'A focus on commercial lending and how to unlock potential revenue

streams’

Craig Leyland, Director Intermediary DevelopmentUK Business Banking

• Welcome

• The commercial finance marketplace

• Differences between residential and commercial

• Risk assessment

• What do we lend for?

• Proud to be different

• Award winning

• How do I find out more?

Agenda

• Total commercial finance market c.£200bn.

• Commercial mortgage market c.£80bn.

• Only 15%~20% currently brokered in the UK

• BTL was similar 7 years ago

• Will commercial mortgages become the next BTL ?

The Commercial Finance Marketplace

• Priced on a deal by deal basis

• No two deals are the same

• No sourcing system

• No income multiples

• Based on risk

• More detailed valuation process

The Difference between Commercial & Residential

Risk Assessment

Risk Assessment

Quality of the business

Quality of the security

Serviceability

Quality of the individuals

• Commercial mortgages e.g. owner occupied purchase, investment purchases etc. Up to 80% LTV, 25 years, up to 3 years capital holiday

• Hotels LTV up to 80%, with terms above

• Buy-to-let portfolios up to 85% interest only up to 25 years

• Residential development loans to cost range 65 to 75%; extended criteria for experienced builders

• Interest rate management (IRM) solutions

• 100% funding in certain sectors

What will we lend for ?

• Dedicated broker BDM workforce of 120 covering England & Wales

• Dedicated processing unit for all broker introduced business

• We’re totally transparent ~ we charge our arrangement fee and allow the broker to charge their fee

Proud to be different

Award Winning !

Financial Adviser ~ Best Commercial Mortgage Provider 2008

NACFB ~ Best Business Bank 2004 ~ 2007

• Broker to broker

• Specialist commercial packager

• Direct to lender

• Speak to me or one of my BDMs over the lunch period

• Speak to Adam Tyler, CEO of the National Association of Commercial Finance Brokers (07733 204811)

Ways to market and finding out more