An accountant’s perspective on property journey

Munzurul Khan has built a successful Accounting Practice over the past 12 years, growing his firm Keshab Chartered Accountants (and associated entities) to over 50 staff, 12 partners and around 13,000 clients. But he has also built a substantial investment property portfolio with the same philosophy as his business: consistency and persistency. His philosophy is ‘life is all about contributing to others’ through quality, integrity and personal care.

“My father encouraged me to purchase my first property when I was at the beginning of my career and had some savings to invest. I was fortunate it was the right time, the market went up. And I just saw how it made sense.”

Khan set himself a challenging goal to acquire more properties and developed his individual strategy. “I look at long term growth and cash flow, as the compounding effect with sustainable cashflow provides the ultimate result. That means ‘no frills’ investments with geographic and asset class diversification.”

Khan’s portfolio has evolved to combine commercial properties for consistent income, with residential properties for growth. “It’s about time in the market, not timing the market.”

As Khan continued to invest in more commercial and residential properties, his bank told him he had reached his borrowing limit. But he believed in the cash flow that underpinned his model, and started looking for a finance provider who would share that confidence.

“There is always an alternative solution. I found a mortgage broker who could look at the same numbers but see a different way to proceed with the funding. And then I asked him to introduce me to Macquarie Bank.”

Khan had been exposed to Macquarie Bank when he progressed his career with a major consulting firm, and then through many Keshab clients who also invest in property. “We are often exposed to our clients’ refinancing experience, and Macquarie is the best I have seen. They think laterally, they are logical and commercial with solution-based view, and they have the experience. They are a team of very smart people with strong inquisitiveness and resourceful due diligence,” he says.

As an Accountant, Khan also saw the value in Macquarie’s expert advice. “I wanted a bank that would be pragmatic and thorough. I don’t want to risk all the work I’ve put into my investments.”

It did take time for Macquarie to go through the process of refinancing due to their detailed due diligence, but Khan says he “absolutely loved the experience. They explored every single detail, and I saw it as getting a professional and practical opinion on the state of my entire business.”

He was pleasantly surprised when Macquarie not only approved the refinancing request but also offered an additional $1 million if he wanted to expand the investment portfolio. “That really showed their confidence in my business and strategy,” he notes. And while Khan was happy with the initial proposal, he was delighted when he saw his relationship manager had shaved another 25 basis points off the interest rate by the time he signed the paperwork.

“I’ve been very happy to move a number of my property investments to Macquarie. It has been a strategic move from my perspective.”

Khan is now working with his relationship managers to support his growth plans for Keshab Chartered Accountants with business banking solutions.

Khan often advises his clients that their choice of banking partner is fundamental. “It can shape your strategy. You need someone who understands you, and your goals and objectives. Someone with the right mindset.” He says this means finding a “balanced bank” – one who can balance commercial practicality and risk; professionalism and care.

“In this way, Macquarie is second to none. They invested a lot of time to get to know us, and I have no doubt the results will follow over the years.”

For Khan, it is the little things that make the difference between a banker who is simply good, and one who is extraordinary. “It’s the level of personal care that shows that this is more than a transaction, it’s a relationship.”