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One of Australia’s largest aggregation groups has seen its commercial lending settlements surge 36 per cent over the 2017 financial year.
Vow Financial recorded $1.1 billion in total settlements across its commercial, asset and equipment finance business over the 12 months to 30 June this year.
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The aggregator, part of the Yellow Brick Road (YBR) group, has seen consistent growth in commercial lending volumes since the division was established under the leadership of Vow’s head of commercial Glenn Mitchell back in 2014, when annual settlements hit $245 million.
“More and more brokers are diversifying into commercial lending from within the Vow and YBR networks,” Mr Mitchell said.
“Just a few years ago, broker market share of the commercial space was sitting at 10 to 15 per cent. Today it is up around 35 per cent and growing,” he said.
“Education will play a significant role in growing that share in the years to come.”
Vow Financial general manager Clive Kirkpatrick highlighted that the group set a new record for settlements in June: “An amazing achievement given the changes in the marketplace”, he said.
“Vow’s commercial and asset and equipment finance business has grown by 75 per cent over the last two and a half years,” Mr Kirkpatrick said.
“We plan on growing our commercial business. We are now the fastest growing aggregation group in this space.”
Vow confirmed that all lenders on its commercial panel saw an increase in settlements over the 2017 financial year.
[Related: Commercial finance ticks downwards in May]
