1 October 2026 · Pippa Admin
How Do Commercial Finance Brokers Get Paid? (And Why It Matters)
Understanding broker commission helps you choose a partner who's working for you, not against you. Here's how it works.
The short answer
Most commercial finance brokers, including Hylands Capital, are typically paid commission by the lender once a deal completes, not by charging the client a separate fee on top. It's usually a percentage of the facility arranged.
Why this raises a fair question
If a broker is paid by the lender, could that create an incentive to place a deal with whoever pays the most, rather than whoever's best for the client? It's a reasonable thing to ask, and the honest answer is that it depends entirely on how the broker operates.
What separates a good broker from a bad incentive structure
- Do they compare a genuinely wide panel of lenders, or push one or two preferred partners regardless of fit?
- Will they tell you upfront, clearly, that they receive commission, without you having to ask?
- Are they willing to explain why a particular lender suits your situation, not just that it's “approved”?
Questions worth asking any broker
- “How many lenders do you compare for a deal like mine?”
- “Will you tell me what commission you're receiving on this deal?”
- “What happens if I'd get a better rate going direct to a lender?”
Where Hylands Capital stands
We disclose our commission model as a matter of course, throughout the customer journey, not buried in small print. We're not authorised or regulated by the FCA and only complete non regulated introductions, which we're equally upfront about. Being clear about how we're paid is part of how we earn the trust to be paid at all.