Thu Oct 22, 2015
At Forexware we are often asked the question, “How do I start my own brokerage?” When one thinks about it the process can appear quite overwhelming. For example, if you asked someone to describe a brokerage they would probably conjure up images of a noisy trading floor in a high rise building with paper flying all over the office. So how does one actually go from an interesting idea to a full-fledged round-the-clock business? The truth is that just like any business, even the most successful brokerage starts with humble beginnings. When it comes to taking this idea and turning it into reality, you might be surprised to learn that the steps required can be broken down into three categories: capital, concept, and a trustworthy partner.
Getting a forex brokerage off the ground is no different from starting any other type of business. You will need to have startup capital, but that alone will not be enough. Additional funds covering the month-to-month expenses of running your business should not be overlooked. A few costs to keep in mind are office space, payroll, accounting fees, and general office supplies such as desks and computers.
Having the necessary capital is not all you will need if you want your brokerage to be successful. You will need to offer something which will separate it from the rest or perhaps target a niche segment of the trading community. The good news is that the foreign exchange (FX) market for retail traders has been growing significantly over the past 15 years. What is even more exciting is that the forex market is by far the fastest growing market when compared to stocks or futures trading. There is plenty of potential for growth once you have decided what your strategy will be. Do not forget that you will also need a plan for generating interest in your brokerage, acquiring customers, and maintaining those relationships.
Once you have the necessary capital and a business strategy you are ready to get started. In terms of the process, it is possible to start a brokerage from the ground up without any outside assistance; however, if you choose to pursue this route it will be taxing both in terms of your time and money. An easier option is to join forces with Forexware as a business partner. We offer you everything you need to turn your concept into a full-fledged brokerage. Not only will we provide all the tools necessary to get started, you will also be able to tap into our expertise in this business.
Interested in learning more? Our Business Intelligence team is available to answer any inquiries you might have. Feel free to contact us!
You can also learn more about starting your own brokerage from out free business plan.