broking bussiness

Seniors guide me....
For start broking bussiness (franchis or sub broker) what are the things i want to know and how to develop my bussiness and also i am taking decent profit from market for last one year.:thumb:

This is a dying business not adviced....

Sir, no point in this business now. At these rates you cant break through unless you have a strong existing client base.

Or

You have to change the existing sub broking style of doing business and do it differently.

To start a broking business you can take sub broking also known as Authorised Partner from the top brokers like Sharekhan, Angel broking etc. to name a few.
Initial Deposit is usually 50K which can be in cash or through your existing share holding.

After you assure above sum, you'll incur expenses like maintaining office and internet and computers. monthly expenses might run to 5k to 15k depending on your location.

Now developing business totally depends on you, if you are able to generate returns it will be additional advantage, second you need a client base, educate and advice client on saving and investing, more client more you will make money. That's the key.

Now coming to last part where many will advise you to stay away from the business, I wont be surprised if they said the same if you have asked about entring into self trading to earn extra money.

Ground reality is that they are from the tribe of Trade for living community, but they fail to realise that every office goer can not do trading on his own, yes infact with mobiles quotes are on move but believe me, majority don't have time to gaze through the screen all the time and trade, that's where sub brokers come in, what you are getting paid up is you make up for all that trouble and navigating them through best course. If you think you can do that then you are ready to go for trading business.

Last advice if you have fair knowledge of trading and can convince other's then definitely go for it, coz Traders here might or wont be making any money but a broker always makes a money, just make sure your customer dont die out of bleeding.....

generating returns to clients .. educating the client ...advice on saving and investing

This was the business model before 2008. And yes this works in every bull market but unfortunately market is not the same every cycle.

Dont know your idea on how broking revenues are generated ( online:dealer business trends and equity:derivatives business share )

Please dont think like a client. Since he wants to start the business, For the moment think like a broker and suggest him.

I am not saying that the business wont work. But just not recommending at this point. market knowledge is just not at all enough.
At this phase, to be a successful subbroker, one need to derive a strategy of churning the portfolios, trade in combination of segments,
many such sort of smart techniques to keep the client safe and get the business done.

Educating, saving and advising will always be the business models of the brokers, not only here but all over the world. And like I said your perspective is still of a trader. You are talking that at this Phase its hard to do the job, and sounding like you are indicating bull market is over, but you may be wrong, India may be in multi year bull market which isn't over yet.
Other brokers are doing business too, be it a bull market or bear market broking business never stops. Its on you how to make it work, so if you want to be in this business there is no good or bad time. Just start today and increase your client base - its a process of building base over the years, so if in his area if he can think he can make it work then why not now?

Deposit is 1.5 or 2.5L, not sure, but not 50k.
Clients will come running if they make money, for that the sub broker needs to advise correctly. Most of the sub brokers cannot read the market so only draining clients through brokerage.

Deposit is 50K for Authorised Partner. You can check it out anywhere. Sub broker is technically same as Ap with minor differences.

Maybe, this is first time I am hearing of it. If the deposit is really 50k, then there must be some major difference to justify the reduced amount.
All sub brokers would prefer to be AP and pay less.

As far as I know, deposit for Ap's are always near 50k.
And I'm talking about Top brokers. All Mumbai based.
Even Kotak you can bargain with 50k.

I guess your past experience has been some regional branch manager which might have inflated the deposit.