The shares will be allocated at the end of October this year, with a further 7.5 per cent allocated to the next 100 top-performing brokers.
Membership costs are £50 per registered individual per month as well as a charge of £45 for each completed mortgage. There are no additional costs for PI cover, training and compliance or sourcing software.
ARs will use a bespoke sourcing system, Classic Homebuyer, which also provides insurance quotes and was created by defaqto, the FSA’s comparative website supplier.
Managing director of Classic Network Solutions, Tony Corrigan, said: “We believe this is a proposition that offers the benefits that would have been gained by going directly authorised, but with none of the headaches.”
Commenting on the launch, Julian Wells, head of marketing at Mortgages plc, said: “I think smaller networks will be a valuable aid to intermediaries. Some brokers may not want to join a large corporate organisation and will prefer the more personal service they can get from a small network.”
