needs. The information provided is not intended to replace or serve as a substitute for any accounting, tax or other professional advice, consultation or service. Nothing in this presentation shall be deemed binding on Macquarie or any of its Related Bodies Corporate. PAGE 21

22 VOW

23 Tony Ahdore Senior Business Development Manager

24 Agenda Who are Bibby? Bibby Financial Services in Australia How it works Introducers Receivables by industry Financing change Our services Debtor finance prospects

25 Proud to support SMEs worldwide We want to do business and have earned a reputation for helping when others can t or simply won t

26 Who are Bibby Financial Services Key statistics 200+ year trading history of group Leading global invoice financier Annual factored turnover almost $7bn Largest independent specialist in the UK (the largest market for Debtor Finance in the globe) Global leadership across 4 regions Wholly owned by the Bibby Line Group Advancing over $6.5bn to SMEs worldwide Operating in 17 countries across the Asia Pacific/Americas/UK/Europe for information on all our global businesses

27 Bibby Line Group structure

28 Bibby Financial Services in Australia Flexible financial solutions for SMEs Well established since 2002 National presence Local offices in all major cities plus coverage in key regional centers and NZ Annual factored turnover over $2bn Leading independent non-bank debtor financier Bibby s SME Target Market businesses with annual sales revenue from $500K to $100M

29 Bibby s Core Services Factoring Invoice Discounting Export Factoring Asset Finance Bad Debt Protection We can help improve your cash flow and provide an immediate injection of cash against the value of your outstanding invoices For larger businesses with turnover in excess of $1m pa with the client retaining responsibility for collections activity An immediate injection of cash against the value of your outstanding invoices to overseas debtors Additional funding against P/E and property to help maximise working capital Protection of profits against the risk of debtor insolvency or inability to pay

30 Capability statement Fast turnaround We provide certainty / stability Access to additional working capital to fund business growth Reliable source of funds to match your business requirements Access to decision makers Funds drawn at anytime of the week Our approach is entrepreneurial and less institutionalised Wholly owned by the Bibby Line Group and the largest global non-bank debtor financier

31 Financing change Funding growth M/A, buyouts We can provide the capital structure to grow your combined businesses while cost savings and productivity increases associated with the merger or buyout can take hold Financing operations Working capital financing Financing restructure Revitalising your company We provide working capital funding to accelerate cash flow from accounts receivable or other available assets We can support reorganisation through debt restructuring. Refinancing for longer or better terms may also provide the cash flow needed for meaningful business restructuring

32 Factored receivables by industry in Australia Sector % Wholesale trade 38% Manufacturing 19% Labour Hire 11% Business Services 9% Transport & Storage 7% Agriculture & Mining 3% Other 10% Source: DIFA Q4 statistics 2014

33 Prospects for debtor finance Key qualifier B2B with sales on credit terms (e.g. 30 days EOM) Reasons for debtor finance: 1. Lack of cash flow - Slow debtor payments or traditional finance can be extended or not available 2. Suppliers - Payment of liabilities on time capitalise on better supplier terms Alternative to mortgage finance Funding rapid sales growth

34 How it works 1.Invoices raised 5.Balance, less fees, returned to client 2.Invoices sent to Bibby 4.Customer makes payment 3.Bibby funds client

35 Bibby s facility fees A service fee for management of the facility is a fixed percentage of the gross value of each invoice An interest charge on the funds the client has drawn (calculated daily, taken monthly) Application/Legal fees

36 Who we can help SME s sales revenue $0.5M to $100M Small caps/limited companies and LLPs Businesses selling to other businesses on credit terms for completed sales MBOs / MBIs, M&A Succession plans New start ups

37 Minimum security requirements A factoring or invoice discounting agreement A circulating security interest Guarantee and indemnity from Director/shareholders

38 Why choose Bibby? With Bibby, doing business is straightforward and easy Service Forget the red tape and slow pace of traditional finance solutions. You ll benefit from fast and flexible solutions for your business. We recognise that every business has unique requirements We understand business With 200 years of trading history, we know what its like to be in business. We re independent and perfectly positioned to understand your business. We do business your way. Easy to do business with Our approach is entrepreneurial and less institutionalised. We know that being flexible is important to you. We can offer a wide range of solutions to help you achieve your business goals.

39 Introducers Commission Upfront and trailing commission Innovative incentive scheme Reciprocal Business We promote our introducers businesses to prospects, clients and other business partners.

40 Questions

41 Next Webinar Date : Wednesday 22 nd April 1pm Topic: Reading Financials for small business lending & serviceability calculations with Sponsored by: Macquarie & hosted by Michelle Standley Qld State Mgr & Michelle Strapps _ BDM Macquarie Qld