Gain Capital is a well-established firm that has more than 18 years of experience in enabling businesses that have complementary product portfolios to expand and grow their offering. A new generation of professional software that helps brokers and exchanges manage their customers, admins and IB-partners in one place. The white-label provider supplies the MT4 and MT5 server segment, software, mechanism for conducting transactions on the external market, reliable backup system, building of a global access server network, etc.

• It combines A-book and B-book, so the broker can bring the profitable traders to the real market, and processes the others’ transactions internally.
• Test all the services and technical aspects, ensuring yourself everything is working correctly.
• When it’s time to send the money to fund their trading accounts, they’re going to know.
• That’s what I’ve discovered in over a decade of helping referral businesses succeed in the foreign exchange market.

This makes it an ideal option for small to medium-sized firms looking to enter the Forex industry. It allows them to offer the same trading services as established brokers without the costly investment. Are compliance and legal issues a burden when setting up a white label forex brokerage?

Pros and Cons of White Label Forex Brokers

In addition to overcoming the challenge of setting up credit card processing or alternative funding solutions for their traders, full white labels will also have to overcome the additional hurdle of getting clients to trust a relatively new company with their money. A business owner purchases a trading platform, being not dependent on a primary broker. The partial model provides business owners with no possibility to take deposits (they get access to a trading platform only), while the full model enables clients to get both opportunities. Entering the market

When all the previous stages are completed, make your brokerage business ready to enter the Forex market. Test all the services and technical aspects, ensuring yourself everything is working correctly.

An introducing broker does not have any initial or monthly platform fees to pay and doesn’t have to worry about the nuisances that accompany the processing of customer deposits and dealing with potential compliance/legal issues. An IB’s rebate or commission payout is typically also the same as in a white label partnership. If your clients deposit their money with the brokerage firm you work with (instead of with your firm directly), they’re going to find out who the real broker behind the platform is (even though the platform is stamped with your logo and company name).

Even though the ideal solution for you will depend on your specific objectives, each option comes with its set of advantages and disadvantages. A company registration procedure may cost $1500 – $ , depending on a certain jurisdiction. There is a register of forex companies that ensures the reliability and transparency of operations carried out under the supervision of the regulator, the National Bank of the Republic of Belarus.

All the above-described models have their own pros and cons, depending on the goals and objectives of white-label brokers. In a regular sense, white-label is a popular format of a partnership where one company produces goods or services, and another one sells them under its brand. B2Broker’s Forex instruments include 80 currency pairs, 12 CFDs on indices, and 13 metal instruments.

Some of these ways include affiliation, affiliate networks, email marketing, social media marketing, and more. Luckily, if your starting brokerage is not well-equipped with marketing tools or knowledge in the field, a good white label forex broker provider will come equipped with affiliation solutions to help stream potential clients to your brokerage. Leverate’s Sirix Venture brokerage solution will help your brokerage generate leads at your capacity. Similarly, you shouldn’t start a white label forex brokerage if you have no experience in forex matters.

What are the pros and cons of a White Label?

White Label is a partnership between several companies in which one produces a product and the other brands it and sells it to its customers. White Labels are often confused with private labels, but there is a difference between the two. Private Label products are also made by another company, but only for sale in the stores of a particular distributor (for example, own goods in a supermarket chain). The White Label concept makes it possible to realize mass production of products/solutions and then sell them to many different chains. The example above contains a complete diversification for the base currencies of customer groups, according to margin accounts based on the same base currencies. In this case, brokers will work with the same amount of capital as their clients, without risking volatility for each currency.

Another way to avoid the technical hassle is to find a WL partner with inclusive technology. Their offer should come with all the basic software needed for smooth business operations. TFB, for example, offers a White Label package that can be complemented by a powerful system monitoring solution, a Trade Processor liquidity bridge, a single console for all plugins and applications, and more. Current market conditions are extremely favorable for starting best forex white label solutions a brokerage business in the field of cryptocurrency exchange. Following this you will be able to immediately start receiving your commission for every client that you can prove has been referred by you, e.g. for every trader that reaches the forex broker via your own unique referral link. B2Broker is a leading liquidity provider because of its stellar reputation, extensive knowledge of the financial markets, and access to cutting-edge tools.

However, even utter failure as an IB will not leave the deep financial scars that a failed white label start-up could. Back in the late 90s and early 2000s, it was much easier to start a private label business and offer traders your own version of the MT4 platform without needing to overcome many legal hurdles. If you plan on having a physical location to meet or train clients, you need to factor in office leasing costs, occupational/licensing fees, security expenses, etc. Depending on your geographical location, this can add a few thousand dollars a month to your list of business expenses. The given stages require sufficient experience and profound knowledge to reach success, as many newer business owners who run a brokerage company on their own face a failure at the end of their ways.

Trading made easy

Moreover, and besides being able to accept payments online you will also need a merchant account in which these funds will be deposited. But banks consider forex brokerage a risky business, so they might not easily grant you the opening of such an account or they may charge you disproportionally high processing fees. No, it doesn’t offer the platform branding possibilities of a full or partial white label, but when it comes down to the nitty-gritty, an IB business can make as much or even more money than a private label setup.

If to switch the attention to brokerage companies, the liquidity is referred to the depth of the order book. The more ask and bid offers are placed there, the higher chances traders get to buy and sell assets by the market price. Reliable liquidity providers connect your order book with the largest banking institutions and funds like BNP Paribas, Barclays, Goldman Sachs, etc.

While Leverate doesn’t provide exact pricing information on its website, it’s worth noting that the company offers a special pricing plan for startup brokers. This plan features a fixed monthly price, which is particularly advantageous for new brokerages because it enables them to build their clientele and revenue without paying for each new client. The solution is highly customizable, which allows for a quick and easy setup of the broker’s business.