Motilal Oswal Franchise / Partner / Sub Broker Review – Deposits, Revenue & moreLast Updated Date: Nov 28, 2022
Motilal Oswal Franchise is one of India’s most prolific stock broking franchises.
This article will have a detailed Motilal Oswal Franchise Review and a deep analysis of Motilal Oswal Sub Broker Offers, Motilal Oswal Franchise Commission Model, their Franchise cost & other important features of the Motilal Oswal Authorized Person Program.
Table of Contents
- Rating & Review
- Business Models
- Eligibility Criteria
- Documents Required
- Pros & Cons
- Earning Potential
- Become a Motilal Oswal Partner Now!
Motilal Oswal Franchise Ratings & Review by Top10StockBroker
|Motilal Oswal Franchise Review & Ratings|
|Products & Services||7.5/10|
About Motilal Oswal Franchise
Motilal Oswal, one of the solid brand names in broking, is a popular choice among sub-brokers. The most critical reason for this popularity is the strong Support of its sub-brokers.
Another reason can be the multiple business models & the level of flexibility one enjoys. Motilal Oswal deals in various products viz. equity, commodities, currency, derivative instruments, investment instruments like SIPs, mutual funds, IPO Investment, insurance, and many more.
Motilal Oswal has a huge variety of services like Demat account, online trading, intraday trading & more, so the business opportunities that sub-brokers get are multiplied.
Motilal Oswal Franchise or Motilal Oswal Authorized Person Program currently has a very wide network presence in the nation – they are present in more than 500 cities with almost 1500 sub-broker offices.
The article herein discusses the business opportunities available with Motilal Oswal and how to register with them. New SEBI Guidelines has released wherein All Existing Sub Brokers will now be Converted into Authorized persons.
The Roles, Responsibilities & business model of Motilal Oswal Authorized Person will remain the same as Sub Broker. Only the registration process will differ; the process will be much easier & quicker.
All new franchisees will now be sold in the name & legalities of the Authorized Person & not in the name of Sub Broker.
To know more about the Top 10 Sub Brokers in India, visit our page where you can find all the information you are looking for.
Become an Authorized Person of Motilal Oswal
Motilal Oswal Franchise offers four types of business models to their partner:
- Franchise / Sub Brokership / Authorized Person
- Employee to Entrepreneur Program
- Channel Partner
Let’s have a detailed review of all four of them:
Motilal Oswal Franchise / Motilal Oswal Sub Broker / Motilal Oswal Authorized Person
The Motilal Oswal Franchise model is a general franchisee model wherein the franchisee acts as a retail store for Motilal Oswal.
Herein, the candidate must undertake the role & responsibilities of an entrepreneur or a businessman. The candidate enjoys & leverages the brand name of Motilal Oswal.
However, all the other responsibilities, like identifying opportunities, talking to potential clients, making the clients invest in more variety of assets, retaining the client, undertaking trading / investing on behalf of the client, etc., are upon the Motilal Oswal Franchisee.
Benefits to Motilal Oswal Authorized Person
- Association with a renowned & reputed brand name;
- Wide variety of products to have a larger client base;
- Assistance by a dedicated relationship manager;
- Special packages and customizations for specific clients;
- Assistance in setting up the workplace;
- Training in all sectors.
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Motilal Oswal Employee to Entrepreneur programme
This is a specific model for people who are employed with broking firms. Herein, due to the candidate’s experience, the terms of arrangement might differ from that in the Franchisee model for investors.
Under this program, an employee turns into a business person, and the growth opportunities for such a candidate would entirely depend upon him and not on his employer.
Because of this very reason, many employees with outstanding performance records opt for this model of Motilal Oswal. This helps them to earn money for themselves and not for their employer.
This gives the candidate a huge career jump, i.e., from an executive to an owner.
Benefits of Motilal Oswal Employee to Entrepreneur program
- A huge career progress
- Directly working on own’s progress, no more dependence on the performance of the whole organization;
- Direct earnings
- Independence to set own procedures & way of doing business
- It can also be taken as an extra source of income along with a fixed salary
Motilal Oswal Remisier
This is a widely available business model- almost all brokerage houses now have this model available for the sub-broker candidates. Under the remisier model, the candidate must act as a remisier.
The candidate is not required to take up many responsibilities; rather, the role is limited to that of an introducer.
Thus, this is a simpler role and suitable for candidates who do not wish to set up a full-time business but would like an extra income source.
Benefits of Motilal Oswal Remisier
- Acts as an additional source of income
- Minimum efforts provide substantial earnings & results
- No dependence on any external factors
- Opportunity to capitalize on the social groups of the candidate
- Least formalities to be followed for registration
Motilal Oswal Channel Partner
Motilal Oswal Channel partner is a business model suitable for sub-broker who are currently dealing in only limited products, say equity or derivatives.
Thus, a sub-broker who wishes to diversify his product profile (e.g., Currency, IPO, mutual funds, insurance, etc.) and the services and thus increase their earning opportunities should opt for this.
Thus, this would be scaling up a bit of the already established business. It is a great offer for those who constantly look forward to expanding and multiplying their earnings.
Benefits of Motilal Oswal Channel Partner
- Upgrading of the business
- In addition to product offerings
- New services to offer to clients
- Multiplies earning capacity
Motilal Oswal Sub broker Commission / Motilal Oswal revenue sharing model
With many business opportunities with Motilal Oswal, Motilal Oswal must give its sub-brokers a good revenue-sharing ratio or commission rate.
Hence, the broking franchise has fulfilled this, and their revenue sharing ratios are quite competitive with the market rates. Motilal Oswal is among those broking firms that have realized the high potential that a sub-broker carries.
Accordingly, Motilal Oswal ensures that sub-brokers are well remunerated to maintain a healthy & happy association with them.
Motilal Oswal’s Progressive Business Model
The broking house also adopts a progressive revenue sharing model in some cases wherein the ratio or revenue depends upon the revenue generated – the higher the revenue, the higher will be the ratio of sharing.
But in some cases, it might also have a fixed revenue-sharing ratio. The revenue Sharing Model or Commission Model differs for each Sub Broker Model.
This is because each model carries a different degree of risk and responsibilities, and hence the earnings for each model also differ.
The model with more responsibilities & more risks would carry a higher return, and the one with lesser functions and responsibilities would result in a lesser revenue share.
Motilal Oswal Commission Sharing with Multiple Business Models
Let’s discuss the Commission ratio of all Sub Broker Models:
Motilal Oswal Franchise
Herein, the revenue ratio ranges from 60% to 80%, with a median of 70%. Thus, a person associated with Motilal Oswal as Franchisee would earn between 60% to 80% of the revenue from their clients.
Motilal Oswal Employee to Entrepreneur
The ratio is more or less in line with that in the case of Franchise, i.e., 60%-70%. This is because the functions, responsibilities & risks involved in this model are at par with the Franchisee model.
Thus the discussion in the point above applies to this point as well.
Motilal Oswal Remisier
A remisier performs only the initial part of the entire business cycle and can be a very limited contributor to the business cycle.
Accordingly, the revenue for this model is limited to 20% on average. However, the ratio may also range from 15% to 30%.
Motilal Oswal Channel partner
The Channel partner is a person who has an existing set of clients and is now engaged in a wider product/service base.
Since a channel partner brings a huge client base and an opportunity to add a lot of potential clients and traders to the Motilal Oswal network, this model gets the highest revenue ratio.
The additional or incremental revenue is based on the incremental revenue opportunities that Motilal Oswal gets. The revenue ratio ranges from 70% to 90%, with an average of 80%.
Check the Table below for a better understanding of the Motilal Oswal Commission Models:
|Motilal Oswal Commission||Sub Broker Commission|
|Motilal Oswal Sub Broker / Motilal Oswal Authorized Person||40% – 20%||60% – 80%|
|Motilal Oswal Employee to Entrepreneur||40% – 30%||60% – 70%|
|Motilal Oswal Remisier||85% – 70%||15% – 30%|
|Motilal Oswal Channel Partner||30% – 10%||70% – 90%|
Start your Broking Business with Motilal Oswal
Motilal Oswal Franchise Cost or Security Deposit
Motilal Oswal also calls for certain security deposits & investment infrastructure.
The security deposit is mandated to be used in cases wherein the sub-broker commits any fault and needs to be penalized per the directions of the stock exchange or SEBI.
Suppose the sub-broker does not pay the penalty. In that case, the principal broker (i.e., Motilal Oswal) can use the security deposit to pay such a penalty on behalf of the sub-broker. Another instance of this security deposit could be the non-payment of margin money.
The security deposit amount would differ from model to model. The amount may range between INR 10,000 to INR 10 lacs.
There are a lot of other factors also that influence this amount. Some such factors are – the credit history maintained by the sub-broker or authorized person, the revenue generated, the city of the sub-broker, the category of clients, the products offered by the authorized person, etc.
Motilal Oswal Sub Broker Infrastructure Set-Up
Infrastructure Setup is necessary for every Sub broker. The infrastructure includes a decent workplace – and office with few workstations, trading terminals, telephone connections, internet connectivity, etc.
Infrastructure setup is not needed for remisier because they don’t interact with customers much. Rather for all other categories, they need to interact with clients day in and day out.
There would be a lot of instances when the clients would need to visit the sub-brokers office, and Motilal Oswal would want the clients to have a good feeling about their sub-brokers office as it would directly represent & reflect the brand of Motilal Oswal.
The investment amount herein ranges from 1 lacs to 5 lacs depending upon whether tier 1 city, tier 2, tier 3, the category of clients, the projected revenue, etc.
Check Motilal Oswal’s Franchise Cost in the below Table:
|Motilal Oswal Franchise Security Deposit Amount|
|Motilal Oswal Sub Broker / Motilal Oswal Authorized Person||INR 25,000 – 100,000|
|Motilal Oswal Employee to Entrepreneur||INR 25,000 – 100,000|
|Motilal Oswal Remisier||INR 10,000 – 25,000|
|Motilal Oswal Channel Partner||INR 100,000 – 1,000,000|
Motilal Oswal Sub Broker Offers
Motilal Oswal often launches promotional schemes to attract and retain the sub-brokers & franchisees. Some of the popular schemes are:
- Free DEMAT accounts;
- Access to research reports for Free;
- Free advisory Support for a specified period;
- Increased credit period;
- Reduced margin money;
- High revenue sharing ratio;
- Financial Support in setting up a workplace;
- Reduced security deposit
Motilal Oswal Franchise – Eligibility Criteria
To become a sub-broker with Motilal Oswal, one needs to comply with the following conditions:
- First & foremost is the registration with SEBI and stock exchange – this is the most critical condition as without fulfilling this condition, no one can be eligible to become a sub-broker;
- Should have a good track record & good client base in the financial/stock market
- Sub Broker must be adaptable to the policies & procedures of Motilal Oswal
- Should be free to accept the design & structure to reflect Motilal Oswal Brand
- The franchise owner must be at least 18 years of age.
- Should be a graduate
- Any stock market/financial market certification would be an add on
Motilal OswalSub Broker Support / Advisory
Motilal Oswal assists sub-brokers via its robust Support and advisory channels. Simply put, the variety of Support provided by the broker covers
- Back Office Support
- Advisory Support
- Trading Support
- Marketing Support
- Website Support
- Business Advisory
- Operational Assistance
- Strategies Assistance
The broker offers multiple services and assistance to its franchise partners in every supported type. You can always stay assured about the services Motilal Oswal offers because the broker believes in giving special care to everyone.
Apart from these direct-to-sub brokers’ services, the broker does care about complete assistance to the clients, ensuring the sub-brokers relationship with their clients is never affected.
How to become a Motilal Oswal Sub Broker or Authorized Person?
- Please fill in the lead form provided herein above.
- Our executive will contact you (kindly ensure that accurate details are provided) and confirm your interest.
- Our executive will connect you with Motilal Oswal Team, and then the Motilal Oswal team will have a telephonic call to discuss the interest & ensure the basic eligibility
- Motilal Oswal team will fix an appointment, and in that meeting, all terms & conditions of the partnership will be discussed and agreed upon
- The candidate will submit the documents that meet the eligibility criteria (refer next section to see the list of documents required)
- After document submission, the agreement will be made & motilaloswal will generate the sub-broker ID and then login.
Documents required to become Motilal Oswal Authorized Person
List of documents required for Motilal Oswal sub-brokership:
- PAN card copy
- Address proof
- Aadhar card copy
- Residential proof
- Age proof
- Graduation mark sheet
- Experience certificate
- SEBI registration certificate
- Investment proof
- Security deposit cheque
Why Partner with Motilal Oswal Franchise?
Check out the various reasons to partner with MotilaOswal:
Motilal Oswal is a renowned brand name and carries a lot of weightage.
High-End Support & Training Programs
Motilal always goes for cream, i.e., quality over quantity, their sub-broker client base is only 500, but all of them are big players in the market.
There is a big belief among these big players that Motilal’s support system is quick & trustworthy.
Motilal also conducts massive training sessions for their partners across segments & they are known for their high-end support system.
Powerpact Technology, Back Office Infrastructure
Motilal Oswal provides a wide range of trading tools across all devices & platforms. They also provide vital back-office services to their partners, which provide all the details of the clients that each sub-broker or Franchise is holding.
This back-office platform also helps push notifications in the form of email or SMS to inactive clients.
Top Shot Research & Advisory
Motilal Oswal is known to have one of the best Research & Advisory teams. They are also helping their partners with many training sessions to strengthen their advisory Support to the clients.
They provide all sorts of technical analysis & reports to the sub-brokers & channel partners to help the clients get a better return on investment.
Marketing & Other Support
Marketing & branding support is one of their core strength areas – the sub-brokers benefit greatly from this. They tailored investment options for high-net-worth individuals.
The broking also provides Customised solutions to large sub-brokers.
Motilal Oswal Franchise – Pros & Cons
It’s time to get your eyes on the major pluses and minuses of the Motilal Oswal because we don’t want you to decide with any wrong or false opinion.
Let’s watch what’s covered in the pros section first.
Pros of Motilal Oswal Franchise
- Franchise Partners are exposed to multiple business models
- Multiple ranges of Support and advisory services
- A well-built repo derives market attention toward Motilal Oswal
Cons of Motilal Oswal Franchise
- The upfront cost is slightly high for the Franchise
- It is a bigger player in the institutional online trading and isn’t that popular among retail traders
Motilal Oswal Franchise Registration
It’s time to break down a series of information regarding Motilal Oswal Franchise Registration. Perhaps you aren’t aware of a few things.
- To apply for the Franchise at Motilal Oswal, you need to follow a few basic steps that are as follows.
- New joiners need to fill up a form regarding the application for Motilal Oswal Franchise and submit it to the broker hereafter.
- Similarly, a few basic queries must be answered when filling out the franchise form.
- After that, a representative from Motilal Oswal will get in touch with you.
- A physical meet-up will be scheduled between them and the franchise hereafter.
- Further formalities are completed to start the business.
Earning the potential of a Motilal Oswal Partner / ROI
Without knowing meaningful and decent figures, you will make in the profits, starting the franchise program doesn’t make sense. So let’s make it easy for you.
The broker promises 50%-70% revenue sharing to its sub-brokers. But it depends more on the quality of clients.
If the client sent by Franchise brings huge investment capital to Motilal Oswal, you simultaneously get to make more from the broker.
But before focusing on the revenue sharing process of Motilal Oswal, it’s worth noticing whether you are eligible to become a partner or not.
It is worth noting that minimum investment capital is required before starting a franchise partnership with the broker.
Motilal Oswal Franchise Referral Program
Apart from its institutional level franchise program, the broker also runs a well-built referral program. And the best part about this program is that you aren’t required to be a registered partner of the broker.
Simply refer the Motilal Oswal to your family and friends and insist them on opening a trading account or Demat account with the broker.
Each time a referral client acts on your guidance and submits a minimum deposit amount in the MO account, you make a commission. Isn’t that simple?
But it is worth noting that these referral incomes are sometimes offered as Amazon gift vouchers.
Brokerage Charges were levied on the clients of Motilal Oswal Partners.
The brokerage charges are the biggest factor that may drop your chances of attracting even a single client. Franchise partners always seek a special discount and offer from Motilal Oswal, and the broker never disappoints.
You can offer clients to join the Motilal Oswal trading platform at a discounted price.
Simultaneously, this raises your chances of making more from your franchise partnership with the Motilal Oswal. You can also discuss more on these offers directly with the broker.
Motilal Oswal Authorised Person – Products Offered
Besides being a franchise partner, you even have an option to become Motilal Oswal Authorized Person and assist the broker in its business growth.
By becoming a MO partner, you can access the following opportunities in no time. Such as:
- Partner Portal & e-KYC for an authorized person
- Unnati certified course of broking & distribution
- An uppermost authorized person mobile app
The broker already thinks of the authorized person to build a bright future for themselves and the brokering firm. Not just that, you will also be accessing full-time Support from the broker during the whole cycle.
List of Top Motilal Oswal Partners / Business Partners
It’s time to discuss Motilal Oswal partners or business partners and how you can become one of the business partners of this giant broking firm.
If you possess entrepreneurial skills, you can become a franchise partner. You can become an entrepreneur with a broker if you are an employee.
And if you already run a well-established business, you can collaborate with Motilal Oswal and become their channel partner.
Motilal Oswal Partner Testimonials
We are very happy being a sub-broker with Motilal Oswal. They have lent us huge Support throughout. The progressive revenue ratio is one feature that we liked the most.
Also, the marketing support & the training support that they provide is just too great. By – Hemal Shah, Thane.
It has been a very long association with Motilal Oswal. I felt that I do not need to look for any other opportunity. Even during the recession, I received all forms of Support from Motilal to ensure a smooth run of my business.
I’m also very fond of the seminars they regularly conduct – this has helped add new clients. By – Lavesh Gehlot, Jodhpur.
Motilal Oswal Franchise Summary
In brief, Motilal Oswal is one of the popular choices for sub-brokership because of its flexible & multiple sub-broker models.
Another reason is the revenue sharing ratio system that is fair and progressive from the sub-brokers viewpoint. The third factor is the Support & training that a sub-broker receives from Motilal Oswal is commendable.
Also, the easy registration process is an added advantage – it makes a quick way of beginning the work & a quick & easy first step towards own business & passion.
Motilal Oswal Authorized Person Program FAQs
Here is the list of Motilal Oswal Franchise FAQs:
Types of the sub-broker model?
There are four models: Franchisee, Employee to Entrepreneur, Remisier& Channel Partner.
Procedure to partner with Motilal Oswal?
Fill up the form herein, and we will connect you with Motilal Oswal Team.
How much time does the registration process take?
The Sub Broker registration process takes 3 to 5 days to complete; fill up the form below to start.
Commission on becoming Motilal Oswal sub-broker?
It ranges from 20% to 80%, depending upon the model chosen.
Does Motilal Oswal provide Support after becoming a sub-broker?
Yes, there is constant support in marketing, advising clients, training clients, training the staff, educating on the mechanisms of the stock market, and operating the trading platforms.
Does Motilal Oswal have Sub Broker Model?
Yes, the sub-broker model is provided from the stock broker’s end. You will be able to invest a significant amount of money in registering as their sub-broker and earning a lot of money while carrying their operations forward.
Does Motilal Oswal have multiple Franchise models?
Yes, there is a list of models you can invest in, and they are regarding the prevailing need of availing for versatile business opportunities. The multiple models are Franchise / Sub Brokership / Authorized Person, Remisier, Employee to Entrepreneur Program, and Channel Partner.
What is Motilal Oswal Sub Broker Commission?
Considering the entitlements, precisely in terms of the revenue, there is a higher ratio of revenue that you will retain. The stock broking house provides flexible revenue sharing, where 60% – 80% is provided to the sub-broker.
How much does Motilal Oswal Franchise Cost?
So, if you wish to stick with the sub-broker model, you will have to pay an initial investment between the prescribed average range. The structure of the model shows that there is a need to provide an investment of between INR 25,000 – 100,000.
Does Motilal Oswal have a Partner Program?
Yes, contrary to the sub-broker model, you can opt to invest in the remisier model. Other franchise models are provided by the stock broking house other than remisier and the sub-broker business model. You can refer to the article for the same.
What is Motilal Oswal Partners Sharing?
The partner sharing is pretty defined and fair enough per the structure it is based on, i.e., the job responsibilities and the delegation. According to the defined model, the partner’s share is 15% – 30%, whereas the broker will retain 85% – 70%.
Is Motilal Oswal Partner Program Free?
No charge is associated with this particular stock broking house’s partner model. You have to provide the thereby designated amount, which should lie between INR 10,000 – 25,000, to the stock broker to avail of the model.
Does Motilal Oswal provide Training Assistance?
You will be entitled to high-end training being their franchisee. The stock broking house will thoroughly train you in many terms, letting you carry out your business smoothly. They provide training in all sectors so sub-brokers can gain on clients easily.
How to Become Motilal Oswal Sub Broker?
The process is seamless, where you can get in touch with the stock broking house upon clicking the “Become Sub Broker” button. When you click the button, you will see an instant pop-up from which you must fill accordingly.
Does Motilal Oswal Franchise provide Support?
As for the Support you will get from the broker, it is Free advisory Support, Financial Support in setting up the workplace, Marketing & branding Support is also extended, and customized solutions to large sub-brokers are also rendered.
How do I become a pro partner with Motilal Oswal?
It isn’t too difficult to become a pro partner with Motilal Oswal. All it takes is the skills and knowledge mandated by the broker and legal documents for the application approval. However, minimum investment shall also be required.
What are MO investors and MO traders?
MO investors are referred to as users that invest for the long term in the asset market (typically for more than a month or year) at the Motilal Oswal booking platform. On the other hand. Mo Traders are the users who trade for a short term in the asset market (typically not more than a day or a week).
Is the Motilal Oswal franchise profitable?
Without a doubt, Motilal Oswal Franchise is profitable. The broker offers 50% to 80% revenue sharing to the partners. Simultaneously, this shows that you can make more than an expected amount from MO if you generate more leads for the broker.
How much does a Motilal Oswal sub-broker earn?
The final income figure can vary. It depends more on how much traffic and leads a sub-broker can be sent to the MO. The more you refer clients, the higher payouts you derive from the broker.
How can I open the Motilal Oswal franchise?
Anybody above 18 living in India can apply for Motilal Oswal Franchise. However, terms and conditions for each franchise program that the broker runs tend to vary.
Who owns Motilal Oswal?
Passionate Investment Management Private Limited has owned Motilal Oswal.
Can a sub-broker trade for himself?
Of course, yes. A sub-broker can trade for himself using Motilal Oswal, and during the whole time, you will not be treated as a franchise but a typical client. This means you don’t benefit from trading for yourself apart from your profits.
What is the role of a sub-broker?
Generally, a sub-broker promotes the broker’s services and sends clients. They may be referred to as an advertising partner but not exactly as they tend to get a consistent income per-month basis upon referring a client to the main broker like Motilal Oswal.
What is the benefit of Motilal Oswal sub-broker?
Motilal Oswal sub-broker can readily fetch payouts whopping 50% to 80% of the revenue generated by the broker against a single client.
How much does it cost to become a Motilal OswalSubbroker?
Master franchise of Motilal Oswal needs to pay a franchise fee of Rs 500,000. Additionally, an infrastructure investment of Rs 750,000 is also covered. However, a standard franchise program has relatively fewer fees and investment requirements.
How many branches does Motilal Oswal have in India?
Motilal Oswal is available in over 2200 locations spread across 500+ cities in the nation. Undoubtedly, the broker has one of the largest business networks in the industry.