What is Stock Broking Franchise?
A Stock Broking Franchise or Sub Brokers is a concept where any SEBI registered Stock Broker can provide its franchise to any company or person who is willing to follow all rules & regulations of SEBI & have good network of investors to act as a sub broker on behalf of the franchiser. The Products, Services, Offers etc. served by the franchisee are same as offered by the franchiser. Not only this, the Franchisee can also provide extra benefit to their clients which are not offered by the Franchiser. This business works as brokerage sharing model where the Franchisee generally keeps maximum share & franchiser gets low share.
Who is a Share Market Sub Broker or Stock Broker Partner?
A Stock Market Sub broker or Stock broker partner is a Franchisee company who takes stock broking franchise from the franchiser. Some of the major Stock Broking Franchiser is Angel broking, Sharekhan, Nirmal bang & others. The Sub broker or partner provides stock tips or stock recommendations to its clients based on his assessment of the industry. Some Franchiser provides stock recommendations to their sub brokers but most of them don’t. Sub Brokers or partners keeps track of their clients & it is their headache to get the trading done from their clients so that they can earn high brokerage.
Benefits of becoming a share market sub broker or stock broker partner
High Revenue Share –
The Sub Broker or Partner keeps high percentage of the brokerage generated by the clients; the franchiser gets low brokerage percentage.
Low Investment Business –
A Stock Broking Franchise business can be started with minimum Rs.10,000 investment amount, only a security deposit is paid to the franchiser rest all expenses in incurred by the franchiser. In some cases the franchiser doesn’t even ask for a minimum deposit.
Marketing & Training Support –
The franchiser being a large organization also help the sub broker with all sorts of marketing support like providing banners, leaflets, hoardings for their branches. They also organize seminars for their broking partners to train them on various aspect of the business.
Advisory Support –
Some Franchiser also provides Advisory, stock tips & recommendations to their sub brokers to help support their client & increase revenue.
Product, Service & Offers –
Any new product, services & offers launched by the franchiser can also be availed by the sub broker. This helps the sub broker to keep engaging their client with new things.
Let’s discuss about top sub brokers in India –
ANGEL BROKING FRANCHISE / PARTNER / SUB BROKER REVIEW
This is a low investment venture. It harps majorly on the network base of sub-broker. Angel Broking is said to have a highest number of sub-brokers. Also, it is said to have a 3 day quick registration process wherein by the third day one can get sub-broker registration number from BSE/NSE. READ MORE