Channel Development

Business Partners

Channel Development

Index...

1.Objective 6. Acqisition Process

2.Vission & Mission 7. Development Process

3. Area Selection 8. Back End Support

4.Targets & Goals setting

Manpower Allocation Manpower Cost Earnings From Partners Employee Cost Vrs. Partners Earnings

5. Competitors Comparison

Objective...

The Objective behind Business Expansion is quite clear to all of us as Business Expansion helps an Organization to enhance Branding along with Business volume at several untouched areas.

Business Expansion can be done in various ways.Such as follows----

Rolling own database for AP Branch set up at various places.

Appointing 'N' number of agents those will help in providing fly quality customers at all potential and virgin places.

Appointing sub broker centres.

Participating in seminers / canopy activities / customer gatherings from Business Partners or Organization side for more leads which can help in customer acquisition for Business Expansion.

Appointing manpower at potential places for quality Business Partners addition.

Setting up Master Franchisees for sub franchisee addition.

Vission & Mission...

: Vission :

"To set a Business Standard by providing quality service & personal care to all Business Partners accross the Country which

will fetch maximum Investors to invest and sustain for long run."

: Mission :

"To set up 100 New Business Partners by 2018"

Area Selection...Area Selection for Busienss Development via Business Partners are as important as selecting and setting up Destination and Goals which helps in achieving set targets in a proper and managed way.

Targets & Goals for Year'15-16..

State Name Target Completion Month

West Bengal 2 August'15

West Bengal 3 September'15

West Bengal 3 October'15

West Bengal 4 November'15

Orissa2 December'15

Assam2 January'16

Bihar2 February'16

Jharkhand 2 March'16

Total 20 To be completed by March'16

l Acquisition Targets for next 3 Years...

0

5

10

15

20

25

30

35

40

45

Year 15-16 Year 16-17 Year 17-18

No. of Branches#REF!#REF!

****The figures are taken assuming there will be approx 3-4 AP's that will get acquired per Month in a Financial Year

Financial Year 2015-2016 : 20Financial Year 2016-2017 : 40Financial Year 2017-2018 : 40

Manpower Allocation..

Targets will be based on approached goals. As Goals are fixed to set up 100 Business Partnersby 2018 Financial Year end hence its important to focus on the process.

Process flows--

1. Manpower selection--Intially there will be individual goals and later on that is from Financial 'Year 15-16' Manpower should be allocated. There should be total 2 Franchisee Managers out of which one will be posted in Kolkata and another Manager will be posted in Guwahati to develop North East (NE).

Business Head(Kolkata)

Franchisee Manager(Kolkata) Franchisee Manager

(Guwahati)

Manpower Cost..

Manpower cost at initial stage will be as follows-----

Depending on the requirement and Business Volumes, Franchisee Managers will be recruited later on.Each Franchisee Managers will be responsible for their own cost expansion and bound to justify the cost at the end of every Month.

Salary range is an approximate figure and can be varried.

Sl no. Team Cost per Month Cost per Year

1 Business Head 50,000 6,00,000

2Franchisee Manager 1

25,000 3,00,000

3 Franchisee Manager 2 25,000 3,00,000

Total Rs. 1,00,000 (Variable)

Rs. 12,00,000(Variable)

Earnings from Partners..

Particulars Year 15-16 Year 16-17 Year 17-18No. of Branches 20 40 40

Average net Brokerage income per month per BPApprox Rs.

10,000Approx Rs.

10,000Approx Rs.

10,000

Total Monthly income stands at Year end(Branches*Income@month)= X

Approx Rs. 2,00,000/pm(20 Branches)

Approx Rs.6,00,000/pm(60 Branches)

Approx Rs.10,00,000/pm(100 Branches)

Income Revenue Calculation 4 Times 6 Times 10 Times

Manpower Used 1 3 3

Assuming that, if 20 Branches gets active on earning Brokerage part as planned in First FinancialYear, then the Organization revenue part can be as follows in next 3 Years----

****The figures are taken assuming all Branches are providing an approx revenue income of Rs. 10,000/- per month

Month Employee

Cost1st Year

Employee Cost2nd & 3rd Year

BP Addition Yr. 15-

16

BP Addition Yr.

16-17

BP Addition Yr. 17-

18

Total Addition in

3 Yrs.

Net EarningsYr. 15-16

Profit/Loss in 1st Year

April 0 1,00,000 0 4 4 8 0 0

May 0 1,00,000 0 4 4 8 0 0

June 0 1,00,000 0 4 4 8 0 0

July 0 1,00,000 0 4 4 8 0 0

August 50,000 1,00,000 2 4 4 10 0 50,000

September 50,000 1,00,000 3 4 4 11 50,000 50,000

October 50,000 1,00,000 3 2 2 7 80,000 20,000

November 50,000 1,00,000 4 2 2 8 1,20,000 50,000

December 50,000 1,00,000 2 3 3 8 1,40,000 90,000

January 50,000 1,00,000 2 3 3 8 1,60,000 1,10,000

February 50,000 1,00,000 2 3 3 8 1,80,000 1,30,000

March 50,000 1,00,000 2 3 3 8 2,00,000 1,50,000

Total 4,00,000 12,00,000 20 40 40 100 9,30,000 4,10,000

Employee Cost Vrs. Partners Earnings for 1st Year...

The figures are taken assuming all Branches are providing an approx revenue income of Rs. 10,000/- per month.

Franchisee additions & their earnings in every month is bringing effect on Net earnings as well as Profit/Loss Statement.

The actual net income per Branch per month will obviously vary and be much more higher than the shown figure.

Employee Cost Vrs Partner Earnings for next 2 Years...

Month Employee

Costper Year

BP Addition Year 16-

17

Net EarningsYear 16-17

Profit/LossYear 16-17

BP Addition

Year 17-18

Net Earnings

Year 17-18

Profit/LossYear 17-18

April 1,00,000 4 2,40,000 1,40,000 4 6,40,000 5,40,000

May 1,00,000 4 2,80,000 1,80,000 4 6,80,000 5,80,000

June 1,00,000 4 3,20,000 2,20,000 4 7,20,000 6,20,000

July 1,00,000 4 3,60,000 2,60,000 4 7,60,000 6,60,000

August 1,00,000 4 4,00,000 3,00,000 4 8,00,000 7,00,000

September 1,00,000 4 4,40,000 3,40,000 4 8,40,000 7,40,000

October 1,00,000 2 4,60,000 3,60,000 2 8,60,000 7,60,000

November 1,00,000 2 4,80,000 3,80,000 2 8,80,000 7,80,000

December 1,00,000 3 5,10,000 4,10,000 3 9,10,000 8,10,000

January 1,00,000 3 5,40,000 4,40,000 3 9,40,000 8,40,000

February 1,00,000 3 5,70,000 4,70,000 3 9,70,000 8,70,000

March 1,00,000 3 6,00,000 5,00,000 3 10,00,000 9,00,000

Total 12,00,000 40 52,00,000 40,00,000 40 1,00,00,000 88,00,000

Competitors Comparison

Competitors Comparison...

Stock Broker Name

Franchisee Deposit

Square off Exposure Del. Exposure Brokerage Type

Brokerage Sharing Ratio / Fixed Rates

Average Brokerage Rate

BMA 50000 7 Times 2 Times Fixed.15% - Delivery / .015% Sq. Off

Delivery - .30 %, Sq Off - .03%

IIFL 100000 VAR Exposure 2 times Sharing / Fixed

60% /.20% - Delivery / .02% Sq. Off


Reliance Securities 100000 3-5 times Fixed 65%


Motilal 500000 10 Times 10 Times Sharing

Upto 3 Lacs 50:50, Between 3 - 5 45:55, Above 5 Lacs 40:60.


Kotak 350000 Sharing

Upto 2 Lacs 50:50, Between 2 - 5 60:40, Above 5 Lacs 70:30.


Sharekhan100000 per exchange 5 -10 Times 5 -10 Times Sharing 50 - 50


Bonanza100000 + 100000 FOR F & O 8 Times 5 Times Sharing / Fixed

.15% - Delivery / .015% Sq. Off

Delivery-.30%,sq off- .03%

Peerless 100000 VAR Exposure 3 times Sharing 60%Delivery - .50 %, Sq Off - .05%

LKP 25000 10 Times 5 Times Sharing / Fixed 70%


Acquisition Process

Acquisition ProcessPart-1

1. All personal AP lead conversions to be made at initial stage.

2.Visit on Franchisee database from NSE site with appointment by the Whole Team / Individually for Franchisee addition in case of lack of fixed appointments.

3.Before capturing a particular area,all NSE subbrokers along with Financial agents are to be contacted for appointment.

4.Cold calling in several local areas in case of lack of appointment via whole team / individually.

5. Track eye on visited list and a strong follow up for better conversion.

6. Organization Research Reports (Both Fundamental & Technical) are to be sent to all interested prospective partners on trial basis(7 Day's--1 Month) by both mail and SMS and a systematic track on feedback of same.

7. Query raised by prospective AP's on Portal links or such kinds are to be properly handled and solved so that we can able to choose right people out of the list,those are interested to get associated as Business Associates.

8. AMFI and Chartered Accountant list of different places are also should be in focused for AP conversion.


9. All Equity franchisees to be pushed for commodity or other segments registrations and vice versa.

10.Local News Paper advertisement from Company end for Business Partners Association.

11. All existing franchisees should be distributed with their local other sub brokers / agents list for trapping them as master franchisee and expand their Branches.

12. All NSE listed existing franchisees of other Broking Houses with one/two segments should be called for association with other non-existing segments too.

13. Mailers for Busienss Partners should be designed and circulated among all NSE subbrokers,AMFI agents and Chartered Accountants accross India on periodical basis by the Employees.

14. Mail from Management to all employees for franchisee referrals and if converted then rewarded.

15. Doing Way2Sms sort of activities to invite Association via SMS to all non-existing Partners will always help to add pipelines or conversions.

16. Areas to be covered up as per monthwise plan.


17. Monthly tour plan should be scheduled on prior basis.

18. Exsisting Partners,outside West Bengal are to be trasferred while covering other States.

19. Minimum meeting of three quality people per day should not be deviated at any cost.

20. Business referrals from converted Parters are to be utilized.

21. Master Franchisee concept to be offered to all converted Business Partners for further Business expansion.

Development Process

l Development Processl Part 1

Existing Franchisee meet on periodical basis for betterment of service which will br effect on revenue.

Incentive scheme for Franchisees on referral should be rolled out for Business Partner expansion.

Brokerage contest on existing franchisees should be rolled out.

Manpowers are to be allocated in West Bengal & necessary places wherever required in later on with Management Approval to expand teh Business outside WB.

Acquisition Target for Direct team(from 'Year 15-16' onwards) will be fixed i.e 2 per month and should be achieved at any cost.There will be review meetings per Manager on Weekly basis without fail.

Each employees(from 'Year 15-16' onwards) will be having brokerage targets from their Business Partners along with Acquisition part as well.

Employees will be given target for No. of accounts from their exsisting Franchisees per month rather per weekly basis.

Doing Canopy activities or participating in Trade Fair sort of activities by the Direct Team will definitely help in generating AP leads.

l Development Process Part 2

Each Manpowers will be trained properly about Organization objectives along with Franchisee terms conditions for better conversion.

AP Documentaion & Coding part will be as fast as possible for a faster Branch Opening process.

Each Franchisee will be trained about Company ethics along with nuts and buts of RMS system for a smooth running operation.

At least a Quarter review meet will be Organised at HO for Prize or Certification.

To create the Brokerage earning zeal among Franchisees, there will be certain Reward/tour sort of contests on earning slab brokerage.

I will personally meet every possible exsisting Franchisees once in a month atleast for their betterment and growth related discussions & will be keeping a close eye towards smooth running of account opening process.

Research team along with myself will be giving a continuous support for more valuable delivery based trading ideas and help Franchisees as well as clients to earn profits.

Back End Support

Back End Support..Processing AP Agreement with Exchange for approval and coding is a very crucial part.Hence its necessary to keep an eye on the code generation process so that Business Partners gets active as fast as possible & starts generating revenue.

Approval and coding

Exchange

Co-ordination with Exchange

Business Process Starts

Franchisee Manager

Back End Support..Back end Support not only implies a faster way to open dmat and trading account but the faster way to co-ordinate with Business Partners by back end people for all Back end related support & activities.

Back end Support also includes the people those are looking for RMS system,accounts Department,Customer Care,Research,IT etc.To conclude,the better support a Partner will get form all these related Departments,the much better they will perform Day by Day.

Customer Care

IT Department

RMS Team

Registration Dept.

Reserach Dept.

Sales Team

Back Office Team

Dealing Desk

Accounts Dept.

Compliance

Franchisee

Thank You

Documents

Channel Development