KIFS sub broker is a reputed franchise business in India that provides stock trading as well as broking services to its clients. Jayesh Khandwala founded this full-service stockbroker i.e. KIFS Trade Capital which is based in Ahmedabad. It has its presence for the past 3 decades in the stockbroking industry since the year 1995.
The company has more than 800 sub-brokers across India. Its online trading platform is considered to be among the best ones in the country. It has adopted the latest changes and uses the technological friendly methods of trading despite being an old firm in the industry. It has a membership with various famous stock exchanges in India such as with NSE, BSE, MCX, NCDEX.
There are more than 1.5 lakh clients who are mapped under the KIFS sub-broker. The trading platform is efficient enough to handle as many as 10,000 – 12,000 clients simultaneously. The company is able to take important share decisions as well as generate good revenue by working with more than 10,000 prestigious customers. You can expect a professional relationship with the company by partnering with it.
In this article, you will come to know about the various aspects of KIFS sub-broker such as the initial investment needed, the revenue share you can get, its offers, benefits as well as the drawbacks. This will help you make a comparative study of this sub-broker with that of the others and thus take a well-informed decision.
KIFS Sub Broker business models:
There is a sub-broker model which KIFS Trade Capital provides its customers. In this business model, the firm lets different sub-brokers to operate under the brand name of their franchise business.
In this case, two different sub-brokers of the company can operate simultaneously at the same place and time, representing its monopoly. Infrastructure needs to be set up in the KIFS Trade Capital business model for various business operations.
KIFS Sub broker Initial Costs:
In the sub brokership business, the minimum investment required lies in the range ₹5000 to ₹200000. The revenue which you will get depends on this initial investment. So, the higher the amount you deposit, the higher will be your income.
This amount is refundable in nature, which you will get once you decide to quit the partnership model.
If we consider the pricing of KIFS Trade Capital, we can know that it is on a slightly higher end with respect to the other stockbrokers in the market. Still, this may be perceived differently in case of different investors, so one needs to do a proper analysis before investing.
KIFS Sub broker Revenue sharing:
The firm provides a very good revenue sharing ratio to its clients. In the sub-broker model, revenue sharing ranges from 60% to 75%.
This actually depends on the number of potential clients who are converted into actual customers as well as the initial investment made by you.
We have seen a few partners getting a revenue sharing below or above that stipulated range mentioned above. And remember, a sub-broker income depends a lot on that percentage sharing.
KIFS sub-broker Eligibility:
There are certain basic needs with respect to the infrastructure which have to be fulfilled in order to begin the KIFS sub-broker business, all of which are mentioned below:
- The minimum office area has to be 100 square feet.
- A minimum of one employee is required to operate under you in order to efficiently carry out the business operations.
- Having research services is a plus point but this is not compulsory to have.
- Trading terminals should be with you.
- The telephone line is a must for communication purpose.
- A stable internet connection is mandatory as all the trading operations are online today.
- The office must be located in a prime location so that the potential customers can easily identify it. If it is in a remote location then it will take too much time to spot the office which is not a very positive thing for your business to flourish.
A few stockbrokers require you to go through a sub-broker exam. Check with the executive of this stockbroker, whether they have their requirement as a mandatory one.
KIFS sub-broker Advantages:
The benefits of this sub-broker business are:
- It has its offline branches in various Indian cities.
- In the case of mutual funds and offerings, it has strong governance.
- Its exposure policies are quite flexible.
- Its research and analysis capability is very strong.
- The trading tools and platforms are user-friendly.
- When there are bigger portfolios, dedicated relationship managers are assigned for it.
- It is possible to access the trading platform in different devices.
- It provides exciting offers to its clients along with customizable brokerage plans. You can enjoy free brokerage for a month, as well as a free trading account.
KIFS Sub Broker Drawbacks:
Besides the advantages, there are certain drawbacks of the KIFS Trade capital which are explained below. It is always advisable to find out if there are any shortcomings of a business model so that you can always take a perfect decision.
- You have to pay the minimum charges for brokerage. In the online mode, you won’t be able to calculate the brokerage.
- It doesn’t provide currency trading.
- It should also provide the option of online Demat account as well as trading account to its customers. Its customer service can be further enhanced.
- Customers looking for diverse business models may feel reluctant to join the firm as it provides only a single model, unlike some other stockbroking firms.
- Unlike certain other firms, this firm doesn’t offer you an in-depth analysis of the market. So, it is necessary to perform an analysis on your own to make sure that you take the right investment and trading decision.
KIFS sub-broker Support:
Different kinds of support provided by this firm include marketing support, back office support trading support, advisory support. But regarding training related to dealing, acquisition and product training, there is no support offered to the clients.
Considering the research and advisory services, the clients get such services at the technical as well as fundamental levels. The email, SMS, WhatsApp services are the channels used for intimation.
KIFS sub-broker Offers:
In this firm, the sub-brokers can get the following offers:
- The revenue sharing is flexible in nature but there is no zero-deposit facility.
- You can avail the facility of zero revenue sharing along with prepaid as well as flat revenue sharing.
If you are looking to get started with a stockbroking business or partnership in any form or you want to become a sub-broker, let us assist you in taking the next steps forward.
Just fill in some basic details in the form below to get started:
KIFS sub-brokers FAQs:
While looking out to join any sub-broker model, there are certain questions which may pop up in your minds. In this section, we have answered all the questions related to KIFS sub-brokers in order to make things simpler and easier for you.
How many partnership models does KIFS stockbroker provide?
Only a single business model is offered by KIFS, i.e the KIFS sub-broker model.
Do I need to make an initial investment for KIFS sub-broker?
Yes, the initial security money has to be deposited by you which ranges from ₹5000 – ₹200000. On this amount, depends the revenue you will be earning. It is refundable in nature.
What revenue share can I expect being a sub-broker of KIFS?
You can expect a revenue share of 60%-75% based on the number of clients operating under you and your initial investment.
What benefits can I expect from KIFS Trade Capital Partner Program?
Here are the benefits you can expect from this sub-broker program of KIFS:
- It has excellent incentives and good revenue returns.
- The online account can be opened quickly and for free.
- You will be provided support while acquiring clients.
- It has excellent marketing support.
- The flexible revenue sharing is quite alluring for the clients.
- You can enjoy good back office support.
- You can leverage the renowned brand name to get excellent support.
What are the products which are available for trading as a KIFS sub-broker?
As a broker, you can make the investment as well as trade in equity, commodity, derivatives, IPO, mutual funds, insurance along with depository services.
What kind of customer service can be expected from KIFS stockbroking house?
Customers are provided support through various communication channels such as offline branches, telephone, webform, email to make sure that all the issues of clients are resolved quickly.
What is the process of registration as a KIFS sub-broker?
The sub-broker registration process involves the following steps:
- You need to fill up your basic details in a form after which you will get a call for your interest verification in the venture.
- In another call, you will be explained about the process and a face to face meeting will be set up.
- In the meeting, you can ask any doubt related to the business model and make sure that you understand all the terms and conditions. Make sure to negotiate the amount before the registration process gets started as doing this after the process will be of no use. In general, no one will tell you if you can negotiate the amount, but you need to initiate it yourself during the face to face meeting.
- Then the security money amount along with the relevant documents has to be submitted, which will be sent for verification.
- After the documents are verified you can start your business operations using the registration number.
What documents do I need to submit for the registration?
Keep the following original documents as well as the photocopies ready for completing the registration quickly:
- A proof of your ID.
- 2.Proof showing your address.
- For the past 6 months, the bank statement is needed.
- Photographs of passport size.
- If needed you may have to pay the AMC fees also.
- 6.Cheque related to your trading account.
How long does it take for the registration to be completed?
It takes only 2-3 days for the registration to be completed and start the business operations if you submit all the relevant documents on time without fail. In case any information is found missing during the verification purpose, then you will have to wait for some more days for the successful completion of the registration process.
In general 30 days are needed for the sub-broker code generation and for processing the outstanding payments related to the business associates, a period of 40 days are needed
What are the trading platforms offered to a KIFS sub-broker?
There are ODIN Diet and mobile app for trading purposes. But you may face some issues while using the ODIN Diet which includes huge application size because of which the configuration of the machine needs to be high.
There is a team of financial technologies which takes care of feedback and comment on this third party(ODIN) software. With ODIN, you can enjoy the following features:
- Advances SSL along with military level encryption is used for transmitting the data
- You can change the views that are customizable along with the optional UI theme.
- There is single as well as multiple level order entry and SOR.
The KIFS Trade Capital mobile app for trading provides various features such as watchlist, tips, and recommendations for trading, latest market data as well as charting. The only issues with this mobile app are OTP issues, fewer features, and an unclear interface.
How are the brokerage charges of KIFS Trade Capital?
A certain percentage is charged by stockbrokers or brokerage as per the trade and investment value. When the trading amount is higher, a high brokerage is generated. It is possible to negotiate the brokerage amount below the amount that is applicable in general if you have good negotiation skills.
Despite starting with a high initial amount, the firm lets you withdraw any amount back into your account as per your choice.
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