The world as we have known it so far has changed completely, and thus it is time that you revise your plans as an entrepreneur as well. As countries around the world begin their shift towards a self-sufficient economy and new technologies such as blockchain, AI, and machine learning make headlines, it is sure to make an impact on how we have participated in trading forex so far.
If you are excited to become a part of this ongoing trend and you want to start your very own forex brokerage in 2021, this article is for you, as we will be going through a step by step process on how you can start your own forex brokerage in 2021.
Let’s get started.
Step 1: Form a Company and Get Your License
The first and most important step you need to follow to start your forex brokerage is to identify the country you want to register your brokerage company in. Since these technologies and offerings are still relatively new, you want to make sure that you look into the economy of the country, the job market, the technical infrastructure, and most importantly, the rules and regulations of the country in terms of forex trading.
While undertaking this process, make sure to keep an open mind and research several countries at the same time in order to determine the best choice which suits and meets your needs.
Step 2: Get a Forex Trading Platform
Once you have set up your company and obtained your financial license, the next step is to obtain the forex trading platform. In simple terms, this software will be at the core of your business and will enable both your clients to manage their trading accounts as well as allow your team to manage the back-office functions.
A great offering in this line up is MT4, also known as MetaTrader 4. Not only is this software immensely powerful when it comes to forex trading, but it also allows you to white label all its offerings in line with your brand identity.
Step 3: Setup Payment Channels and Liquidity Offerings
One of the most important aspects traders take into consideration when evaluating a forex brokerage is the amount of liquidity they have on offer. In simple terms, you can understand liquidity as an indicator of the overall financial health of your business, and thus you need to make sure that you conduct proper research and source a provider who can supply you with deep liquidity at an economic commission.
Along with this, you will also need to set up an online payment channel such that all settlements of your business can happen fast. Once both these steps are executed, your technology infrastructure will be complete.
Step 4: Beta-Test Your Offering and Prepare to Go Live
Now that all the key steps in your forex brokerage setup are complete, you need to hire experts and offshore partners to conduct multiple rounds of beta testing across all your offerings.
The world of forex trading is one of the fastest moving in the whole industry, and thus traders in this domain expect a 100% uptime along with no glitches in the software. Through multiple iterations of beta testing, not only can you pinpoint glitches in your system but also consult technical experts on how to fix them.
Once the beta testing is complete, now it is time for your forex brokerage to go live and open its doors for the public.
The visitors are more likely to come in touch with you when your website has quality information about the market and placement of orders.
Step 5: Market Your Business
As we continue into 2021, one trend I am sure you would have noticed is that all businesses around you are going digital. Along with this, as the penetration of the internet and smartphones increase, it is only getting tougher for businesses to get in front of their target customers. Thus, as you can understand, just starting your forex trading platform isn’t enough, and you will need to market it properly to reach your target audience.
A great approach to this can be to create an audience persona of potential customers and use that across all your marketing efforts. Having a detailed audience persona with demographics included will not only help you identify the right target audience but also figure out the most effective methods of reaching them.
Along with this, make sure that you hire a designer to craft a logo which makes your brand stand out from the competition while effectively communicating your company message, ideals, and values.
Last but not least, while marketing your forex brokerage, shift the perspective from what you can offer to your customers to what problems of your customers you can solve through your offering. This simple tweak will not only make your marketing effort more humane but also generate a higher ROI.
You can find more about how to market your brokerage via digital marketing by clicking here.
Starting your very own forex brokerage in 2021 may seem like a daunting task, however, if you implement the steps outlined above, we are sure you can succeed with flying colors. All the best.