IFCI Sub Broker / Authorised Person / Franchise / Partner Review

IFCI Sub Broker is a very new entrant in the broking franchise business. The company has developed strong network of sub brokers and franchise partners who have helped it spread its presence nationwide. IFCI Financial relies a lot on such sub broker network and hence provides some good support and boost to their business in return.

In this article, we have discussed about the franchise models available at IFCI Financial, the revenue sharing ratio, the deposit amount, the support provided by IFCI Financial etc.

IFCI Sub BrokerIFCI is an undertaking of Indian Government and its subsidiary IFCI Financial Services Limited i.e. IFCI Financial is engaged into broking business. IT was set up in 1959 by IFCI Limited. It provides stock broking, commodity broking, investment banking, mutual fund distribution and many other services falling under the capital market.


IFCI Financial Franchise Customer Ratings

IFCI FInancial Franchise
CriteriaRatings
Experience2.1/5
Services2.3/5
Products2.1/5
Trading Platforms2.2/5
Support2.5/5
Revenue Sharing Model2.2/5
Security Deposit2.4/5
Offers2.2/5
Market Share1.9/5
Overall2.2/5

Types of IFCI Sub Broker/ Authorised Person

IFCI Financial currently has only one business model which is the basic and the most opted model i.e sub broker or authorized person.  Lets learn in details about this model and the associated returns and investments.


Become an IFCI Authorized Person – Just Fill up the form

Become a Sub Broker
  1. Become Sub BrokerOpen Demat Account


IFCI Financial Sub broker/ Authorised person

The criteria for appointing sub brokers, the deposit, the investment amount and the revenue sharing model etc. are quite lenient with IFCI Financial.

An IFCI sub Broker will have to have some basic knowledge about trading and business and also a good social profile will be helpful to the Authorised person. The sub broker will have to rent or own an office space backed up by computer and phones and broadband.

The revenue sharing ratio ranges between 50% to 70% depending upon various parameters. The same is discussed in the next para.


IFCI Authorised Person or Sub Broker Commission or Revenue Sharing Model

IFCI Financial’s revenue sharing ratio is more or less in line with that of the industry. The ratio starts from 50% and can go upto 70% The ratio is negotiable and will change in case to case.

There are no defined slab rates for such ratios as there are also dependent on number of qualitative factors. Few of such parameters are the quality of the client base, the market credibility, the quality of services provided to the customers etc.

The quantitative parameters include the amount of deposit made, the revenue contributed, the city in which sub broker is based etc. Hence, it is advised that the sub broker should appropriately evaluate all such parameters and negotiate the revenue sharing ratio accordingly.

Business modelIFCI Financial CommissionSub Broker Commission
Sub broker/ Authorised partner30% – 50%50% – 70%

Check Revenue Sharing Models of other Stock Broking Franchise

Angel Broking Sub BrokerSharekhan Sub BrokerKotak Securities Sub Broker
ICICI Direct Sub BrokerIIFL Sub BrokerSMC Sub Broker
Nirmal Bang Sub BrokerSushil Finance Sub BrokerProfitmart Sub Broker

IFCI Franchise Cost or Security Deposit Amount

IFCI Financial requires a sub broker to pay a deposit of INR 50,000 to INR 2 lacs depending upon factors like the city of operation, the revenue base, the revenue ratio agreed etc.

The deposit amount may increase as the revenue base increases. This deposit is generally held by the broking companies as a security to cover up defaults, if any, that the sub broker commits. Also, this deposit is generally refunded to the sub broker when the sub broker exits from the arrangement or terminates the agreement.

Apart from such deposit, the sub broker will also be required to make some investment in the infrastructure like office set up, work stations, internet, resources etc.

Business modelIFCI Financial Deposit required
Sub broker/ Authorised personRs. 50,000 onwards

Check Security Deposit requirements of other Sub Broker Franchise

Prabhudas Lilladher Sub Broker IDBI Direct Sub BrokerSwastika Investment Sub Broker 
Motilal Oswal Sub BrokerVentura Securities Sub BrokerSKI Capital Sub Broker
Sykes & Ray Sub BrokerGeojit Finance Sub BrokerZerodha Sub Broker

IFCI Financial Franchise or Sub Broker Offer

IFCI Financial is running the following offers currently for its sub broker programe:

  • Customised brokerage plans for sub broker customers
  • Investment advisory services for a limited period to sub broker customers
  • Low investment cost
  • Flexible revenue sharing ratio
  • Free set of trading terminals

How to become IFCI Sub Broker?

Step 1 – Fill in the details in the form available here.

Step 2 – Our representative will call you to confirm the details and to confirm your interest in the opportunity.

Step 3 – IFCI Financial representative will connect with you and fix up a meeting to discuss the proposal.

Step 4 – You will meet the IFCI Sub Broker team and discuss the arrangement with them in detail. You should ensure that all the aspects like revenue ratio, investment amount, deposit amount, break even period, support offered etc., are discussed appropriately and agreed upon.

Step 5 – Provide your documents to IFCI Franchise Team and pay the deposit amount. IFCI Financial will also confirm with you if you have been registered as an AP with stock exchange in the required segment. In case you are not registered, then you may pay the registration fee to IFCI Financial and they will get you registered.

Step 6 – IFCI Financial team will verify the documents.

Step 7 – After verification, IFCI Authorized Person team will share the agreement with you which will cover all the details of sub broker arrangement. Read the same carefully and sign it.

Step 8 – IFCI Financial will undertake the process of registering you with stock exchange as an AP (if not already done by you) and you can then start functioning as a sub broker/AP.

The procedure gets completed in almost 7-10 days.

Documents Required for IFCI Financial Partner Registration

  • Copy of PAN card and Aadhar Card
  • 2 Passport size photos
  • Ration card copy
  • Proof of date of birth
  • Stock exchange registration certificate
  • Copy of marksheet and passing certificates
  • Receipt of payment of security deposit

Understand the Documents Requirement of other Sub Brokers

Tradebulls Sub Broker5Paisa Sub BrokerAasthaTrade Sub Broker
Religare Securities Sub BrokerEdelweiss Sub BrokerKarvy Sub Broker
Arihant Capital Sub BrokerAlice Blue Sub BrokerNarnolia Sub Broker
Anand Rathi Sub BrokerJust Trade Sub Broker

Why Partner with IFCI Financial?

  • It is a government owned entity and hence can be trusted
  • Has a good brand name
  • Provides flexible revenue sharing model
  • Has good trading softwares and analytical tools
  • Offers various services to the customers.

Support provided by IFCI Financial Partner Program

  • Provides marketing support by assisting in client acquisition
  • Helps in training the resources and the customers
  • Offers technical certifications
  • Conducts workshops for customers to guide on the trade strategy
  • Also provides assistance in setting up infrastructure

Start your business with IFCI Sub Broker – Just Fill up the form

Become a Sub Broker
  1. Become Sub BrokerOpen Demat Account


Important Articles –

Top 10 Broking Franchise in India

IFCI Sub Broker

10

Experience

10.0/10

Products & Services

10.0/10

Revenue Sharing Model

10.0/10

Offers

10.0/10

Market Share

10.0/10