Why Are Factor Fees So Expensive? Stephen O’Neill Explains

In this episode, Nick and Steven sit down with Stephen O’Neill, founder of Newton Property Management, which now manages around 40,000 properties across Scotland. Stephen shares his fascinating journey from growing up in his family’s estate agency business, to launching and selling his own lettings company, and then scaling Newton into one of Scotland’s leading factoring businesses.Known for his straight-talking approach, Stephen unpacks the challenges of reputation in the factoring industry, the realities of acquisitions, and the importance of culture in building a generational business. From surviving mistakes in early ventures to instilling a people-first ethos at Newton, this episode is packed with lessons in growth, resilience, and leadership.🎙️ Episode Highlights:🏁 Early Lessons in BusinessGrowing up around his father’s Glasgow estate agencyWatching the family firm lose control after rapid expansionKey lessons on ownership, shareholding, and capitalisation💼 From O’Neils to NewtonFounding O’Neils Lettings in 1995 and hustling for growthSelling the business in 2000 for ~£750kWhy factoring, with its long-term recurring revenue, became his focus📊 Scaling Newton Property ManagementHow Newton grew to 40,000 properties and ~85 staff across 4 officesThe “30/30/30” profit model that funded growth and acquisitionsBuying competitors at rising multiples – and why Newton is “not for sale”🏠 Factoring, Reputation & RegulationWhy factoring has a bad public image and how Newton tackles itRobust credit control and chasing arrears through debt collection/legal routesCalls for stricter regulation and annual audits of client accountsChallenges with under-resourced tribunals🌍 Culture, Leadership & VisionReturning from Bali to rebuild service quality after rapid growthCreating a people-first company culture: loans, therapy, office lunches, stocked fridgesHis ambition for Newton to be “the best employer in the country”📈 Market Views & Next StepsWhy Stephen is bullish on Aberdeen and sees “Park Circus prices” potentialReflections on being a manager, not a landlordBalancing growth ambitions with the goal of running a generational business----------------------------------------------------Know someone looking to sell? Send the guys at Prime a message now: https://wa.me/447938603856----------------------------------------------------Follow us on all of our social media accounts and join our monthly networking events in Edinburgh, Glasgow, and Dundee!Vist: https://linktr.ee/scottishpropertypodcast