This article will give you complete insights and information about the IDBI Direct Franchise program and how you can get associated with them.
Here, we would talk about the Sub brokership program, what is the procedure, what are the requirements to be fulfilled, what kind of brokerage charges they would charge and what offers or benefits would they provide to you and your customers.
In a nutshell, this write-up talk about everything you need to know about the IDBI Direct Sub Broker program.
|IDBI Direct Sub Broker Highlight|
|Top Business Model||Sub Broker|
|Initial Investment Required||Rs.50,000 – Rs.300,000|
|Revenue Sharing||40% to 70%|
|Payout Time||21 Days|
|SB Code Activation Time||31 Days|
What do you know about IDBI Direct Franchise?
IDBI Direct is a Mumbai based stock broking company, which was incorporated in the year 1993 by Mr. Rakesh Sharma. It is a Public Full Service Broking house.
The IDBI Direct Franchise offers various financial products like Equities, IPOs, Mutual Funds, and various other investment instruments. They deal in all segments under the equity umbrella-like Equities, Derivatives, Commodities and Currency.
If you wish to become an IDBI Direct Sub Broker, the turnaround time from your application to getting the license would be approx a month.
|IDBI Direct Business Partner Overview|
|Here is the overview of IDBI Direct Franchise|
|What type of Company is it? – Public / Private||Public|
|What is the Broker type?||Full Service Broker|
|Where is the Headquarter located?||Mumbai, India|
|Who is the Founder?||Mr. Rakesh Sharma|
|What is the year of establishment?||1993|
|How many days does it take for SB Code Activation?||31 Days|
|How many days/weeks it takes for Payout?||21 Days|
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What are the various Business Models that IDBI Direct Sub Broker Program provides?
IDBI Direct is a very straight forward and goal oriented company. Ever since its inception, they have directed all their energies in only capitalizing and growing the business and hence are one of the leading players in the Stock Broking industry today.
Hence they have a very simple and straightforward business model as well. They follow the IDBI Direct Franchise model in only one way i.e. the Sub Brokership program. They don’t have the Remisier or the Master Franchise or the Referral program also.
- Sub Broker / Authorised Person
IDBI Direct Sub Broker / Authorised Person
If you want to get associated with them, you need to become an IDBI Direct Sub Broker.
After becoming a sub broker, you will have all rights equivalent to the Broker himself, you can trade on their behalf, assist customers to trade and also have complete access to their systems.
|IDBI Direct Franchise Business Models|
|Know about various Business Models of IDBI Direct|
|Is the Sub Broker business model available?||Yes|
|Do they provide Referral Program?||No|
|Do they provide Master Franchise Model?||No|
|Does this broker provide Partner / Remisier model?||No|
How does IDBI Direct Sub Broker Revenue Sharing work?
With respect to the IDBI Direct Franchise Revenue, they again have a very transparent approach. They offer a fair share to their Business Partners for all the efforts they put in. They offer 40% – 70% of the revenue generated from their business as a revenue share to their Sub brokers.
This marginal gap is also something that depends on the Sub broker’s business quantum and contribution in the overall business. As a businessman, you can be rest assured to get a good deal from them as an IDBI Direct Sub broker Commission.
|IDBI Direct Sub Broker Revenue Sharing|
|Find the details of its Sub Broker Commission for all Business Models|
|What is the revenue sharing for Sub Broker program?||40% to 70%|
|Do they provide revenue sharing or direct pay for Referral Program?||NA|
|How much is the revenue sharing Master Franchise business?||NA|
|How much is the revenue sharing required for Partner / Remisier model?||NA|
Know about Revenue Sharing of other Sub Broker Franchise
|Aditya Birla Money Franchise||Karvy Franchise||Sharekhan Franchise|
|Monarch Networth Franchise||Motilal Oswal Franchise||Swastika Investmart Franchise|
|Tradebulls Securities Franchise||Angel Broking Franchise||Shriram Insight Franchise|
What is the IDBI Direct Business Partner Security Deposit requirement?
Fundamentally, the IDBI Direct Franchise Cost is something which is at par with most market leaders. The security deposit amount expected by them starts with a minimum of Rs. 50,000 and goes up to Rs. 300,000.
This is again dependent on the type of Sub Broker they are dealing with. If someone is staring off their business for the first time without any knowledge of the business, then they would certainly demand a higher security deposit as the risk involved with such a partner is higher.
However, the IDBI Direct Sub Broker Investment would be much lower for a seasoned professional as they know the rules of the game.
|IDBI Direct Franchise Security Deposit|
|Check the IDBI Direct Franchise cost requirement for each business model|
|How much is security deposit required for Sub Broker Program?||Rs.50,000 – Rs.300,000|
|Is there any security deposit required for Referral Program?||NA|
|What is the initial investment required for Master Franchise Model?||NA|
|What is the deposit required for Partner / Remisier Model?||NA|
What are the various Offers rolled out by IDBI Direct Authorised Person Program?
The company ensures a lot of IDBI Direct Franchise offers are provided to their business partners time and again. However, there are some fixed offers also that you can enjoy with them.
You can enjoy a Flexible Revenue sharing model wherein you can negotiate the best deal for yourself if you show your worth to them.
They also have a k initial deposit scheme wherein one can start their association with them with a minimum deposit amount as well if they are tenured in the business and can guarantee a good turnaround in the business.
What they don’t offer are things like Flat Revenue sharing or Zero Deposit etc. But such IDBI Direct Sub broker offers are very lucrative for end customers.
|IDBI Direct Sub Broker Offers|
|Here is the list of IDBI Direct Franchise offers available to the clients|
|Do they provide Flexible Revenue Sharing offer?||Yes|
|Are they providing Flat Revenue Sharing offer?||No|
|Do they offer Zero Revenue Sharing model with Prepaid payment?||No|
|Do they provide Zero Deposit scheme?||No|
|Are they offering 10k Initial Deposit scheme?||Yes|
Check out the various offers of other Sub Broker Providers
|Ashlar Securities Franchise||BMA Wealth Creators Franchise||DBFS Securities Franchise|
|Astha Trade Franchise||BP Equities Franchise||Dealmoney Securities Franchise|
|ATS Share Brokers Franchise||Canmoney Franchise||Emkay Global Franchise|
What are the various Supports provided to IDBI Direct Business partners?
As a partner, you will find that IDBI Direct is a very helpful and supportive company. They extend full support to their business partners and work hand-in-glove with them to make their business successful.
The IDBI Direct Partner support is provided in terms of the training they do; they do end-to-end training for the sub brokers on product knowledge, acquisition training and also dealer based training.
As a part of the IDBI Direct Franchise Support, you can expect complete support on Back-office as well as trading support from them.
The only thing that they don’t provide is Advisory Support and Marketing support which is something the Sub broker has to manage themselves.
|IDBI Direct Business Partner Support|
|Here are the various Support IDBI Direct Franchise needs to provide to their clients|
|Do they provide Acquisition Training to their associates?||Yes|
|Do they provide Training for Dealers of their sub brokers?||Yes|
|Are they providing Product Training for their business partners?||Yes|
|Do they provide Back-Office Support for their authorised person?||Yes|
|Are they providing Trading Support to their business partners?||Yes|
|Are they sharing Advisory Support with their partners?||No|
|Does the broking house provide Marketing Support to their sub brokers?||No|
Which is the Infrastructure required for IDBI Direct Business Associate?
The IDBI Direct Franchise Infra Requirement is also very straightforward and simple. All they need is the Sub Broker to maintain one dedicated office space of minimum 300 sq ft area with minimum 3 employees working for them on this business.
There are other basic requirements like Telephone lines, Internet connectivity and Trading terminals etc that are also mandate for anyone to run business for them. These are the only few IDBI Direct Partner Requirement that they have.
|IDBI Direct Partner Infrastructure Requirement|
|Find the various Infra required to take up IDBI Direct Franchise|
|What is the Employee Strength needed to start this franchise?||Minimum 3|
|Do the Sub Broker needs to provide Trading Terminals?||Yes|
|Is the Internet Connection mandatory to take up franchise?||Yes|
|Are Telephone Lines mandatory for Business Partners?||Yes|
|Is it mandatory to provide Research Services by Sub Broker?||No|
|How much is the size of Office Area required to become a Sub Broker?||Minimum 300 Sq Ft|
Find out the basic requirements of other Stock Broking Franchise
What is the Eligibility Criteria to Become IDBI Direct Partner?
Like every other Stock Broker, there are some IDBI Direct Franchise Eligibility criteria as well in order to get associated with them.
You need to be a graduate atleast to enroll with them as a Sub broker. You also need to have minimum years of experience to start off your franchise with them.
Some experience preferably in the Stock broking field would be of added advantage though. As a part of the IDBI Direct Sub Broker Eligibility, you also need to have a SEBI certificate to ensure you start off with them.
if you qualify in all these criterion, you can start off immediately by providing your KYC documents.
What are the brokerage charges levied to the Clients of IDBI Direct Partners?
As a business partner, you can be rest assured that the IDBI Direct Partner charges are least in the industry. For most of their segments, they charge a brokerage anything between 0.01% – 0.04% of the total trade value.
This is applicable to Equity Intraday, Equity Futures, Currency Futures and Commodity as well. For Equity Delivery, they charge 0.05% – 0.35% of the transaction value.
For Equity Options and Currency Options, they charge on per lot basis and that between Rs. 10 – Rs. 60 per lot irrespective of the trade value.
Hence, you can see that the IDBI Direct Authorized Person charges are also very minimal as their other requirements.
|IDBI Direct Sub Broker – Brokerage Charges to Clients|
|Here are the brokerage charges levied by IDBI Direct Sub Broker to their clients|
|What are Equity Intraday charges?||0.01% – 0.04%|
|How much are Equity Delivery charges?||0.05% – 0.35%|
|How much is the charge levied on Equity Options?||Rs.10 – Rs.60 per lot|
|How much are the Currency Options charges?||Rs.10 – Rs.60 per lot|
|What are Equity Futures charges?||0.01% – 0.04%|
|What are the charges levied on Currency Futures?||0.01% – 0.04%|
|What are the charges levied on Commodity Trading?||0.01% – 0.04%|
What is the Account Opening Charges Levied to the clients of IDBI Direct Sub Broker?
You will be glad to know that the IDBI Direct Franchise charges are low for the account opening as well. They have no charge whatsoever for opening a Trading account and also for its maintenance for lifetime.
For the Demat account, however, they charge an AMC of Rs. 350 per annum. Their margin money requirement is also very low i.e. Rs. 10,000 only.
Moreover they have the least Transaction charge as well – 0.00312% of the Total Turnover value. Such are the IDBI Direct Sub Broker Charges.
|IDBI Direct Franchise – Account Opening Charges to Clients|
|Here are the account opening charges levied by IDBI Direct Franchise to their clients|
|What are the Account Opening Charges?||Free|
|What is the Margin Money required?||Rs.10,000|
|What is the charge for Demat AMC?||Rs.350 per Annum|
|how much are Trading AMC charges?||Free|
|How much is the Transaction Charges levied?||0.00312% of Total Turnover|
What is the Customer Ratings of IDBI Direct Authorised Person Program?
IDBI Direct Franchise Rating is at a good score as compared to other brokers i.e. they are on an overall 3.3 rating as against 5.
For most of their attributes, they get a good score – For customer Experience and Mobile Apps & Trading Platforms, they have got a 3.5 rating and for the Revenue Sharing Model, they have got 3.3. For Security Deposit and Offers, they have scored a 3.2 rating.
Hence, overall we can say that the IDBI Direct Sub Broker Review is very good and enrolling with them would be a good decision.
|IDBI Direct Franchise Customer Ratings|
|Find Client Ratings & Reviews against multiple parameters for IDBI Direct|
|According to Revenue Sharing Model of the Franchisor||3.3 / 5|
|Ratings as per Security Deposit provided by the company||3.2 / 5|
|As per Experience in the Sub Broker Business||3.5 / 5|
|As per Offers provided by the Broking Franchise||3.2 / 5|
|Ratings as per Mobile Trading App & Trading Platforms||3.5 / 5|
|Overall Ratings of the Sub Broker Franchise||3.3 / 5|
IDBI Direct Business Associate Conclusion
The IDBI Direct Franchise could be a very good proposition to someone wants to start up with a good and healthy organization, They have fair trade policies and transparent communication in most of their structure.
The overall rating from the customers’ views as well as the Sub Brokers’ views have been extremely encouraging. Hence becoming an IDBI Direct Sub broker can be a considerable choice.
Get to know about other Sub Brokers in India
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