We are independent & ad-supported. We may earn a commission for purchases made through our links.
Advertiser Disclosure
Our website is an independent, advertising-supported platform. We provide our content free of charge to our readers, and to keep it that way, we rely on revenue generated through advertisements and affiliate partnerships. This means that when you click on certain links on our site and make a purchase, we may earn a commission. Learn more.
How We Make Money
We sustain our operations through affiliate commissions and advertising. If you click on an affiliate link and make a purchase, we may receive a commission from the merchant at no additional cost to you. We also display advertisements on our website, which help generate revenue to support our work and keep our content free for readers. Our editorial team operates independently of our advertising and affiliate partnerships to ensure that our content remains unbiased and focused on providing you with the best information and recommendations based on thorough research and honest evaluations. To remain transparent, we’ve provided a list of our current affiliate partners here.
Education

Our Promise to you

Founded in 2002, our company has been a trusted resource for readers seeking informative and engaging content. Our dedication to quality remains unwavering—and will never change. We follow a strict editorial policy, ensuring that our content is authored by highly qualified professionals and edited by subject matter experts. This guarantees that everything we publish is objective, accurate, and trustworthy.

Over the years, we've refined our approach to cover a wide range of topics, providing readers with reliable and practical advice to enhance their knowledge and skills. That's why millions of readers turn to us each year. Join us in celebrating the joy of learning, guided by standards you can trust.

What Is a Business Finance Broker?

By C.B. Fox
Updated: May 17, 2024
Views: 3,630
Share

A business finance broker is a person who manages the capital that comes in or goes out of a business. These brokers may find investors for a client business when more capital is needed or they may find investments that their clients can put money into in order to generate more capital in the future. Some of these brokers specialize in stocks or business purchases, while others have a breadth of knowledge that allows them to invest and attract a variety of types of investments. Unlike other types of brokers, a business finance broker works specifically with businesses.

Business financial brokers find capital for businesses either in the form of investment or as loans that a business can use immediately when it needs more money. Brokers are often able to get better rates on loans than a business owner because they have long-standing relationships with lenders. They also may be aware of businesses looking to invest and may be able to match up investors with a client's business.

The other main aspect of a business finance broker's job is investing for a client. These investments can be in a variety of different areas, including real estate, stocks, bonds, commodities, or even other businesses. The hope for these investments is that they will pay off at the end of a certain amount of time, providing more capital for the client to put back into their businesses.

A large company may have a business financial broker on staff full time. These brokers may be kept busy investing and attracting investors as needed. Brokers may also work in a firm that handles a number of large and small client businesses. One broker might specialize in a particular area because he can rely on the other brokers in the firm to provide expertise in other areas. Alternatively, a business financial broker may work as a freelancer, hiring out his financial services to a variety of different clients.

A business may choose to hire a business finance broker because he has many contacts with other businesses and lenders. In exchange for his expertise, a business finance broker receives a commission on the sales or loans he facilitates. Firms and corporations that keep brokers on staff commonly offer a salary or a salary plus commission.

Share
WiseGeek is dedicated to providing accurate and trustworthy information. We carefully select reputable sources and employ a rigorous fact-checking process to maintain the highest standards. To learn more about our commitment to accuracy, read our editorial process.

Editors' Picks

Discussion Comments
Share
https://www.wisegeek.net/what-is-a-business-finance-broker.htm
Copy this link
WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.

WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.