by SMC Global is a reputed stockbroking house that has its presence in the industry for many years since 1990. It provides a range of financial as well as investment products through its SMC Global franchise business which initiated in 1998. It has a huge client base of over 1,08,000 (active clients: 1,06,129) along with more than 3000 employees which are spread across 500 cities in India as well as UAE.
With this firm, you can get numerous trading products such as equity, commodity, currency, derivative, and insurance. It also provides various services such as clearing services, insurance broking, research works as well as financing the clients. The retail clients and the High net worth investors can avail its wealth management and advisory services.
SMC Global is a member of various stock exchanges of India such as BSE, MCX, MCX-SX, NSE, and NCDEX. The firm intends to maintain strong bonds with its sub-brokers to ensure a progressive business. It makes sure that the sub-brokers get an opportunity for maintaining their identity by promoting them as well as its own brand through advertisements.
SMC Global Partnership models:
SMC Global has only one business model for its potential customers, i.e SMC Global Franchise. Since the company seriously wants the development of its sub-brokers, it works towards the co-promotion of their business. This is the unique characteristic of this broking house. Thus the sub-broker can create his specific identity in the competitive market and flourish in his career.
The candidates who have at least one year experience in the broking industry are preferred to be absorbed as a sub-broker though non-experienced individuals are also allowed in certain cases.
A sub-broker operates in his business set up or office which he establishes in the prime area of the city. He is responsible to carry out all his business operations through a work station, a telephone line having a voice ledger and a stable internet connection. All these are necessary to establish a trading terminal back office.
SMC Global Franchise Costing:
It is necessary to deposit a certain amount as security money if you want to start an SMC Global Franchise business. The amount is not constant and will be returned back to you when you decide to leave the partnership. In general, it can be ₹50,000 or more, which fairly matches with the that of the other players of the broking industry.
Suppose there is any default and it has to be covered, then the broker will use this security deposit. You should be ready to make an initial investment of ₹2,00,000 – ₹5,00,000 for setting up the business, paying the sub-broker registration fees, getting a laptop or desktop, internet connection, payment of electricity bills, furniture and other interior decors to make the office visually appealing etc.
For more information, check this detailed review of Sub-Broker Fees.
SMC Global Franchise Revenue sharing:
Just like all the broking houses share a specific part of the revenue generated from the business done by the client base, SMC Global Franchise also does it. The exact amount you will be entitled to depend on the business size, total number of clients, net revenues generated, the amount of security money deposited in the initial period, your negotiation skills as well as your infrastructure.
In this model, the share varies between 30% and 60% and the firm will keep the remaining 40%-70%. This percentage matches fairly with most of the franchise businesses in the broking industry.
SMC Global Franchise Benefits:
The advantages of joining the SMC Global Franchise are as follows:
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- There are numerous financial products and services which you can provide your clients.
- Since it is an established player in the industry, you can leverage its brand name while acquiring potential customers.
- It provides various tools and technology to trade and make an investment. Besides this, clients can also avail in-depth research reports.
- It is possible to negotiate the security deposit.
- It makes the brokers capable enough to stand out among the competitive players in the broking industry,
- The firm has a fairly good offline presence in the country.[/su_list]
SMC Global Franchise Support:
The firm strives to strengthen your business by proving you complete support, which is enumerated below:
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- Unlike the franchise business of various broking houses, this firm tries to establish your business just as it promotes its own brand.
- It trains the staff of the sub-brokers so that they can efficiently support different business functions.
- You can get monetary benefits while setting up your business for the first time.
- The research from the team of experts can show you the right track for taking any investment decision.
- Sub-brokers are trained to use tactical methods of impressive offerings to grab new clients in the competitive market. This client acquisition directly affects the generation of revenue and thus keeps you profitable.[/su_list]
All such reasons meet their requirements and thus prevent the clients from switching to other broking houses.
SMC Global Drawbacks:
Here are the disadvantages of this joining the firm which you need to be well aware of before deciding to join it:
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- It has only one business model which is not appealing for a potential customer who is looking out for various options.
- Its customer service is not of top quality.
- It has a low exposure compared to other broking houses in the industry.
- The initial investment needed is on the higher end. So, the customers with a low initial budget will not opt for it.[/su_list]
SMC Global Franchise Eligibility criteria:
The following criteria need to be fulfilled in order to set up  an SMC Global Franchise:
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- You should be an individual or a corporate or a partnership firm with an already existing client base is mandatory.
- You should have the investment capacity of ₹2 lakhs- ₹5 lakh to fulfil the business requirements.
- You should not be less than 18 years old.
- Minimum experience of 1 or 2 years is necessary as a sub-broker, broker, Remisier, or a current broker’s employee, financial planner, mutual fund distributor, etc. You should have sold various financial products in any of these positions.
- You need to have an office space of 200-250 square feet for carrying out the business activities.
- The speed of your internet connection has to be at least 1 Mbps for uninterrupted operations.[/su_list]
SMC Global Franchise Offers:
Here are the different offers you can avail as an SMC Global Franchisee:
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- The revenue sharing ratio is quite dynamic.
- You will be supported completely while setting up the front office.
- You will be entitled to a higher credit period as well as a higher credit limit.
- Its brokerage charges are less.
- You can avail offers on Demat or Trading account.
- In certain situations, your initial margin money can be waived off.
- As a sub-broker, you can enhance your identity with the help of the firm’s advertisements in the form of banners, visiting cards, brochures, posters, glow, signboards, etc. because this can promote your agency.
- You may get increased trading limit or even a chance for unlimited trading across numerous.[/su_list]
If you are looking to become a sub-broker or a stockbroking partner in any form, let us assist you in taking the next steps forward:
SMC Global Franchise FAQs:
Here are some essential questions which we have answered to make it easier for you when you decide to join SMS Global as a sub-broker:
What are the partnership or business models of SMC Global?
There is only one partnership model offered by SMC Global and that is the sub-broker or Franchise model.
What is the initial investment needed to start the SMC Global Franchise?
Since the infrastructure has to be set up in case of SMC Global Franchise, it is necessary that you should be prepared for an investment of ₹2,00,000 – ₹5,00,000 which include other related expenses for completely setting up a front end office, such as a stable internet connection, telephone with a voice logger, a workstation, etc.
What revenue percentage can an SMC Global franchise expect?
In general, the revenue sharing percentage for a sub-broker of SMC global varied from 30%-60%. But this is subject to numerous factors such as the client base, size of the business, revenue generated, the negotiation skills, etc.
Does SMC Global provide any training and research material to its sub-brokers?
Yes, the company provides detailed research reports at periodic intervals in order to ensure the ease of trading. It lets the clients gauge the current market situation and accordingly make the investments to remain profitable. The clients can even interact with the research team if they want.
In order to enhance the client base, the company provides training to its sub-brokers in which they are educated on the different products and services, latest developments, the trading platforms used, etc. to keep them in pace with the contenders in the industry.
What advantages I can get by joining SMC Global as a sub-broker?
Here are the advantages you can get by partnering with this stock broking company
Renowned brand name:
Getting associated with such a brand can provide a huge boost to your career in the broking industry. This firm has been awarded a number of times for carrying out the sub-broker business efficiently since the last 20 years.
Numerous products for trading:
Clients are mainly attracted as there are numerous products which they can use for trading depending on their need and goals. The firm that doesn’t provide diverse products has very fewer chances of retaining the clients for a longer period.
The flexibility of the initial investment amount:
Though a high investment is needed for setting up the business infrastructure, the security money needed is very nominal, i.e only ₹50,000 or more. But again, this initial amount will determine your revenue share at a later point.
Promotional works:
The firm conducts different promotional works to run the business successfully. This includes seminar and similar kind of business activities.
Tie up with reputed nationalized banks:
In order to facilitate online trading, SMC Global has partnered with PNB and IOB which enables you to provide online trading services to a huge number of customers in millions.
What is the process of registration of an SMC Global Franchise?
Here are the steps you need to follow to start an SMC Global Franchise business:
- A lead form needs to be filled up with all your details after which you will receive a verification call from the call centre to make sure if you are really interested in the business venture.
- After the verification, another call is regarding an appointed which you need to fix with the sales team for discussing all the details about the partnership model. During this meeting, you can ask any doubt and inquire about the investment you need to make, the initial security deposit, the revenue sharing ratio, etc. This will prevent you from any hidden costs which might be charged in future.
- Once everything is clear, you can proceed by submitting the relevant documents as well as the security deposit cheque for the registration.
- These documents will be verified after which you can get the account ID for starting your business operations
How long does it take for the registration process to be completed?
If you submit all the documents on time without missing any, then the process can be completed in 2 or 4 business days. But in rare cases, when there is some issue or any document is missing. the process may take longer to be completed.
In which Indian states can you find SMC Global Franchise?
Here is the extensive list of areas where the franchise business of SMC Global exists:
North India:
Delhi, Haryana, Himachal Pradesh, Uttaranchal, Uttar Pradesh, Punjab, Jammu & Kashmir.
East India:
Assam, Meghalaya, Mizoram, Manipur, Arunachal Pradesh, Tripura, Nagaland, West Bengal, and Sikkim
South India:
Kerala, Karnataka, Andra Pradesh, and Tamil Nadu.
West India:
Maharashtra, Gujarat, Rajasthan, and Goa.
Central India:
Chandigarh, Madhya Pradesh, Bihar, and Jharkhand.
Union Territories:
Pondicherry, Andaman, and Nicobar, Chandigarh, Lakshadweep, and Daman and Diu.
What are the products and services offered by SMC Global?
The firm provides different trading products such as insurance, derivative, currency, commodity, equity and services such as insurance broking, clearing services, advisory services and wealth management services.
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