Best Sub broker Franchises in India

There are 1000s of sub-brokers and franchises associated with 100s of stockbrokers in the country. Larger the physical presence, better the selling proposition it becomes for the stockbroker. As far as the best sub-broker franchises in India is concerned, it has to be measured across different parameters before we can objectively rate 300+ stockbrokers.

Best sub-broker franchises Basics

In this field, a sub-broker works on behalf of the main broker or acts like a branch of the main broker. They have the right to use everything of the broker which is required to provide the best service to the clients including the name of the company, software, trading tools and technology and many more.

As far as figuring out the 5 Best sub-broker franchises in the country is concerned, well, we have tried to be as objective as possible.

We have taken care of the following aspects into consideration while coming up with this list for your reference:

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  • Current number of sub-brokers/franchise partners of the stockbroker
  • Revenue sharing percentage
  • Number of business models
  • Initial deposit and other related costs
  • Staff training and marketing assistance
  • User feedback
  • Brand Equity and recall
  • Future growth potential[/su_list]

Now, most of the above listed 8 parameters are objective in nature while some of the aspects considered as qualitative. Now, lets quickly have a look at these 5 Best Sub broker franchises and understand how these stockbrokers fare in the above-listed parameters.

Let’s start our discussion.


Angel Broking Franchise:

Best Sub broker franchises

Angel Broking is one of the best sub-broker franchises. The brand name of the company helps makes client acquisition easy for the sub-broking partner. And ultimately, it increases the revenue of the company. Win-win, isn’t it?

The broker has wide a network of around 12,000 partners across the country that makes an easy process for those who want to get associated with them. This also shows the kind of focus the broker has towards its offline sales channels.

Angel Broking provides various types of support and training to their partners that help them to become the best sub-broker franchises in the country. As a sub-broker, you will get marketing support for your business, technological support, back-office support etc.

Also Read: Angel Broking Master Franchise

The brand name helps to acquire and make a strong client base. More client for a broking company means more revenue and if you generate more revenue, then the chances of your revenue share are on the higher side.

The broker has multiple business models including Sub-brokership, franchise/master franchise, authorized person and remisier.

The revenue sharing ratio of Angel Broking is as high as 80:20 depending on certain pre-determined conditions and one of those important conditions is the amount of the initial security deposit. The lower percentage of the share is kept by the Angel broking while the higher percentage is kept by the sub-broker.

The range of security deposit is ₹50,000- ₹3,00,000. The minimum security money required to deposit is ₹50,000. With this amount of security deposit, the revenue sharing ratio will be 60:40.

If this deposit is ₹1,00,000, then the revenue sharing ratio will be 70:30.

It means 70% will be kept by sub-broker and 30% by the main broker. Similarly, with a deposit above ₹1,00,000, the revenue sharing ratio will be 80:20.

Lastly, as far as the future growth potential is concerned, Angel Broking has been consistently among the top 10 stockbrokers in India for the last 10 years or so. Looking at the stockbroking industry dynamics, the broker has recently pivoted to flat-brokerage model.

Here are some of the positives and concerns of Angel Broking that you should be aware of before choosing it as your stockbroking partner:

Pros:

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  • Affordable security deposit.
  • An opportunity to earn high with attractive revenue sharing ratio.
  • Famous brand name.
  • Quality of research is good.
  • Wide offline presence[/su_list]

Cons:

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  • Needs improvement in customer service.[/su_list]

IIFL sub-broker:

Best Sub broker franchises

The best sub-broker franchises are identified by some of the criteria which are necessary to make them the best. And one of such primary factors is the revenue sharing ratio offered by a stockbroker to its sub-brokers.

Although IIFL is one of the biggest brands in the broking field, it offers an attractive revenue sharing ratio to its sub-brokers. The range of revenue sharing ratio is 50%-75%.

Like other brokers, IIFL decides the ratio for its sub-brokers on the basis of the security deposit, prior experience in the same field, revenue generation more than the target, and the bargaining power of the sub-broker.

The security deposit requires to become a sub-broker of IIFL is in the range of ₹50,000- ₹2,00,000. IIFL allows its sub-broker to work without an office space initially. But when the size grows, a few requirements come into the play which is important to be fulfilled.

The broker provides various supports to their sub-brokers to stand successfully in the broking market. Since the company is growing rapidly, there is a great chance to grow with the company and become one of the best sub-broker franchises in India.

Last checked, IIFL had an offline coverage of around 4400 partners across different parts of India, thereby, making it one of the best sub-broker franchises in the country.

Finally, IIFL has 5 different partnership models namely: IIFL Sub broker, IIFL Franchise, IIFL Marketing Associate, IIFL Entrepreneur and Remisier. With such a set-up, IIFL offers a reasonable amount of flexibility to the interested parties who are looking to set-up their business with a prominent stockbroker in the trading industry.

Pros:

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  • Wide presence across the country makes easy to associate with them.
  • Trading platforms are of high quality.
  • Great quality of research.
  • Multiple Business models[/su_list]

Cons:

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  • Brokerage charges levied on their clients are relatively high.[/su_list]

Motilal Oswal Franchise:

Best Sub broker franchises

Motilal Oswal is an old brand in the broking market. It has a wide range of financial products and services to offer to clients. The sub-broker program of the company is an elite program. The broker has high yielding sub-brokers from whom the company gets the regular and a lot of business.

The name of Motilal Oswal comes under the best sub-broker franchises of India. Its sub-broker program has a different category which includes sub-broker or Elite program, Remisier, Employee to entrepreneur and channel partner program. Each has different criteria/eligibility to associate with the broker.

In most of the models, Motilal Oswal has a mature process where they provide at least one training or workshop every single month to their partners. In such meetings, new products, services, business updates are discussed along with any specific sales, acquisition-related queries the partners may have.

The revenue sharing ratio offered by the broker is in the range of 50%-70%. However, This range is 30%-40% in case of an employee to entrepreneur and remisier model. Actually, the percentage is decided on the basis of clients base, proposed revenue, bargaining of sub-broker and the amount of initial investment.

The broker requires an initial investment in the range of ₹3,00,000.

Motilal Oswal has a physical presence in around 2200 locations in India through its 5 business models. The broker is among the top 7 stockbrokers in terms of the active client base as well.

So, the broker has most of the things which are required to list a broker in the list of the best sub-broker franchises in India.

Now, we will discuss the pros and cons of Motilal Oswal.

Pros:

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  • A wide range of trading and investing products.
  • A different way to associate with the broker.
  • Advanced trading platform
  • Great brand name.[/su_list]

Cons:

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  • Needs improvement in the mobile app.[/su_list]

Edelweiss Broking

Best Sub broker franchises

Edelweiss broking is another name among the best sub-broking franchises. With more than 20 years of experience in broking field, the company has made a place among the broking customers. Edelweiss has different sub-broking programs.

As of now, the broker has a geographical presence in around 300 locations across 1st, 2nd and 3rd tier cities of the country through its 1000+ business partners in different capacities. If you are looking to be a partner yourself, Edelweiss broking offers you 3 different models such as Edelweiss Franchise owner, Partner and Elliance.

All these models have their own costing involved and the corresponding revenue sharing percentage.

To give you an idea, the initial costing may be around ₹2,00,000 for the franchise model apart from the exchange registration costs. The other two models involve almost ZERO initial costing. However, the revenue sharing in these models is much lesser too.

For instance, the Edelweiss franchise revenue sharing is in the range of 60:40 where 60% of the overall brokerage generated for the month is kept by the partner and the rest goes to the broker.

Pros:

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  • A well-know brand name
  • Multiple partnership business model.
  • Multiple products and services.
  • Various types of support provided by Edelweiss.[/su_list]

Cons:

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  • Comparatively low revenue sharing ratio.[/su_list]

Zerodha Franchise:

Best Sub broker franchises

Zerodha, the discount broker is expanding its business rapidly. It has many things for the partners which makes it one of the best sub-broker franchises. It provides you with an opportunity to join the broker through two different models viz Busines Partner and Client to Client Model.

Since Zerodha is a mainstream discount broker, thus, as per its business models, it does not need a physical presence. But Partners need not to be present physically in specific locations.

With Zerodha, you can be a partner and still do not need to have an office. The broker requires you to provide business leads and based on the amount of brokerage those clients bring, you get a specific cut/commission every month.

Now, the broker has defined different slabs for its revenue sharing percentage based on the overall brokerage generated by the clients of the partner for that month.

  • Brokerage < ₹1 Lakh, revenue sharing is 20:80 where 20% is kept by the partner.
  • ₹1 Lakh <= Brokerage < ₹3 Lakh, revenue sharing is 30:70.
  • ₹3 Lakh <= Brokerage < ₹5 Lakh, revenue sharing is 40:60.
  • Brokerage >= ₹5 Lakh, revenue sharing is 50:50.

The basic mantra is, bring more brokerage, get more share.

The best part of this partnership is that you just need to provide business leads and rest all the work in terms of the sales call, client acquisition, servicing, management is taken care by the broker.

Pros:

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  • No office space required.
  • Zero investment.
  • Back office support[/su_list]

Cons:

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  • Mobile app and customer service need to improve.[/su_list]

Above mentioned 5 best sub-broker franchises provides you with an opportunity to work with them and become a successful entrepreneur.

If you want to associate with one of the best sub-broker franchises in India and become a sub-broker, let us assist you in taking those next steps ahead. Just fill in some basic details and we will take care of the rest:

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