Philip F Smith’s Loan Broker Network Review: Is a Done-For-You Loan Brokerage Business Legit?

August 29, 2024

The Loan Broker Network is a done-for-you mortgage and loan broker business program by partners Philip K Smith and Kevin Harrington. The program comes with lead generation training and will partner you with a team that will run every aspect of your business. This is just one of the services offered at philipfsmith.com.

A loan broker is a middleman who connects borrowers seeking loans to lenders willing to finance them. Loan brokers work with either businesses or individuals, depending on the loan type. As a loan broker, you need to find leads (those seeking a loan), and then sell that lead to a lender. Most loan brokers do not require a license, but regulations may differ depending on the state. You should consult with the small business administration or the licensing board in your state for information on licensing or certification.

Local lead generation is a business model where you generate organic leads using the rank and rent method using SEO tactics. You then rent out your site to local businesses, who pay you for the leads they receive from it. As a type of digital real estate, you earn a predictable and passive income from renting without the need to constantly look for leads. Check out local lead generation for a low-cost, low-risk business model.

Philip F Smith’s Loan Broker Network Review: Pros and Cons

Pros

Philip Smith has been working in lead generation and marketing since 1998.

Comes with lead generation lessons.

Access to the private Facebook group.

Cons

Kevin Harrington has an ongoing lawsuit.

No refund policy has created several unresolved complaints.

a

Price

$967 today, then 30 payments of $1/day, or $597 today, followed by one payment of $597 in one month.

Refund Policy

No refund policy.

Origin

2017

Reputation

Mixed reputation due to numerous complaints about the program and Kevin Harrington's lawsuit.

August 14, 2024

I’s a complete scam. You can buy a business loan broker course on Udemy for $10. The done-for-you service was useless and they spend more time trying to upsell you.

BG

1.0
1.0 out of 5 stars (based on 1 review)

Can You Trust the Loan Broker Network?

The Loan Broker Network is technically not a scam. However, there have been some issues that you need to be aware of before deciding if this program is for you. Phil Smith has been in the lead generation business for over 2 decades now, which means his services are most likely legit. While there have been some complaints about his programs and services, you could attribute this to the performance of his teams. His partner, Kevin Harrington, has been involved in a legal issue.

Kevin Harrington Lawsuit

In August 2021, Shark Tank co-stars Kevin Harrington and Kevin O'Leary were involved in a 102-page lawsuit filed with over 20 plaintiffs. The lawsuit was highly publicized and is on various news publications like Fox, USA Today, and NewsNation. The Shark Tank co-stars were sued for their alleged involvement with the crowdfunding companies InventureX and Ideazon, which used "fictional executives, false promises of financial success, and even illusions of being on the show 'Shark Tank' itself" to lure start-up businesses into working with them. These 2 scam businesses used "facades designed to lure in unsuspecting victims, extract their money, and then virtually disappear under the guise of delays, minimal to no performance, and no results."

While O'Leary denied his involvement with the companies, claiming that he never worked with any of the plaintiffs, video evidence showed him discussing the companies in question. As for Harrington, he was "prominently featured as a partner on the IventureX website," with plaintiffs receiving a personalized video in which Harrington would state that he was informed of their business and wanted to invest in them. Harrington claimed that he was only paid to do videos for the company and does not own a piece of the company, nor has he taken any principal role in them.

Who Is Loan Broker Network For?

The Loan Broker Network is for anyone who wants to create their own done-for-you mortgage and loan brokerage business and have it automated by a team of professionals. This is for beginners who have a zero idea of the business model, or experienced loan brokers who want to scale.

What Do You Get With Loan Broker Network?

With Loan Broker Network, you will learn how to generate leads and how to sell them to businesses for a profit. The program also comes with a complete, done-for-you service.

The Loan Broker Network Package Includes

  • Done-for-you service where a team of about 100 members takes care of every aspect of your business, from the creation of sales funnels to managing your marketing campaigns and closing your deals.
  • Access to the Facebook support group, where you'll be able to find 24/7 help and learn new tricks and tactics.
  • Lead generation training by Philip Smith so you can understand how your business works.
  • Ability to be invited to attend a mastermind virtually or in person.

Are Clients of Loan Broker Network Successful?

There are tons of video testimonials from clients who have attended several of Philip's live mastermind. In these testimonials, they mostly talk about the mastermind events and the community with the lack of any real world success examples.

loan broker network review

There are several complaints from clients on the BBB. All complaints have so far gone unanswered and unresolved. Here are some of those shorter complaints:

Keep in mind that the products and services of philipfsmith.com do not have a refund guarantee. Take that into account before deciding if this service is right for you.

Conclusion: Do I Recommend the Loan Broker Network?

I recommend joining the Loan Broker Network if you want to take advantage of the done-for-you service model. However, if you are looking for just a course on lead generation, I suggest taking a dedicated course or mentorship program.

What I found most fascinating about the Loan Broker Network is that both of the partners’ expertise benefit them well with this program. Phil is a lead generation expert who finds leads and recommends them to Kevin’s loan services.

Who Is Philip K Smith?

loan broker network review

Philip F. Smith is a digital marketing consultant and founder of philipfsmith.com. He has consulted for over 40 companies with the likes of IBM, Intel, AT&T, and HP. Phil has built and sold 4 digital marketing companies since 1998. He started his marketing career by learning how to broker leads, finding them, then selling them to lead buyers. by running advertisements and marketing campaigns. He has been featured in several publications like Inc, and Forbes.

Phil Smith founded his advertising and marketing agency, PJP Marketing, in 2013. PJP Marketing delivered online lead generation services, specializing in the financial services market, providing business loan leads and credit repair leads. His company made the Inc. 5000 list of fastest growing private companies for 4 years in a row in 2018–2022, with the first 3 as a one-man company.

Who Is Kevin Harrington?

loan broker network review

Kevin Harrington is considered the "infomercial godfather" for airing the first ever infomercial in 1985. Kevin has launched has invested in nearly two dozen companies and launched over 500 products. His net worth is estimated at $400 million.

By 1994, 90% of all stations were airing infomercials. Since the start of infomercials, the question of getting celebrities and known people to market the product has also been considered. While experts are used for their endorsement value, the "name" of a famous person adds marketing value. Using his own name as a successful investor, Kevin has added marketing value to various products and services.

Is A Loan Brokerage Business Worth It in 2024?

A local brokerage business is worth it in 2024. There will always be businesses looking for funding and investors looking to invest their capital. The purpose of a loan broker is to act as an intermediary between the borrower and the lender. Loan brokers are popular because most applications for loans, about 80%, are denied by banks. Working with loan brokers also has its own distinct advantages.

Advantages and Disadvantages of Using Loan Brokers

Pros

Saves time - Loan brokers are knowledgeable in their field and can know a wide variety of lenders and policies. Their expertise can help you find the best loan terms that suit your situation.

Lower rates - Brokers usually have a lot of connections. Successful brokers may get lower fees from lenders because of the many leads they bring in. They may even get the lenders to waive miscellaneous fees such as origination fees, application fees, and appraisal fees.

Easy, quick, and convenient - Brokers usually handle their own time, so it's easy to book an appointment. As brokers are after their commission, be assured that they speed up the loan process and make it as easy for you as possible to secure loans.

Cons

Bigger loans can be more expensive - Make sure to do the math before agreeing to the deal. Brokers usually take a percentage commission relative to the loan. The larger the loan, the higher the broker's fee.

Estimates aren't guaranteed - Brokers usually make an offer based on a "good faith estimate". This means that this is just an optimistic figure, as the offer hasn't been finalized yet. The lender may decline the initial offer and change the figures.

Not all lenders work with brokers - Since 2008, there has been a decline in the number of lenders working with brokers because of the high percentage of broker-originated loans going into default. This means some lenders who may have better deals are not accessible through a broker.

Loan brokers can make a lot of money if they constantly receive leads and close deals. They make money from either an upfront commission fee or ongoing commissions that span the life of the loan. Loan brokers charge 0.50 percent to 2.75 percent of the loan principal. Broker fees are capped at 3% by federal law.

With all the available lead generation tools and software, finding leads has never been easier. Automation is a big factor in making lead generation easier and more scalable. Tools can automate your marketing campaigns, such as email marketing, and outsourcing can automate other aspects like cold calling. For many years, Phil was able to scale his lead generation business without even hiring any employees.

Top Skills You Need to Be a Successful Business Loan Broker

  • Research - Good research skills will help you find the best deals with low interest rates for your clients that suit their needs. You need to keep on top of the industry and be updated on the news.
  • Marketing - You need to have skills in marketing if you are to run effective campaigns to attract more clients. Running ineffective paid ad campaigns can make your cash flow negative.
  • Interpersonal - Having good people skills is paramount in this business. You need to be able to build rapport and effectively negotiate loan terms.
  • Communication - Effective communication is the key to closing deals. You need to be able to explain complex financial offers and create concise proposals.
  • Time management - It is important to manage your schedule and workload in order to meet your clients' needs. Time management is very important when working with tight deadlines.

FAQs

  • How are loan brokers and direct lenders different? Loan brokers do the legwork in securing you a loan, while direct lenders do the qualification and process the loan application. Direct lenders are banks and other financial institutions.
  • How can a business loan broker benefit your business? Working with a business loan broker can benefit your business by connecting you with lenders that suit your needs. Brokers usually have the expertise and knowledge and the proper connections.
  • Will working with a small business loan broker hurt your credit score? Working with a business loan broker will not hurt your credit score. There are a lot of benefits to working with a broker for your small business without affecting your credit score.
  • How much does it cost to hire a business loan broker? It costs anywhere from 1% to 6% of your loan amount to hire a business loan broker. Many reputable brokers charge the lender instead. Commission rates are neither standardized nor controlled, so the prices fluctuate from case to case.
  • What is a personal guarantee for a business loan? A personal guarantee for a business loan is an agreement between the business and lender that if the business is unable to pay, the individual who signed will take responsibility for the repayment. Business loans do not require a personal guarantee, but most lenders will require one.

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My Top Passive Income Business Model for 2024

Local lead generation is my top passive income business for 2024. With this business model, you don't find leads to sell them, but rather create a website that draws in organic leads. Instead of selling the leads to businesses, you simply rent out the website to local businesses. This creates a sustainable passive income stream.

To start, you only need as little as $500 in initial investment for the software, hosting, and other tools. Once your site is ranked and rented, you can earn as much as $2,000 per site. There is no need to hire a team to "automate" your business as you simply have to check once in a while if your site is still ranked high on Google. A site can stay ranked for years before you even need to update it.

Scaling has never been easier with local lead generation. You simply need to repeat the process of creating and ranking another site on Google and then renting it out to local businesses. With hundreds of niches and thousands of areas, the scaling potential is limitless. These qualities are what make local lead generation my number 1 business model to create time and financial freedom with.

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Ippei Kanehara
Founder/CEO

$52K per month providing lead generation services to small businesses

Ippei.com is for digital hustlers, industry leaders and online business owners.

His #1 online business recommendation in 2024, is to build your own lead generation business.

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  1. Hi Ippei, I'm interested in hearing more about your lead generation business. I don't have the $500 currently but I will have by the end of the month. Let's chat and we can go from there. thank you, Scott Ford

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