Bill Rayburn is co-founder, CEO, and chairman of the board of FNC Inc., a Mississippi-grown mortgage technology company that delivered its first solution in early 1999. Under Rayburn’s leadership, the technology company invented and developed a residential real estate Collateral Management System (CMS) that revolutionized the mortgage industry. Rayburn initially tackled the responsibility of raising funds and establishing the banking relationships necessary to ensure FNC’s success. In recent years, his focus has shifted to leading the company’s organic revenue growth through strategic planning and the introduction of new solutions to the marketplace. FNC is based in Oxford and has offices in New York City, Costa Mesa, Calif., and Dallas, Texas.
Q — What career path led you to FNC?
A — Prior to co-founding FNC, I co-founded two other successful ventures — a residential real estate development company, and a seminar and training company. I also served full-time on the finance faculty at The University of Mississippi for 12 years where I taught graduate courses in financial institutions and real estate investment analysis. Prior to serving at Ole Miss, I served five years in the business school at Southern Miss as a member of the finance faculty. I hold a doctorate in finance and is a Chartered Financial Analyst (CFA) and MAI. I worked my way through graduate school selling enterprise telecommunications systems with a major firm. I was recently named board chair of the Mississippi Technology Alliance and have been inducted into the Innovators Hall of Fame.
Q — FNC is known for its software platform that is now used by top lenders to process appraisals. What do FNC products do?
A — FNC has done on the collateral side of lending what FICO did on the credit side. With FNC solutions, residential real estate professionals can now have the same confidence in their collateral valuations as they do with a borrower’s credit scores.
FNC is the national leader in collateral valuation and management systems. We deliver deep expertise in appraisal compliance, workflow best practices, and process efficiency to clients in the Origination, Servicing, and Secondary and Capital Markets arenas.
Our flagship product, the Collateral Management System (CMS), is an appraisal workflow platform that automates vendor management, valuation ordering, tracking, documentation, and review for lender compliance with industry regulations, such as those imposed by Fannie Mae and Freddie Mac, the Dodd-Frank Act, and the Interagency Appraisal & Evaluation Guidelines. By processing more than 400,000 appraisals per month — representing 1.2 to 1.6 million property records — our platforms have enabled the industry’s top mortgage lenders to realize compliance security, reduced costs, and more efficient risk management.
Combined with FNC’s collateral-focused data and analytics, FNC technology offers transparency into the property backing a loan from Origination and Servicing to capital markets.
We also offer a suite of analytic products to give our clients easily accessible, comprehensive property information. This is the crucial insight lenders and investors need to identify market trends and make educated decisions about property values while mitigating risk and identifying fraud on loan portfolios.
Q — Who are your clients?
A — We count among our clients the nation’s major lenders and servicers as well as a significant number of regional and community banks. Our clients also include real estate investment firms, government-sponsored enterprises, and appraisal management companies.
Q — Who are your competitors?
A — Well, we believe we have a solution that is currently unmatched in the industry. In reality, our primary competitors are the financial institutions’ own internal information technology staff. There are a few other companies who do pieces of what we do, but we have the whole package.
Q — What has the growth been like?
A — Our growth has been steady. We started in the origination space of mortgage lending when banks would use our system to streamline their mortgage lending workflow and appraisal review processes. Then, when the market collapsed in 2008, we began to focus more on the servicing arena, where our technology was utilized to validate the value of the bank’s distressed assets — homes that had unfortunately gone into foreclosure.
Q — What has made FNC successful?
A — Our people have absolutely made FNC successful. From our investors to our developers to our sales staff and our award-winning customer support team, our people have built this company from the ground up. We believe if we’re good to our staff, our staff will be good to our clients. So we’ve made FNC a fantastic place to work. And so far, that work environment has paid off.
For example, the company does not have regular office hours for almost all of its employees. People are given autonomy to work their own schedules, and they are measured on their results and not “punching the clock.” People are trained and then given a lot of front line responsibility early in their careers. This allows employees to quickly have substantive opportunities to contribute. We’ve also implemented some very employee-friendly benefits, such as a workout room, fitness classes, a recognition program, and excellent benefits — all of which work together for the good of the company.
Q — Goals for expansion? Plans for a new venture?
A — Our goals are simply to continue to grow our business by helping financial institutions who need access to comprehensive residential property data and more efficient workflow systems.
Q — Advice for entrepreneurs?
A — Take calculated risk. Surround yourself with brilliant people. Seek the advice of others who have experience in the field, and then think for yourself/make your own decisions. Believe in your product and stay focused on your clients.
MORE ON RAYBURN:
Favorite breakfast food: Omelet at Big Bad Breakfast in Oxford
Most recently watched movie: “Wall Street: Money Never Sleeps”
A Favorite book: “In an Uncertain World: Tough Choices from Wall Street to Washington” by Rubin and Weisberg
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