One of a commercial loan broker’s key skills is the ability to connect with their clients and lenders. The relationships they establish are one of their greatest assets and often determine their long-term success in the industry. Because of this, having a great customer relationship management system is essential to the long-term health of brokerages.

What is a CRM?

Customer Relationship Management refers to practices, strategies, and technologies that companies use to manage, monitor, analyze, and conduct customer interactions. A CRM system is a software or technology which companies use to track their customers and clients.

A strong CRM for loan brokers allows for better targeting of communication, more streamlined conversations, and better goal conversion. A CRM should focus on maintaining and tracking when a client is spoken to, how the conversation went, what the results were, and most importantly, next steps for further interaction.

Loan broker CRM strategies can be fluid, changing based on how the market is acting, the current size of the pipeline, and business goals.  This means that as a brokerage advances in finding clients and closing deals, its CRM strategy will evolve.

Why do you need a CRM?

As humans, we only have so much memory available to us. A CRM ensures that a loan broker doesn’t miss important information on their clients and deals. By keeping all data in a centralized location, a CRM makes it easier to track and manage clients. This allows for improved communication across a team, as well as between a broker and their clients. All of this helps to make a broker’s life and job easier.

What are the benefits for you and your clients?

There are two key benefits to using a CRM. The first is the improvement it offers to broker/client relations. Proper management of client interactions and resources allows for a loan broker to make sure their client is happier.  Clients receive regular communication but are not inundated to the point of feeling trapped. By setting reminders and keeping track of what each contact was like, a broker is able to ensure that they are always up to date with their clients.  If a broker is trying to attract a new client, or close a deal, a happier client will be more likely to work with the broker.

The second benefit is an increase in deal size and speed. With better communication comes more information. When trying to close a deal or find lenders to provide a loan, accurate and timely information is vital. The more a client is willing to connect and share, the easier it is a for a broker to collect all the information needed to connect their clients with the right lenders.

A CRM is just one part of establishing a successful brokerage. That’s why we work with our students to connect the skills they learn in our courses with practical tools and real-world experience.  For more information, check out our loan broker CRM system, our commercial loan broker training, or how they are both combined in our full loan broker business startup program.

And with our training in CRM, our students are able to better connect with their clients. To learn more take a look at our upcoming sessions.