Business finance broker working from home

Lenders usually pay you commission when a deal completes. Some brokers also charge the business a fee, which must be clearly explained up front.

A commission, typically a percentage of the amount borrowed, paid by the lender on each completed deal. Income can be uneven, as deals take time to complete.

• Understanding business accounts and cash flow
• Clear communication with business owners
• Organised, with good attention to detail
• Building relationships with lenders and referrers

• FCA rules: broking to sole traders, partnerships and some other borrowers can be regulated, so check before you take any client
• Professional indemnity insurance, and whether your lenders or network require it
• Clear disclosure of commission and any fees to clients
• Data protection: check whether you need to pay the ICO data protection fee and how to store client documents securely
• Anti-money laundering checks: check what applies to your activity
• Commission can be clawed back if a loan is cancelled or repaid early, so check lender terms

Estimates suggest startup costs are typically around £600 to £3,000, depending on your insurance, software, any network membership and the setup of your home office. Check whether your lenders or network require professional indemnity insurance.

Monthly revenue is typically around £500 to £4,000, depending on how many deals complete and their size. This is revenue, not profit. Commission can be clawed back if a loan is cancelled or repaid early, so check lender terms.

Check before taking any client. Broking to sole traders, partnerships and some other borrowers can be regulated by the FCA. Also check anti-money laundering requirements, the ICO data protection fee, and how you must disclose commission and fees to clients.