Profit Improvement
AdMor Group delivers profit improvement services to the mortgage servicing industry using a reimbursement methodology that has no financial risk for its client. Benefits of between $3.00 and $6.00 per loan have been identified for clients with portfolios ranging from 25K to 2.5M loans. Typical engagements are performed in 3 to 6 months. The results monitoring phase of the engagement will run for a predetermined number of months following implementation. Through the utilization of experienced mortgage banking analyst, the process is performed in an organized and noninvasive fashion with specific emphasis on evaluating aspects of the mortgage servicing business that are most likely to reduce expense and increase revenue, thereby improving net profitability.
The engagement is delivered in two phases:
Phase One
Phase One is 2-3 week diagnostic review to evaluate profitability opportunities at a very high level. A scorecard of specific business practices is utilized to drive out the greatest profitability opportunities. At the completion of Phase 1, the client and AdMor Group agree on the proposed benefits and changes the client wishes to consider for more detailed analysis and possible implementation.
Phase Two
Phase Two involves a more complex analysis that drills down to specific projects and development of implementation project plans. This phase includes the preparation of an Implementation Memo prepared for each enhancement recommendation, defining specific steps required to assure quick and efficient implementation resulting in rapid returns to the clients. Often, easily implemented enhancements can begin immediate returns while the more complex ideas may take some additional time and effort to fully implement.
AdMor Group delivers this service based on a profit sharing methodology. The profit sharing concept motivates the client and AdMor Group to remain fully motivated to maximize financial benefits throughout the engagement. Final payment for every implemented project is based on actual financial results. Some engagements have experienced positive cash flows within 30 days from the first profit improvement implementation.