The difference between Wizard and YBR is chalk and cheese. The Wizard Home Loan brand was also a franchise but lending of money relied heavily on securitisation which is the repackaging of home loans and onsold as an investment. Aussie Home Loan's also did this however since the GFC and the tightening of liquidity this type of vehicle is harder to flog.
Aussie has also rebranded itself as a mortgage broker on behalf of banks and other lenders. MB was lucky to get out at the top of the market the way he did...also that guy that flogged RAMS.
YBR is lending money but also doing investments etc, it will rely hravily on the franchisee's to sell the products...there really isn't any risk for MB. If it works he's a major shareholder, if it doesn't well there is limited loss.
I'm yet to be convinced that YBR is going to turn a profit in this environment. I watched Celebrity Apprentice as light entertainment...it didn't really make me want to go out and see YBR franchise.
DYOR
YBR Price at posting:
31.0¢ Sentiment: None Disclosure: Not Held
