Sbi Securities Franchise Review

Last updated on August 23, 2023

The franchise division of SBICAP Securities, a leading global provider of investing and financial services, is known as SBICAP Securities Franchise.

Franchise ownership or registration as an SBICAP Securities Sub Broker is not only financially rewarding but also a source of professional pride, thanks to the brand recognition and prestige that the SBI name brings.

In this piece, you’ll learn about the stock brokerage’s many services for its franchisees. You’ll be fascinated by their income sharing structures, security deposit requirements, eligibility criteria to join the organization, infra needs, and much more.

About SBI Securities Franchise

The SBICAP Securities Sub Broker Program is one of India’s first franchising opportunities in the securities industry.

SSL, a State Bank Group subsidiary and broking scheme, is rapidly expanding into a premier financial institution by catering to the needs of a large and diverse customer and Sub Broker network.

Bank of Tokyo-Mitsubishi UFJ, Ltd. (SBI Securities), one of the largest and most prestigious financial institutions in Japan, has built a robust infrastructure and brokerage firm.

Types of SBICAP Securities Franchise

SBI Securities Broking has only 1 type of Partner program.

Sub Broker / Authorized Person

SBICAP Securities Sub Broker or Authorized Person

SBICAP Securities sub-brokers mediate between the firm and its clientele.

The business owner’s empire-building talents will be put to the test when they become an SBICAP Securities Business Partner and are tasked with persuading consumers to make stock market investments.

Money for setting up a local office with sufficient broadband and telephone services should be invested by the owner of the SBICAP Securities franchise.

Profits from selling SBICAP Securities are split 50–60% with the franchisee. For the Securities Deposit, you’ll need at least 1,000,000 INR.

The Value of Being an Authorized Person or Sub Broker with SBI Securities

  • Having a connection to a popular and recognizable label;
  • You need a wide selection of items and the backing of a dedicated relationship manager to attract and retain a sizable clientele.
  • Receive customized and unique offerings for select customers;
  • Provision of aid in the establishment of a workplace;
  • All areas of service are covered by the included training.

Commission or Revenue Sharing Scheme for Sub-Brokers in the SBICAP Securities Industry

Since SBI Securities offers its sub-brokers access to such a vast array of business platforms, it is imperative that SBI Securities also offer the finest revenue-sharing % or commission rate possible.

Consequently, this need has been met, and their revenue split is very standard throughout the industry.

The brokerage services provided by the SBICAP Securities Sub Broker program are split either 50/50 or 60/40 in favor of the sub-broker and the parent business, respectively.

Firm revenue splits are variable and might be as high as 60 percent for the company and 40 percent for the partners, depending on the year’s earnings.

It’s fantastic to know that SBI Securities is one of the brokerage firms that appreciates the perspective of a sub-broker. For this reason, SBI Securities provides satisfactory compensation to sub-brokers so as to keep a solid and pleasant relationship with them.

SBI Securities Advanced Business Model

SBI Securities provides an innovative revenue sharing model for many Sub Brokers, with the split determined in part by the amount of income created by each party. The more money made, the larger the split will be.

However, in other instances, it may also include a predetermined percentage of earnings. Each Sub Broker Model has a unique revenue sharing model or commission structure.

This is done because the investment risk and responsibilities associated with each Sub Broker model are varied, leading to varying levels of revenue for each.

A larger return may be expected from the model with more tasks and risks, whereas a lower return can be expected from the model with fewer objectives and fewer sources of responsibility.

Deposit or Franchise Fee for SBICAP Securities

The sub-broker would be compensated between Rs.1 Lakh and Rs.3 Lakh upon departure for their initial investment. As a result, you may consider this deposit fully refundable.

However, the sub-broker has some expenses that aren’t refundable, such as NSE and BSE membership fees and fees for access to other trading platforms.

The sub-broker also bears the expense of setting up shop with the essential trading equipment. When the franchise fee is high, the revenue split will be too.

SBI Securities, following standard practice in the sector, offers access to a range of deposit and investing options.

The sub-broker uses the security deposit when he or she incurs any obligatory liability or meets any necessary requirements in accordance with stock exchange or SEBI standards.

The primary broker (here, SBI Securities) may utilize the security deposit to cover the forfeit on the sub-end broker’s if the sub-broker does not repay the drawback.

The failure to pay bench money is a potential future use case for such a deposit. The amount of the security deposit would change depending on the model. This figure is affected by a wide variety of other factors.

A few examples include the sub-broker or legal person’s credit history, the sub-revenue, broker’s town’s the sub-clientele, broker’s the legal person’s product offerings, etc.

Infrastructure Investment by SBI Securities Sub Brokers or Authorized person

Each Sub broker in the SBI Securities Sub Broker Organization must have their own dedicated infrastructure in place. Facilities include a well-equipped office with desks, a trading terminal, phones, and internet access, among other amenities.

Since Remisier does not have extensive interactions with its customers, there is no need to establish a formal structure for the company.

As a result, most organizations constantly seek for new ways to interact with their target audience—the customers.

SBI Securities wants its clients to have a positive experience whenever they interact with their sub-brokers’ offices since those locations accurately represent and perpetuate the SBI Securities brand.

SBICAP Securities Sub Broker Offers

  • Equity, currency, initial public offerings, loans secured by securities, and a plethora of other financial instruments make up the breadth of the market.
  • Offers a diverse group of buyers, including regular customers, businesses, and foreigners living abroad.
  • Trading, researching, and calculating may all be done through a variety of convenient channels, including PC, mobile, app, walk-in branches, etc.
  • Demo films, webinars, online FAQs, expert presentations, etc. make it simple to invest.
  • Fundamental research and derivative reports, EMI, tax calculators, etc. are all products of extensive investigation and analysis.

Authorized Person for SBICAP Securities – Requirements

When it comes to accepting Sub Brokers, SBI Securities is no different from any other Stock Broker in terms of the requirements it places on them.

  • According to SEBI, the Sub Broker has to have a minimum of a Bachelor’s Degree and prior financial experience working with clients and financial products.
  • The quality of his disbursement’s customers
  • A venue to do business and meet with customers
  • Proof of registration or licensing with one of the markets

A guide to become an SBICAP Securities Sub Broker.

The application procedure for SBICAP Securities Limited’s Sub broker program is as follows.

  • Complete the application form to the best of your ability. This may be accomplished both online and off.
  • A representative from their call center will then contact you to confirm your information.
  • The franchise sales agent will contact you to schedule an in-depth meeting during which they will answer all of your questions and explain the franchise business plan in great depth.
  • Upon mutual agreement, you may post the required paperwork and the initial deposit check.
  • It is necessary to verify the information provided by the documents.
  • After the paperwork has been checked over, the Sub broker or Franchise Account ID will be made.
  • It will take around 10-12 days to complete everything and be able to log in.

SBICAP Securities Partner Registration Requirements

  • Evidence of identity and address, such as a PAN or Adhaar card
  • Proof of age and education level is required, and you must be at least 21 years old.
  • Bank Statement or Voided Check
  • Multiple Images
  • Office Space Lease Agreement

Why Partner with SBICAP Securities Limited?

  • Join a reputable bank that has won several accolades and become an integral part of its success.
  • Trading is simple on any of the readily available mediums, whether it be online, on a mobile device, etc.
  • One may analyze current trading conditions and make educated selections with the use of tools like comprehensive quotations, Decisive screeners, and heat maps.
  • Both online and offline facilities are provided for trade.
  • Accounts that are more malleable and offer higher profits are brokerage accounts.

Superior Help and Instructional Resources

Since SBI Securities is highly discriminating in who it accepts into its Sub Broker program, the firm has a small base of clients that use sub-brokers. They have around a thousand sub-brokers now, and they’re all major participants in the industry.

SBI Securities is also well-known for their superior support system and holds regular, company-wide training sessions for their employees.

Technology and Infrastructure in the Back Office Power Pack

SBI Securities provides investors with access to a wide variety of trading resources across many platforms and mobile devices. They also provide excellent back-office services to its partners, detailing each sub-or broker’s franchise’s clientele in great detail. With the help of this back-end system, you may push notifications to your desk-bound customers through email or text message.

Our Team’s Top Priority: Providing the Best Research and Advice Possible

The Research and Advisory team of SBI Securities has been recognized as among the best in India. To further strengthen their advising Support to customers, they are also providing their employees with a variety of training assemblies. In order to improve their clients’ ROI, they provide all kind of technical analyses and reports to their sub-brokers and network partners.

Advertisement and Other Help

Sub-brokers offer a great deal of value and may greatly benefit from marketing and branding efforts in key power zones. Individualized investing options for the wealthy. Large sub-brokers can also take use of the brokerage’s individualized services.

The SBICAP Securities Partner Program Offers Help

  • Superior Technology and Administrative Support Infrastructure
  • Best Provide webinars, instructional videos, and product demonstration videos for training purposes.
  • Call and exchange services provide first-rate customer assistance.
  • If the firm helps its partner learn more about its clients, the partner will have a better grasp of the client’s perspective.
  • Promoting aid such as ads, banners, posters, etc.

Pros and Cons of Owning an SBI Securities Franchise

For this reason, it is crucial to weigh the benefits and drawbacks of a trading platform before making a final decision for the partnership agreement.

As an example, supposing you’re ready to sign a partnership document for an SBI securities franchise and you want to make sure nothing important is overlooked. We’ll pitch in and see if we can assist.

Read on to learn about the benefits and drawbacks of joining SBI Securities:


  • A reputable broker in the industry
  • Exceptional economic and social standing
  • Low starting cost is a plus.


  • Lack of Commodity Trading
  • One and only one business model exists.
  • A lower percentage of total income kept

Referral Program for Franchisees of SBI Securities

Now is the moment to find out about SBI Securities’ referral program. The broker does not have a referral program, sadly.

SBI Securities now only offers two business programs: master franchises and sub-broker/authorized person programs.

A minimum investment of between Rs 1.5 Lakhs and Rs 2.50 Lakhs is required to gain entry to this.

Brokerage Fees for SBI Securities Partners’ Customers

Invoices must be paid; we can’t ignore them. Customers’ displeasure with broker fees may have a major effect on your bottom line.

To avoid any unpleasant surprises, please review the brokerage fees charged by SBI Securities thoroughly before extending an invitation. If you don’t steer them in the proper direction, they will be less likely to accept your offer of employment at SBI Securities.

The broker was determined to have a commission of 0.50% on Equity Delivery orders. Prices for Equity Options and Currency Options are also Rs 100 per lot. The broker retains a flat fee of 0.05% on all other goods.

Thankfully, there is no ongoing fee for maintaining an account. SBI Securities, in contrast to inexpensive brokers, has account opening fees of Rs 699.

However, due to its banking assistance and other amenities, SBI Securities is more likely to attract customers.

SBI Securities Franchise Conclusion

SBI Securities is a well-known name in India’s financial services industry, and like other stock brokers, it mostly grows through partnerships with other companies.

As such, it appreciates the Sub broker association for what it is and makes sure the Sub Broker has everything they need to run their company effectively.

Using cutting-edge technology and trading platforms, SBI Securities provides its Sub Brokers and clients with an exceptional trading environment.

Frequently Asked Questions for the SBI Smart Franchise

 Find answers to frequently asked questions about the SBI Smart Franchise below.

1.Ques: Does SBI Smart have Sub Broker Model?

Ans: The stock broker, SBI Smart, does indeed provide a sub-broker arrangement. The Stockbroker offers only this one franchise opportunity.

Unfortunately, this is your only option if you want to start a business with this broker and none of the others exist.

2.Ques: Is there more than one type of SBI Smart Franchise?

Ans: No, the stock broker does not allow access to accounts that permit for numerous franchise business models.

As the broker’s model dictates, however, the sub-broker model is made available for Investment.

3.Ques: What is SBI Smart Sub Broker Commission?

Ans: The stock broker divides the earnings fairly and squarely in accordance with the work performed.

Commission or income share falls between 50% and 60% under the SBI Smart sub-broker model. This gives the franchiser a 50% – 40% stake in the business.

4.Ques: How much does SBI Smart Franchise Cost?

Ans: Obtaining the SBI Smart business model requires an up-front financial commitment.

As the sub-broker, your payment to the broker would be somewhere in the range of Rs.100,000 to Rs.300,000. However, this sum is reimbursable under certain conditions.

5.Ques: Does SBI Smart have a Partner Program?

Ans: No, this Stockbroker does not have a partner program, hence you will not be able to participate in one.

However, you can still choose to invest in a sub-broker model if you find such structure to be suitable.

6.Ques: What is SBI Smart Partners Sharing?

Ans: Given that the stock broker does not supply this business model for franchise investment, the partner sharing does not apply.

If you want to learn more about the alternative sub-broker model, which isn’t supplied here, you’ll have to read the article.

7.Ques: How much does the SBI Smart Partner Program cost?

Ans: Neither new customers nor the company’s current clientele have access to any kind of Partner program provision. As a result, we cannot provide you with details on the cost of the affiliate program.

Though, you may go at the aforementioned paragraphs to learn about the cost of the sub-broker model.

8.Ques: Does SBI Smart provide Training Assistance?

Ans: The stock broker is committed to upholding its high standards in all areas of operation. Those who have attained the status of “sub-broker” will be given the opportunity to further their education by way of a comprehensive help system.

Technology, back office, research and consulting, and other areas are among the domains covered.

9.Ques: How to Become SBI Smart Sub Broker?

Ans: To get going, please use the “Become Sub Broker” button at the bottom of this page. As soon as you click it, a new window will emerge on top. Complete the form and hit the submit button.

A representative from the firm will contact you shortly to learn more about your inquiry and the next steps in the process.

10.Ques: Does SBI Smart Franchise provide Support?

Ans: A lot of help from the stock broker’s end is something you can count on, indeed.

In keeping with the same, they provide assistance in areas such as cutting-edge technology, top-notch research and advising, advertising, and product branding.

11.Ques: How can I become SBI Authorised Person?

Ans: Getting approved as an SBI Authorized Person is a simple process. Indeed, it’s quite simple.

You’ll need to meet a few simple requirements and complete a few procedures when you get in touch with the SBI Securities Executive to learn more about buying a franchise from them.

12.Ques: Is SBI Securities good for trading?

Ans: That’s why SBI Securities is a great brokerage. This broker is highly recommended and is a member of SEBI. Furthermore, investors and traders have access to a dynamic dashboard for monitoring and managing their accounts.

13.Ques: What is the SBI franchise?

Ans: Businessmen and marketers with ambition can join the SBI Franchise network, a business model created by SBI Securities.

You may anticipate to earn between 55% and 70% commission on every business brought in by clients after purchasing an SBI Securities Franchise for a predetermined sum of money.

15.Ques: How can I become an SBI franchisee?

Ans: While it’s simple to become an SBI franchisee, the initial investment required of new partners often ranges from Rs 1.5 Lakh to Rs 2.5 Lakh or more.

To get on with the process, simply get in touch with the SBI Securities agent.

16.Ques: What are the steps to become an SBI affiliate?

Ans: Communicating with the broker and acquiring a general understanding of the requirements for being an SBI partner is all that is required to join the network.

17.Ques: Is SBI Cap Securities a public or private company?

Ans: There is no government involvement in SBI Cap Securities. In any case, it is a subsidiary of a government-owned company.

18.Ques: Is SBI Cap Securities good?

Ans: When looking for a company’s details, you may find SBI Cap Securities on the Mumbai Registrar of Companies’ website.

Since its incorporation in 2005, the firm has made significant progress toward becoming one of the leading brokers in the market. SBI Cap Securities Limited provides excellent service for affordable prices.

19.Ques: What are the brokerage charges in SBI Securities?

Ans: Each share delivery order placed with SBI Securities may incur up to 0.50% in brokerage fees. Most assets incur a fee of 0.05%, while Equity Options and Currency Options cost Rs 100 each lot.

20.Ques: Is SBI Cap Securities sub-broker profitable?

Ans: Sub-brokers working with SBI Cap Securities can earn a commission of 55% to 70% on every business brought in by their clients. This is a sustainable revenue stream that may be developed during the course of the collaboration.

21.Ques: In order to become a sub-broker with SBI Cap Securities, what do you need?

Ans: You need to be prepared with identity, business, and account documentation.

In addition, you’ll need to prove your Indian citizenship and high school graduation with a 10th grade diploma. Any qualified applicant must provide a minimum investment amount before moving further.


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