Many people consider binary options as an area for investing capital. They only think about the career of traders. At the same time, no one prevents us from looking at this sphere from the other side. You can invest in opening a broker and find yourself on the other side of the business in question. Naturally, in such a situation, a legitimate question arises: how to create a binary options brokerage company?
There are currently 2 main opportunities to open a binary options broker and enter the financial market in question. These include:
- own development of a trading platform;
- creation of a white label subdivision of an existing broker.
We will not dwell on the first item from the list. Own development of a trading platform and software for providing brokerage services in the binary options market is an extremely expensive project with huge investments. In addition, it is almost impossible to implement it without extensive experience in this area.
What other nuances are there
Naturally, the process of creating your own brokerage company is not limited to the acquisition of an electronic trading terminal. The investor should also consider the following aspects:
- registration of a legal entity;
- domain registration and website creation;
- organization of payment services.
Most of the existing binary options brokers register their companies offshore. This is due to the preferential tax regime that exists in Cyprus or some exotic islands.
The cost of registering an offshore company can range from $ 300-3000.
Domain name registration and website creation are equally important steps. And the choice of a sonorous and memorable domain is the more important part. The domain name must be remembered, in addition, it must be registered with a reliable registrar. The site can be the simplest. The most important is the correct layout and memorable design.
The total cost of the costs at this stage is $ 1000–3000. The lion's share of this money will be spent on quality design.
The work of a brokerage company is directly related to the implementation of monetary transactions. In order for your client to easily make a deposit and replenish a trading account, you need to connect at least one payment system. Of course, it is better that there are several of them and they are popular among Internet users.
Costs at this stage will amount to $ 1000-1500.
White Label for Binary Options
In fact, this name means a child structure of an already operating broker. At the same time, an investor who decides to follow this path will be very free in his actions. The new company will have its own price list, design, promotions, logo, schedule and work procedure.
It should be understood that there will be subordination to the parent broker. However, at the same time it will provide you with all the necessary software solutions, and your clients with additional services.
Settlements in this kind of partnership are fairly transparent and simple. The parent brokerage company will require a few percent of the profit from the subsidiary. In addition, you will need to initially pay the required amount for the provision of a trading platform.
Advantages of White Label should be recognized:
- high speed of opening your own turnkey business;
- ready-made and run-in software;
- availability of qualified personnel of the lead broker, who understands all the difficulties that a partner may face at first, and who is ready to offer assistance in solving them;
- training the management and staff of the new broker in the basics of doing business in the field of binary options.
How does the white or gray label for binary brokers from WhiteLabelsFX differ from others?
1. You don't pay any commissions, only monthly payments.
2. We do not require any registration documents, your first payment is a confirmation of your serious interest in us.
3. There are no restrictions.
4. No character restrictions.
5. The cost of the server is already included in the price.
6. No hidden fees!
7. We can offer you a choice either Metatrader 4 and Metatrader5
8. User migration cost $ 0
9. Free MT4 MT5 API
10. Free data price feed
In general, I can say that nothing is impossible in this task. There are examples of brokers consisting of two people in general - they organized the White Label, both employees and founders, and programmers, and support. And they work successfully. So go for it!