by Prabhudas Lilladher Franchise is a preeminent sub-broker business of India that has its existence since 1944. Since the last 35 years, it is known to provide high delivery solutions to clients. Being an old broking house, and high experience, Prabhudas Lilladher has many elite class members in its management team.
It has its headquarters in Mumbai.
The reputed connects and business firms indicate its strong position in the stockbroking industry. It is considered to have the best corporate access in the market. It has numerous satisfied clients owing to its wide range of services and a strong database.
Clients get complete timely support from the experienced management team.
Prabhudas Lilladher Franchise Review
The brokerage fee provided by this veteran full-service stockbroker is quite competitive and ensures the best trading experience for its clients. The initial public offering or IPO was initially started by this broking house. Today, there are more than 120 Indian cities and towns where it is found, having over 500 business centres across the country.
We have covered the essential aspects of Prabhudas Lilladher Franhicse in this article so that you can make a well-informed decision.
Read on to know about the initial investment you may need, the returns on these business investments you can expect, offers this stockbroker can provide, benefits as well as drawbacks.
Prabhudas Lilladher Business models:
This firm provides the following business models to potential clients:
Prabhudas Lilladher Sub broker model:
This is a common business model which you can find with any of the stockbrokers in India. In this model, you need to invest in infrastructure set up.
The primary functions that need to be done include searching for potential clients and converting them to the customers of the firm after which all their requirements need to be taken care of.
The issues that might pop up at any time must be promptly resolved by the team. Along with this, the clients should be helped with the trading requirements, placement of orders and other related aspects.Â
Prabhudas Lilladher Remisier model:
This bears a resemblance to the sub-broker model but with somewhat lesser responsibilities. No infrastructure investment is necessary in this case. Client acquisition and conversion to customers are the only functions a Remisier needs to carry out.
The trade execution will be carried out on the customer’s behalf by the Remisier. Besides this, he has the right to provide the different products and services to the clients without any restrictions.
Prabhudas Lilladher Introducer mode:
There are least roles in this business model with respect to the above 2 models of the firm. You just get the new customers and refer them to the firm after which all other functions will be carried out by the main broker.
Prabhudas Lilladher Franchise Initial investment:
If you opt for the Prabhudas Lilladher Franchise model, then you should be prepared for an initial deposit of ₹1 Lakh. This is the security amount and is refundable in nature. Once you decide to leave the firm, it will be returned to you after deducting the non-paid expenses if any.Â
In the case of the other two business models, i.e the introducer model and premier model, security money is not needed.
But this is situational in certain cases as you might have to pay a small amount.Â
Prabhudas Lilladher Franchise Revenue sharing:
For the different types of partnerships, the revenue share varies, all of which are explained in the following section:
Prabhudas Lilladher Sub-broker:
This model has the highest revenue share out of all other models, i.e 30%-70% which can even be 80% sometimes as you can negotiate it using your skills. The remaining amount goes to the main broker.
Remisier model:
Its revenue share varies from 20%-30%. In generate people get an average share of 25% owing to the fewer functions compared to the sub-broker model.
Introducer model:
Just as the name indicates, the concerned person is only responsible for introducing a client to the broker. He is entitled to an amount of 50% when an account is opened.
For more information, check this detailed review on Sub-broker Income.
Prabhudas Lilladher Franchise Advantages:
The benefits of different partnership models of this firm are enumerated in the following section:
Prabhudas Lilladher Franchise
- Its revenue-sharing ratio is quite lucrative.
- It provides people with an opportunity to start the business venture with a reputed firm and thus flourish in their stockbroking career.
Remisier model:
- In this case, investment for office set up is not needed.
- Security deposit is also not needed in this case.
A person having his own business set up can also work in this model for earning extra income without having to divert his focus from his primary business.
Introducer model:
- With the least effort, a person can earn a decent amount in this business model.
- It doesn’t involve any extra expenses.
Prabhudas Lilladher Franchise Drawbacks:
The disadvantages of the different models are as follows:
Prabhudas Lilladher Franchise:
- It has a comparatively high initial deposit.
- Office infrastructure is needed which needs some extra investment besides your security deposit.
Remisier model:
- Its revenue-sharing ratio is lesser with respect to the sub-broker model.
- You do not get a chance to groom yourself to a better extent.
Introducer model:
- It has limited roles for the concerned person.
- Suppose a person is not convinced to open an account with the broker, then, in this case, the efforts of the introducer will be wasted as he won’t get any return.
Prabhudas Lilladher Franchise Offers:
In order to attract potential clients, Prabhudas Lilladher provides lucrative offers, which are enumerated in the following section:
- The investment cost needed is quite less, which enables anyone to start the business with ease.
- The revenue sharing model provided by it is quite lucrative.
- You can open Demat accounts for free.
- The brokerage plans provided by the firm are quite attractive.
- Whenever the clients need any support, it will be catered because if the 24*7 customer service availability.
- You can access numerous financial products with a simple click.
In case you are looking to become a sub-broker or a stockbroking business partner in any form, let us assist you in taking the next steps forward:
Prabhudas Lilladher Franchise FAQs:
In this section, we have dealt with all the frequently asked questions which you may come across while deciding to join any franchise business. This will make things easy for you.
What are the different business models offered by Prabhudas Lilladher Franchise?
This firm has three business models from which you can choose the one that best suits your business goals, namely Prabhudas Lilladher Franchise model, the Remisier model, and the Introducer model.
What initial investment is needed to begin the Prabhudas Lilladher Franchise business?
An initial investment of ₹1 lakh is needed in the Prabhudas Lilladher Franchise model but the other two models, i.e the Remisier model and the Introducer model do not need any security deposit.
The only problem with this business model is that it takes slightly longer for resolution of the technical issues. The transaction charges of Prabhudhas Lilladher include registration with SEBI, the Indian government, exchange, etc.
Besides this, you need some investment for setting up your office in a prime location in the city, so that potential customers can easily spot it.
It also requires a desktop, a stable internet connection, telephone line and some decent furniture for creating an aesthetic look for new customers, as this is the first impression you are going to make.
What revenue share can I expect in the different business models of Prabhudas Lilladher Franchise?
30%-70% of the revenue is meant for the Prabhudas Lilladher sub-broker in the Franchise model. In the Ramsier model, 20%-30% revenue is obtained and in the Introducer model, the revenue share is 50% of the amount when an account is opened.
Depending on the roles and responsibilities involved in a business model, the revenue share has been decided. But this can change if you succeed to negotiate the final amount with the executives before the registration process.
What products and services can I trade with by partnering with Prabhudas Lilladher?
The products which you get to trade with this firm are:
- Derivative Trading
- Mutual Funds
- IPO
- Equity
- Commodity Trading
- Currency Trading
- Real Estate
- Portfolio Management Services or PMS
- Margin Trading
- NRI Demat Account
As a sub-broker, what benefits can I get?
The benefits which you can get by opting for the Prabhudas Lilladher franchise are as follows:
- It is an old stockbroking firm which lets you accomplish client acquisition easily as clients have a sense of trust for it.
- It serves as a one-stop destination for the customers as it provides all the financial products and services because of which greater revenue is generated.
- You can avail research reports from institutional experts and take the best investment and trading decisions.
- You can get back office support.
- The business development support provided to the clients includes training, support for acquiring clients, tips, and recommendations.
- The modes through which research recommendation and tips are communicated are email or SMS or WhatsApp.
- People get motivated to join the model because it provides a better revenue generation.
- You will get access to the latest tools and techniques such as online charting, which will help you to stand out among the other competitors in the stockbroking industry.
Which are the stock exchanges of which Prabhudas Liladher is a member?
Prabhudas Lilladher is a member of BSE since 1980-90. It is also a member of NSE and MCX-SX.
What support can I get from this stockbroking firm after my membership?
You can get the following support from Prabhudas Lilladher after your membership:
- Training will be provided for marketing different products.
- It has good research and advisory support. The reports are generated at fundamental as well as technical levels. Different reports which you can access includes company reports, idea research, sector reports, and thematic reports.
- In order to be well acquainted with the trading platforms, you will be provided with training for online, offline as well as mobile trading.
- You will also get support for acquiring the registration from the stock exchange.
What is the process of registration in Prabhudas Lilladher Franchise?
The few steps involved in the sub-broker registration process of Prabhudas Lilladher Franchise are as follows:
- In the company’s website, you will get a registration form which you need to fill up. It seeks all your basic details. After this, you will get a call from the company’s executive regarding verification of your interest.
- You will get another call in which the details about the business model will be intimated to you and a face to face meeting will be fixed.
- If you have any doubt related to the business model, such as its revenue sharing, the investment needed, offers, etc. you can get it clarified during the face to face meeting.
- If you are fine with all the terms and conditions, you will have to submit the documents as well as the security deposit check.
- The documents will be sent for verification purpose after which your account will be activated to start the business processes.
What are the documents which have to be submitted to complete the registration process?
Make sure to keep all the original as well as photocopies of the following documents ready, in order to ensure a hassle-free process of completing the registration process:
- Proof of your ID
- Proof of your address.
- Bank statement for the past six months.
- Photographs of passport size.
- Cheque of trading account
- If needed, you have to AMC fees also.
- Certificate showing your academic qualifications.
- Relevant certificate showing date of birth.
How long will it take for the registration process to be completed?
It will take 5-15 days for the process to be completed if you submit all the documents without fail. If any information is found missing, the process will get delayed.
Where are the branches of Prabhudas Lilladher Franchise located in India?
This business model limited offline branches which are generally found in the metro cities only. People living in tier-2 cities can use email or telephone for reaching the broker. It is located inÂ
Ahmedabad, Bangalore, Baroda, Bharuch, Chennai, Hyderabad, Kolkata, Mumbai, New Delhi.
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If you wish to learn more about sub-broking and franchise models of other stockbrokers, here are a few references for you:
