In the stockbroking industry, Motilal Oswal Franchise business is a renowned entity that has gained a lot of fame as the stockbrokers’ popular choice. The broker, Motilal Oswal, started the franchising in 1999 and provides one of the best supports to its sub-brokers and has various business models that are flexible enough to suit their requirements.
Its network is widely spread in over 500 cities of India, with the number of sub-broker offices exceeding 2000 and around 2300 business partners associated with it.
With Motilal Oswal Franchise, you can get to trade various products such as commodities, currency, derivative instruments, equity and various investment instruments such as mutual funds, IPO, SIP, insurance etc. As a sub-broker, you can get a chance to explore a variety of business opportunities through Motilal Oswal such as online trading, Demat account, intraday trading etc.
As per the latest guidelines of SEBI, the existing Sub-brokers will get converted to Authorized person, with their roles, business model and responsibility remains unchanged. This will only alter the sub-broker registration process, making it quicker and simpler.
With Motilal Oswal Franchise, acquisition of new clients is much easier because it provides you with consistent training as well as marketing initiatives. It doesn’t matter in which phase of your business you are in, Motilal Oswal provides you with the best business models to fulfil your dreams.
Motilal Oswal Franchise Partnership Models:
Motilal Oswal is a full-service stockbroker who is well known for its excellent services at the retail as well as institutional levels. It offers four types of partnership models to its customers, which are enumerated below:
Motilal Oswal Franchise
The Motilal Oswal Franchise model is perfect for those who intend to increase their financial footprint. For this, office space needs to be set up.
In order to carry out the regular operations efficiently, you will require a small team also comprising of customer support, sales executives, administration etc.
Apart from that, you would need a sound internet connection so that the terminal applications can work smoothly during trading hours.
Motilal Oswal Remisier
Here, you need to connect the potential business leads with Motilal Oswal. If they get converted into its customers, then as a Remisier, you will get a share of the brokerage generated from them. The broker assures to provide various tools, research as well as other necessary assistance in order to acquire clients.
In this model, you do not have to make any expenses regarding the upfront capital in order to set up the business.
So, if you do not have any plans to spend in the infrastructure setup, this is the best partnership model for you.
Motilal Oswal Channel Partner
In this type of partnership model, you will be collaborating with the broker instead of working under one. This is suitable for you if you are already involved in stock market trading along with a particular number of clients. On becoming a channel partner, your client base will get exposure to potential investment opportunities.
You can also get a portion of the total revenue generated by cross-selling the services that are available for investment through Motilal Oswal.
Motilal Oswal Employee to Entrepreneur program:
If you are employed in a stock broking house or if you have a decent experience in the stock market, and you want to run your own business, then this program is suitable for you.
Motilal Oswal Partnership Revenue Sharing:
When you work with any stockbroker in any capacity, mostly, your revenue is based on the commission cut out of the total brokerage you generate from your client base. The commission percentage varies from one broker to another and then further on the kind of business partnership model you have chosen.
In the case of Motilal Oswal Franchise and other models, the following are the values you will get:
Motilal Oswal Franchise Revenue Sharing
The Motilal Oswal Franchise will provide you with a revenue sharing of 60% of the net brokerage that has been generated from your client base through you. Motilal Oswal will take 40% of the revenue and ensure the following services:
- It will train and assist you in the process of acquisition of customers.
- You will be consistently provided with tips for trading in the stock market as well as detailed research which you can share with your client base.
- You get to leverage this renowned brand which will ultimately strengthen your business positioning.
- At the local level also, you will get complete support from existing branches of the broker.
Motilal Oswal Remisier Revenue sharing
This model gives you a brokerage of 20% from the clients which you have added to its network. The main point about it is that you can enjoy this 20% brokerage only till the clients continue their trading using the services of Motilal Oswal.
Motilal Oswal Channel Partner Revenue sharing
In this partnership model, you are the primary and active investor base for Motilal Oswal. So, whenever you sell a new investment product, you can get a better revenue sharing compared to the other models. In general, the clients of the Channel partner are entitled to a share of 50%-60% of the overall revenue.
Regarding the sale of the number of investment products as well as the obtained investment amounts, there is no maximum limit. Motilal Oswal gets 50%-60% of the revenue in this model.
Motilal Oswal Employee to Entrepreneur program Revenue sharing:
You will get about 30%-40% share of the net revenue generated through the program and Motilal Oswal will own 60-70% of the revenue generated.
Motilal Oswal Franchise Benefits:
Here are the benefits that you can get from different partnership models which you opt to establish:
Motilal Oswal Franchise Benefits:
- You will get regular support related to the operations as well as back-office.
- Increasing the client base will be simpler as well as easier for you, owing to Motilal Oswal’s positive brand image.
- There are a number of trading and investment products that you can offer your clients, which enhances the probability of acquiring new ones.
- You will be guided regarding strategies for acquiring new clients as well as the adoption of better approaches.
- Your clients can avail the advantage of strong research reports at technical as well as the fundamental levels.
- Motilal Oswal franchise provides you with a number of trading platforms which can be accessed from anywhere such as the mobile, web, smartwatch, desktop, etc.
- The company will provide 2 days paid training with accommodation in Mumbai office. This is relevant to anyone who intends to meet with the broker.
- You can get various opportunities to develop your business in your region through marketing campaigns in the locality, by conducting seminars etc.
Motilal Oswal Remisier Benefits:
By registering yourself under Motilal Oswal remisier model, you would be able to reap multiple benefits given below:
- Business expansion becomes easy because you get associated with a reputable brand.
- Various business opportunities can be explored using the business development tools, suggestions as well as tips, to sustain in the competitive industry.
- You do not need to spend on establishing infrastructure.
- Ample support regarding the trading of financial products, advisory as well as technology will be provided.
Motilal Oswal Channel Partner Benefits:
- About different investment products, research and tips will be provided.
- Whenever you take an initiative, the senior management team will monitor it.
- You will get specific training regarding acquisitions of new customers as well as providing them with better services. This can be practically implemented by taking advantage of the well-established brand name of the company.
- Consistent support is ensured regarding the trading platforms as well as the operations related to back office.
- Through all its models, it solely intends to enhance its geographical footprint besides offering decent business opportunities to its customers.
After knowing the benefits, it is good to know about How to Become Sub broker of Motilal Oswal?
Motilal Oswal Employee to Entrepreneur program Benefits:
The advantages of the Motilal Oswal Employee to Entrepreneur program:
- Besides continuing with your job, you can make this as an addition to your professional life.
- You can witness significant growth in your career.
- You will have the advantage of a number of training support and business tools.
- A large number of financial products will be available to you which includes Equity, Mutual funds, Portfolio management services, Commodity, Currency, Derivatives, IPOs, etc.
- You need to select a specific stream in which you excel.
Motilal Oswal Initial Costing and Deposit:
You need to invest ₹3 Lakh initially as a security deposit which will be returned to you upon your exit from the business. For registration purposes, you have to pay a non-refundable price of ₹15k.
Besides this other investment for infrastructure is also needed, depending on the type of the partnership model you have selected.
From a competitive perspective, Motilal Oswal Franchise can be seen as one of the expensive stockbroking partners out there.
In all, Motilal Oswal Sub Broker Charges vary across all the business partnership models offered by the broker.
Motilal Oswal Franchise eligibility criteria:
In order to apply for a Motilal Oswal Franchise, you need to fulfil the criteria mentioned below:
- You have to make a payment of ₹15k which is the registration charge for beginning the initial formalities. This is non-refundable in nature.
- Another deposit of ₹3 Lakh has to be made which you can get back when you opt to leave the Motilal Oswal Franchise. This doesn’t give you any interest amount.
- Experience of 2-3 years is mandatory as a Mutual Fund distributor, Financial Planner, Insurance Advisor, Broker/Sub-broker, Remisier, or at least as an employee of a broker or sub-broker to become a Motilal Oswal Franchise.
- It is necessary that you should be a reputed business having a decent client size for beginning the Motilal Oswal Franchise.
- You need to get an area for setting up your office which must be at least 150 to 200 Square feet.
- In order to carry out the expenses related to operations as well as infrastructure, you need to invest a minimum amount of ₹5 Lakh to ₹10 Lakh in the initial period.
Motilal Oswal Resmisier eligibility criteria:
- A sales experience of 2-3 years in financial products is necessary.
- You should be having a good reputation along with a decent potential client base.
- An operational experience capacity of ₹1 Lakh is needed.
Motilal Oswal Channel Partner eligibility criteria:
You should have a set of clients who are active enough to trade or make investments in the stock market. Along with this, you can also provide support for cross-selling other investment products after establishing the partnership.
Motilal Oswal Employee to Entrepreneur program eligibility criteria:
You should have experience in stock broking or a part of some stockbroking company.
In case you are looking to become a sub-broker or broking partner in any form, let us assist you in taking the next steps forward.
Just fill in some basic details in the form below:
Motilal Oswal Franchise FAQs:
Here are the answers to some of the frequently asked questions which pop up in the minds of the customers while deciding to invest in Motilal Oswal Franchise:
What expenses do I have to bear for entering into a partnership with Motilal Oswal?
Depending on the business model which you are opting, you need to bear the expenses because the initial cost varies for every partnership model.
If I opt for entering into any of the partnership models of Motilal Oswal, what advantages can I get?
Motilal Oswal is one of the famous stock broking houses that provides a lot of benefits to its partners:
- You will get investment ideas, strategies and in-depth research reports on a daily, weekly, monthly basis which you can provide to your clients.
- You will be trained with techniques for risk management and get consistent support from the back office.
- Your outlook regarding the use of technology will broaden through the use of a range of trading platforms, mobile apps for partners in the business and automated support channels.
- You will be witnessing a number of business development programs such as mentoring, rewards, Human resources etc.
- Exploring a wide range of business development opportunities through the use of portfolio tools will be available for you.
How soon can I begin my Motilal Oswal Franchise?
In a period of 2-3 business days, you can start your business. Generally, a strict timeline target of 3 days is provided to the operational team by the broker. But if there are any issues related to the documentation, then the duration setting up your business may increase.
What revenue sharing can I expect after opting to become a Motilal Oswal Franchise?
The revenue sharing varies with the type of partnership model you are opting to enter into. In general, for the Motilal Oswal Franchise model, it ranges from 40% to 60%, 50-60% for channel partner and 20% for the Remisier.
What documents do I need to submit for becoming a partner of Motilal Oswal?
Here is the list of mandatory documents which must be submitted in order to begin Motilal Oswal franchise, become a sub-broker or a partner:
- Educational certificates
- Proof of address
- Certificate of SEBI registration
- Experience certificates.
- PAN Card
- A valid rental agreement regarding your office property
- Cheque mentioning the security deposit amount.