Coimbatore Capital sub-broker is among the largest franchise businesses of South India with its headquarters located at Coimbatore. It started in the year 1995 in Tamil Nadu. An industrialist named Mr.D.Balasundaram, who is also a financial expert of NSE, had endorsed this stockbroking firm.
Besides this, he had also founded the Coimbatore Stock Exchange Limited and Inter-Connected stock exchange of India Limited.
The number of branches of this public entity, i.e Coimbatore Capital Limited is more than 150 across south India. The number of client accounts and retailers exceeds 65000.
Its main target market has been the southern part of the country.
Till now, its primary focus has been the retail segment and has attained an active client base of around 6000. It is slowly expanding its business to the semi-urban as well as rural areas.
This full-service stockbroker is known for providing online trading as well as a mobile platform. Partners get various provisions and benefits in the form of products and services from it, all of which has enhanced its reputation in the stockbroking industry.
Also, it provides the latest tools and technologies to its clients to ensure that they get a better return on their investment and stay profitable.
There are various aspects of this stockbroking firm such as the types of business models offered by it, revenue sharing ratio, initial investment needed, offers, advantages, and some drawbacks also.
Read on to know all these in this article before deciding to join the partnership business.
Coimbatore Capital Partnership models:
This firm offers a single partnership model named as Coimbatore Capital sub-broker or Business Associate Model.
You need to set up your office in this model. It must have the minimum infrastructure, some furniture and a good ambience for meeting with the clients and carrying out other business functions.
Coimbatore Capital Sub-broker Initial Investment:
To become a sub-broker of this firm, you need to make a minimum initial security deposit of ₹50,000 which you will get back when you opt to quit the partnership business. The reason behind this security charge is to make up for any nonpayment or delay in the payment by the business associate during the partnership.
At the end, when the money is returned, this amount is deducted and paid back.
Besides the security deposit, there is an account opening charge, i.e DP and trading charge of ₹300 or an amount of ₹150 for trading purposes. ₹350 is the annual maintenance charges DP (AMC).
For more information, you can check this detailed review on sub-broker fees.
Coimbatore Capital sub-broker Revenue sharing:
Just like the other stockbroking firms, Coimbatore Capital provides a revenue share at par with them. In general, the revenue sharing ratio is 60:40, i.e sub-broker is entitled to 60% of the total revenue generated and the remaining 40% goes to the main broker.
This is applicable when the revenue generated is up to ₹3 lakhs.
The exact share depends on the prefixed target that the broker sets. In case the revenue exceeds ₹3 lakhs, the ratio changes to 70:30 in which 70% goes to the sub-broker and remaining 30% to the main broker.
Such kind of slabs motivates a person to generate better revenue through sincere efforts. This, in turn, leads to strengthening the position of the company in the stockbroking industry.
For more information, you can check this detailed review on sub-broker income.
Coimbatore Capital Sub-broker Eligibility criteria:
Here are the requirements which have to be fulfilled in order to become a sub-broker of Coimbatore Capital:
1. An NCFM certificate in cash or F & O or Dp must be possessed by the person who intends to become a sub-broker. This is in accordance with the NSE or SEBI rules.
2. It is necessary for you to be registered as a sub-broker as per the NSE or SEBI rules.
3. Make sure to arrange the client registration according to the rules of NSE.
4. An office space with a minimum area of 250 square feet is necessary which must be situated in the prime location of the region. This is important so that the potential customers can easily spot the office without having to search for it for long.
Besides this, it must have a hygienic and impressive ambience so as to create a good first impression on the new clients visiting the office.
5. There has to be a computer system with certain specifications for the smooth functioning of the business. This includes a RAM of 2 GB, CD ROM drive, 250 GB HDD or more, dual-core or higher, 17” monitor.
An operating system of Windows 7 or higher has to be installed in it along with good anti-virus software for protection.
6. There must be a printer or TV or UPS facility in the infrastructure set up.
7. A stable internet connection with a speed of 1 Mbps is necessary for smoothly carrying out the online operations
8. Submit the rental agreement in case you do not own the office set up.
9. You may also need to clear a sub-broker exam as part of the overall criteria. This may also vary from one broker to another and thus, it is adviced that you validate this piece from the broker executive.
Coimbatore Capital Sub-broker Advantages:
You can get the following benefits by opting for the Coimbatore Capital sub-broker business model:
- With its wide range of products and services, this stockbroking firm is a one-stop destination for the clients as they do not have to find some other firm to switch after joining Coimbatore Capital.
- It has a simple process of registration. Thus the clients can easily register under various segments in a hassle-free manner.
- For the various branches as well as clients, the firm assigns dedicated relationship managers. This enables creating excellent coordination.
- Whenever the clients or branches need any data, they can easily access it from the browser-based back office.
- Complete updated market news is provided to the clients so that they know well which stocks to invest in and remain profitable. This information is provided to them through SMS and e-mail.
- It provides an affordable initial investment which lets anyone become a part of it and fulfil their dream of starting a business with less expense.
- It makes the payment on time as per the NSE/SEBI through online mode to the clients and business partners.
- The firm provides quick activation of the trading terminal activation process, which is completed in a week after the submission of the application.
Coimbatore Capital Sub-broker Drawbacks:
You should be aware of the drawbacks of a business model besides its advantages to take the best decision.
The disadvantages of this stockbroking firm are as follows:
- People who are seeking for various options of business models may not find it attractive as it has only a single model, i.e the business associate model or the sub-broker model.
- Unlike the other stockbroking firms, it doesn’t offer superior customer support.
- Its offline presence is not evenly spread throughout India. It is generally concentrated on the southern part of the country only.
Coimbatore Capital Sub-Broker Offers:
In order to attract clients, this stick broker provides different offers to its clients which are enumerated below:
- It provides a flexible revenue sharing option.
- The firm even allows low investment and some times zero initial investment if they opt for the referral model.
- Every time it formulates new plans and schemes to enhance its existing client base.
- There are a number of financial products offered by it where its clients can make the investment as per their business goals and requirements.
- Clients are provided with free research reports so that they can make the right investment and trading decision anytime.
- There are experts who are meant to guide the clients whenever any issues pop up.
- Users can open a free trading account with it.
- Clients can avail discount on the brokerage charges.
- For customer satisfaction as well as convenience, the firm offers holiday packages and referral offers.
For more information, you can check this detailed review on sub-broker offers.
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Coimbatore Capital sub-broker FAQs:
There may be numerous questions popping up in your mind when you are deciding to partner with some stockbroking firm.
We have answered some of the frequently asked questions in this section to make the process comprehensible for you:
1. What are the products and services offered by Coimbatore Capital to its clients?
Here is the list of products and services clients can get from Coimbatore Capital:
- Interest rate futures
- Equity Future and Options
- Currency trading
- Depository services
- Insurance services
- Mutual funds
2. What are the trading exchanges of which Coimbatore Capital sub-broker is a part?
This stockbroking house is a member of NSE, BSE, MCX, and NCDEX. It is a member of NSE in Futures & Options segments, equity, currency derivatives, and mutual fund services. Coimbatore Capital is a depository participant NSDL and is the first one to be outside Mumbai and Delhi.
3. What are the advantages of joining Coimbatore Capital over other stockbroking firms in the industry?
Here are the benefits you can enjoy with Coimbatore Capital:
- It helps you in becoming an entrepreneur with the least investment.
- You can manage your clients as well as set the brokerage fees for them.
- It provides support in various aspects such as marketing, setting up the business as well as the acquisition of clients.
- The affordable security deposit is suitable for anyone who wants to do not have a high budget for but wants to be a part of the stockbroking industry or establish a career with it.
- It offers competitive revenue sharing to its clients.
- Whatever technology, tools, investment platforms, and reports are used by the firm, can all be accessed by the sub-brokers for investment and trading in an efficient manner. It uses fast and reliable technology.
- To make sure that the clients take the right decision for profitable trading as well as investment, its team of experts prepares reports that are well researched.
4. What is the process of registration for Coimbatore Capital sub-broker business model?
There are a few simple steps which have to be followed in order to get yourself registered as a sub-broker of this firm. These steps are explained below:
- You need to fill up all the details in the sub-broker registration form after which the call centre executive will call you for the verification of your interest in the partnership business.
- There will be a second call from the firm’s sales executive to provide you with more details about the business model. An appointment will also be fixed for a face to face meeting in which you can clarify all your doubts regarding the venture. Make sure to ask about all the costs involved so that you won’t feel at a later stage that there were any hidden costs.
At this point, you can also negotiate the amount of initial investment so that things will be in your favour. No one will tell you that you can negotiate it, but this is possible if you opt for it before the registration process starts, or else it will be of no use.
- After knowing all the details, if you still want to join the business model, then you will be asked to deposit the documents which will be sent for verification. Along with this, the security deposit money cheque must also be submitted.
- When the verification will be over, you will get an account ID. This will be used for initiating the business and thus you will become an entrepreneur.
You may also need to set up a sub-broker agreement with the stockbroker, the terms of which are generally standard but are decided by the stockbroker.
5. How long does it take for the registration process to be completed?
It will take about 4-5 days for the whole process to be completed.
6. What is the duration of sub-broker activation in case of Coimbatore Capital sub-broker?
It takes 30 days for the activation of sub-broker code. The payout time is 35 days.
7. What are the trading platforms provided by Coimbatore Capital sub-broker?
The firm has a web-based trading platform by National stock Exchange, i.e NSE which enables clients to do online trading.
Through trading software and web, it helps indirectly connecting with NSE for trading and data feeds. You can log in the trading platform for equity, cash, currency as well as current market data.
It enables users to enjoy the quick trading experience, place the order, cancel or modify orders. They can even see their position, limits and safely transfer the funds online.
Coimbatore Capital has a Mobile Trading App named CCAP Trade which the users can use for operating their accounts and trading anytime with ease.
It provides instant alerts, option to search scrips, provide remainders and trade in any dimension. It also provides order and trade book and real-time status of the market.
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