Angel Broking Master Franchise business comes with a huge set of opportunities as well as responsibilities.
Are you looking to take up one of those master franchises yourself? Let’s find out the different details around this business model.
Angel Broking is a reputed stockbroker in India that is based in Mumbai. It has been existing in the stockbroking industry for the last 30 years.
It makes use of an innovative marketing strategy for staying ahead of its competitors.
There are over 150 Indian cities where Angel Broking has its branches. Also, it has the largest number of sub-broker spread over 500 cities and towns of India.
The stockbroking firm provides a wide range of stockbroking services to clients.
This includes IPO investment, Research reports, Robo Advisory, Demat Account, Trading Account, etc.
Clients get the option to choose the product from various available choices such as Currency, Mutual Funds, Equity, Derivatives, Commodity etc.
Potential customers are attracted because of the flexible commission sharing ratios.
Angel Broking Business Models
There are 3 business models offered by Angel Broking to its potential customers which are as follows:
We will be discussing the Angel Broking master franchise model in detail in this article so that you can have a complete idea about it whenever you opt to join this partnership.
Angel Broking Master Franchise Details
This business model resembles the sub-broker partnership model. The uniqueness of this model is that a master franchisee owns a specific location where no other sub-brokers are allowed to operate.
This model is suitable for someone who wants to have a monopoly in brokership in a particular locality or jurisdiction.
The Angel Broking Master Franchise needs a decent investment along with a good infrastructure set up for the business operations to be carried out.
In order to be successful, the client base and the network are leveraged by this business model just like the sub-broker partnership.
Thus, knowing about the business models is the initial step for knowing about How to become a sub-broker of Angel Broking?
Angel Broking Master Franchise Mode of Operation
The various sub-brokers in the region in which the Angel Broking Master Franchise acts are mapped under this partnership business.
The Master Franchisee will be able to operate in the complete region without being distracted or in competition from the other sub-brokers of the firm.
All these play a major role in helping in the business growth at the root level.
The person will act as a direct branch of the stockbroking firm who can even set up the sub-broker business in his region without being interfered with by the corporate team of the company.
This can be efficiently done by looking out for the local candidates who are suitable and eager for such opportunities.
Angel Broking Master Franchise Cost
Now as already known that there is the sub-broker franchise cost i.e. the initial investment need to be done by you.
In the case of Angel Broking Master Franchise, you need to be prepared with an initial investment of ₹1 lakh – ₹3 lakhs in order to start the Angel Broking Master Franchise business.
After this initial deposit, some amount is needed for infrastructure investment.
A prime location in the city needs to be chosen in order to set up the working office space from where all the business processes will be carried out by the master franchisee and his employees.
He would also meet his clients in this office in order to enhance his customer base and strengthen his position in the region.
Choosing a prime location in the city is essential as it can easily be spotted by potential customers or else they would take a lot of time finding it if it is situated in a remote area.
It might also happen that they may lose their interest in such a case.
Now comes the interior decor which is a very essential point to create a good initial impression when new clients visit for the first time.
The office needs to be spacious, have basic furniture, lighting, and a hygienic environment.
The sub-broker model also requires all the above but compared to that, the Angel Broking Master Franchise will incur higher costs. In addition to this, the broker has another sub-broker model. The reasonable Angel Broking sub-broker charges won’t be a problem for business enthusiasts.
The overall infrastructure investment would depend on numerous factors such as the location where the business is being started, the size of the client base, the products that the master franchisee is dealing with, etc.
For the office works, the Angel Broking Master Franchisee would need stable internet connectivity, a telephone line, and a laptop or desktop to perform the online processes related to the business.
These all will again lead to a fixed cost per month such as electricity bill, internet charges, telephone charges, and internet cost. He may have to hire certain employees for the smooth functioning of the business.
Angel Broking Master Franchise Revenue Sharing
In the Angel Broking Master Franchise business, the commission can be as high as 70%-80% and the remaining 20%-30% goes to the main broker.
This high revenue can be attributed to the huge responsibility that a master franchisee carries out to enhance the client base of the stockbroking firm and strengthen its stand in the stockbroking industry.
He is responsible to make sure that all the sub-brokers of the region who are mapped under him are efficient enough to generate a fairly high revenue consistently.
Angel Broking Master Franchise Eligibility Criteria
The following conditions need to be fulfilled in order to start the Master Franchise Business:
- It needs to you be SEBI registered.
- You must have the capability to set up a decent infrastructure that matches the expectation of the clients. Also, a strong network of clients should be there at your reach in the locality for the efficient functioning of the business model.
- Persons with a leadership background are the most suitable candidates for this business model as a number of sub-brokers have to be managed under the model in the region.
- A minimum educational qualification of 10+2 is needed with the minimum age being 21 years old while you are applying for it.
- An understanding of the trading and stock market investment is essential to start this business partnership.
- You should have a clean background without any criminal record or pending cases or any such issues to be eligible to start this business model.
The benefits of starting this business model are as follows:
- You have the right to directly appoint sub-brokers or clients under yourself. This model provides you with exclusivity to your territory, i.e monopoly.
- It provides good exposure. You will have your own clients and sub-brokers mapped under you, which will enhance the business reach and improve revenue generation.
- It provides a lucrative revenue sharing of about 80%, similar to the sub-broker model.
- It eliminates the fear of competition in the region. Thus you can freely build up a large business.
Angel Broking Master Franchise Opening Process
With the few simple steps enumerated below, you can start the master franchise business:
- Enquire about this business model after which the CSO and business executive will call you to know about your interest in the venture. You need to answer whatever they would seek to know from you.
- The documents have to be provided for verification purposes along with the initial deposit cheque. The notary or CA attested list of documents that you need to provide are as follows:
- Proof of Residential address
- Pan card
- Aadhar Card
- Proof of the certificates showing your educational qualification.
- Proof of your office address proof in the form of bank statement, electricity bill, phone bill-BSNL or MTNL.
- Four photographs
- Reference letter from the CA
- A name affidavit needs to be submitted on an Rs. 10 stamp paper. This is needed whenever there is a mismatch of the spelling of your name at any place.
- After the verification, a tag will be generated with which you can start your business.
Angel Broking Master Franchisee Support
Here is the list of support that you can avail yourself as a master franchisee:
- You will be provided with marketing collateral and newsletters.
- Training will be conducted along with seminars and events to ensure that you are up to date with all the applications and software.
- You will be provided with a market research report for efficient trading and investment. You can provide it to your clients so that they remain profitable.
- It provides the best advisory and trading platform.
- It ensures 24×7 back-end support along with innovative platforms to ensure better productivity.
If you wish to learn more about other partnership models with the different stockbrokers in India, here are a few references for you: