1. Incorporate the New Broker
The first step in the process of launching your own forex brokerage is to incorporate the business. This is actually quite straight forward since a license is not required in order to get started. The reason we suggest starting with the incorporation is that the broker cannot officially launch until a business is first established.
It’s important though, that the brokerage is incorporated in a region that currently does not have a regulatory regime, otherwise the new business would be operating illegally. It’s best to contact our team of consultants for a list of the best jurisdictions to incorporate your new forex brokerage. Additionally, we can also consult your firm on some of the best regions to obtain a forex broker license.
2. Determine the Best Payment Solution
Once the new forex broker has been incorporated, your business will require a way to both receive and make payments. Due to stricter rules set by banks and increasing regulations, it is now more difficult for new brokerages to obtain bank accounts, especially those registered in offshore jurisdictions.
For the reasons outlined here, it makes sense to reach out to one of our consultation experts for guidance regarding the payment process. Our team has extensive experience in this matter and can offer several workable solutions to you.
3. Build a Forex Website
Your clients will need to visit your website in order to open an account, test out a demo, and also review the terms and conditions you offer. When starting your own broker, you don’t need to have a world class website in the beginning, a simple yet well designed website will do. This is a service we are happy to help you with as we have experience in designing websites specifically for forex brokers.
4. Obtain an MT4 or MT5 White Label
A white label is the technology that will power your new broker, basically the software that your clients will use to buy and sell currencies, stocks and CFDs. MT4 and MT5 are the most common white label providers although you don’t necessarily need to choose them. Alternative white label programs trading systems such as the Condor trading platform is also a popular choice for new forex brokers.
5. Choose a Liquidity Provider
For those new to the industry, liquidity refers to the pricing and ultimately the trading execution that will power your broker. Each liquidity provider has their own set of terms, requirements, and fee structures that you’ll need to evaluate before launching the business, something we can assist you with.
Start Your Forex Broker with our Team of Consulting Experts
We speak to new investors and entrepreneurs on a daily basis who are looking to build their own forex broker, making us an ideal partner to help your launch your own brokerage. If you are contemplating starting you own forex brokerage and require further guidance on the steps we’ve outlined, don’t hesitate to contact us today.