We’re still standing

Like many of the well established independent UK brokers, Yorkshire broking giant Henderson often prefers to keep its cards close to its chest. But hidden deep down there is a lot to shout about for these regional players who are reaping the rewards of their conservative strategies while the consolidators struggle to keep their houses in order following a year of dramatic change in the market.

Brokers like Henderson are no different to any other business in the fact that they have openly suffered from the affects of the credit squeeze, in areas such as construction.

But rather than splashing the cash at any acquisition that comes their way in an attempt to grow the business, as Henderson’s burly Yorkshire-blooded owner Joe Henderson suggests was the tactic and mistake employed by consolidators, the business has aided the majority of its development from its own cash flow and is seemingly being rewarded as a result.

This has ultimately enabled the company to now seek funding from banks to allow it to make some strategic acquisitions – such as credit insurance broker UK Credit - as it targets the next stage in its expansion and a hefty £200m gross written premium milestone.

It might seem like the safe option, but in the current climate it is most probably the right option and people such as Henderson who are the old school of the broker market should not be underestimated. With the heavy consolidation now over, brokers such as Henderson can pounce as prices return to realistic levels. A clever move, some might say.

If you believe the speculation, Henderson has been the target of interest from private equity firms and consolidators in the past. But just like its regional rivals in the shape of independent broker powerhouses such as Perkins Slade and Lucas Fettes, it has clung to the hope that experience always pays rewards in the end. And they look like they’re right, again.

See story: Independent giant expands into trade credit market