The Adviser sits down with DJ Capital's Damien Simonfi to discuss his group's niche and the non-bank sector
Q1. Is a one-size-fits-all broker approach appropriate for the non-bank sector?
No. Each client has specific requirements and our broker partners, who are proficient, understand where specific deals should be placed.
Q2. Who is funding the non-banks and how is this a positive?
As always, there are a variety of sources where non-bank lenders obtain their funding. It could be anywhere from major banks, multi-national institutions, sophisticated investors and internal funding to name a few.
Q3. What is your lending niche?
Our niche is speed, not client- or industry-specific. So long as the client can provide sufficient documentation to comply with our credit policy. In addition, DJ Capital lends in all states and territories in first and second mortgages.
Q4. Is it fair to call non-banks lenders of last resort?
Spanning across 16 years in the Australian sector with experience in major banks, non-conforming lenders and bridging finance and having researched lending models around the world, Australia does have a very robust banking system. That being said, there are flaws within the system that provide organic growth for specific niche lending areas such as non-conforming, bridging finance, debtor factoring and pay day lenders. While it can be viewed as lending of last resort, our experience is that our clients, who are SMEs, simply require short-term funding for progressive opportunities that other lending models cannot facilitate.