- 1. Binary Options: About the Complicated Things in Lay Terms
- 2. About the Earnings of Brokers
- 3. Binary Options Franchise — a Convenient Alternative to Starting From Scratch
- 3.1. What is a Binary Options Franchise
- 3.2. Advantages of the Decision to Start a Binary Options Business Under the Franchise
- 4. How to Choose a Binary Options Franchise and Avoid Fraudsters
- 4.1. How to Identify an Unscrupulous Seller
- 5. The Main Things About Binary Options Franchises
Binary Options Franchises: a Convenient and Fast Start With Rosloto
If traditional online casinos still give average users some cause for concern, then trading is considered to be an excellent leisure option. This is a relatively new type of entertainment that can be easily equated with one of the ways to make money on the Internet.
From Rosloto, you can find out how to become the owner of a successful online business with minimal investment. Our staff will explain what types of trading platforms exist and advise you on how to choose a binary options franchise with the maximum return on investment.
Binary options trading appeared back in 1973. It was first presented by the Chicago Chamber of Commerce and was positioned as an innovative financial tool. In its time, the new commercial industry did not receive due attention and began to develop actively only in 2008.
In fact, digital or binary options are one of the types of financial sweepstakes. The difference between traditional entertainment lies in the format of betting: players place bets not on the outcome of a football match or horse racing but on the result of changes in market data.
As in the case of classic option contracts, traders can predict the “behaviour” of any financial quotes:
- shares of local and international enterprises;
- stock indexes;
- currency pairs;
- commodity futures;
- raw material niches;
- government bonds.
An investor can open binary options under a franchise in several ways:
The simplest and most popular transaction format that imitates the market contract principle.
Buying a call option is a bet on the quote of one of the selected assets. If the indicators of the purchased product grow, the trader receives revenues of 60—85% of the initial bet. The quotes sell-off is a 100% loss of the deposit.
With the purchase of Put options, the situation is the opposite: the trader bets on the sell-off of quotes, and if they grow, he will lose money.
The validity of an open contract varies from 5 minutes to one day
A modernized version of the traditional sweepstake, the lifetime of which is one minute.
The model is considered to be the most dangerous and unpredictable since the time constraint almost does not live a chance to analyze and predict the behaviour of quotes. As a rule, this type is chosen by the beginners or, on the contrary, by gambling men
During standard tendering, the stock performance floats up and down, crossing the strike level many times and making the chances of winning completely unpredictable.
In a One Touch option, the trader wins when the strike level was reached for the first time, regardless of the remaining time of the draw.
The duration of a contract is one week (the conclusion of transactions is scheduled for Friday evening)
These are platforms for low volatility assets. The player selects the price range within the framework of which the selected quotes will move. If the asset has reached one of the selected marks and stayed there until the end of the session, the gambler will win
It is not always clear to the beginners what profit a binary options franchise can bring because the trader (player) should not pay a commission for the purchase, and in case of a successful outcome, he gets 70—80% of the profit.
The trading scheme looks like this: the broker transfers a reward for a successful deal, withdrawing the required amount from the total turnover and new investments. Essentially, the seller “shares” his success with the buyer and pays him out of personal assets.
Let us imagine the following situation: deposits of 50% of players have burned out (in practice, this figure is always higher). Of the 100% of the lost amount of money, 80% was transferred to the winner, and 20% is in the hand. It is also worth noting that there is more than one transaction per day.
Now, in nominal terms: 10 thousand traders have invested 100 dollars in the quotes rate (20,000 x 100 = 2,000,000 dollars). 20% of this amount is 400,000 dollars. Remember that this is a rough guess with minimum values for one day. Calculate the average monthly income yourself!
Having decided to launch a financial sweepstake on their own, beginning investors should fulfil a number of conditions:
- register the legal status;
- purchase a gambling license;
- open a bank account;
- find suppliers of the equipment;
- create a website;
- open a land-based representative office;
- hire and train the personnel;
- promote the business.
When being on his own, an operator must be prepared for the fact that the launch and promotion of a startup will take years and require huge financial investments.
To launch a binary options business under a franchise is a great alternative that allows you to enter the market with minimum initial capital and comprehensive support of an experienced brand.
A franchise agreement is a legal permission for a beginning entrepreneur to use the name of a major brand.
Typically, franchisors, along with their name, provide access to such products and services as:
- technical basis (in our case, it is the gambling software and physical equipment for a land-based representative office);
- support (consulting services, corporate standards, assistance in resolving various disputes);
- sublicense (this is an opportunity to launch a startup on a legal basis without the need to buy a personal gambling certificate);
- educational resources (classes for the hired personnel, business cases, training for people who hold management positions);
- promotional materials (the seller provides a well-thought-out marketing strategy that has already proven itself during the promotion of a parent company).
It is much cheaper to buy binary options under a franchise than to conclude a White Label agreement or launch it on your own.
The main expenditure items are:
- A franchise fee. The initial investment is non-refundable. The amount of money is set individually, and the fee serves as a guarantee of the seriousness of the entrepreneur's intentions.
- Royalty. Monthly or annual commission fee for the use of the brand name and other materials of the parent company. This can be a defined contribution or a set per cent of revenues.
- Advertising fees. The payment is made to the marketing fund of the franchisor and is used to promote the parent brand.
- Renewal of the franchise. This is a defined contribution for the renewal of a contract.
The decision to buy a binary options franchise is beneficial for operators for several reasons:
- Quick launch. You can enter the market in 1—2 days. All that you need to do is to carefully study the contract, confirm your solvency (an extract from the bank about the presence of a reserve fund is necessary), and make a lumpsum payment. You can receive the first visitors who like trading immediately after the contract is signed.
- Comprehensive support. The franchisor deals not only with technical debugging and system performance monitoring. The parent company undertakes an obligation to provide legal and marketing support, resolve disputes with clients, and be responsible for statutory compliance.
- Legal business. You can legally open binary options under a franchise. Moreover, operators do not need to spend time and money on purchasing their own broker's licenses since the permit is issued by the franchisor (a sublicense).
- The loyalty of a target audience. Working under the wing of a well-promoted and recognizable brand guarantees a stable influx of customers from the first days of work.
- Design solutions. The franchise agreement allows you to avoid unnecessary expenses for the creation of your logo and design — all the materials are provided by the seller.
Having decided to launch a binary options business under the franchise, you should give serious consideration to the choice of the supplier and pay attention to:
- The length of the company’s experience. Rosloto recommends operators to choose suppliers with at least 5 years of experience, at least 2 of which the brand works with franchises.
- Legal status. The parent company must operate under the special permission of the broker or gambling provider and officially grant sublicenses to applicants. The number and description of the certificate should be in the public domain or it can be presented upon request.
- Judicial document. The contract is not concluded in any form other than in writing. It should specify the requirements for the applicant and the extent of obligations of the seller. Only legal entities can conclude contracts.
- Amount of support. Professional franchisors offer more than just the ability to use a private name for commercial purposes. Together with the brand and design of the parent company, the buyer receives a technical basis, educational resources, advertising strategies, and other services for successful work.
- Quality of support. A reliable seller not only provides technical support but also resolves organizational and legal issues. Besides, the terms of financial protection must be spelt out in the contract (the franchisor undertakes the obligation to cover expenses for the payout of jackpots).
- Additional offers. In addition to the basic set of services, the supplier can offer educational resources, advertising, audit services, and consulting. Such matters as the list of services and how they are paid are negotiated individually.
We recommend you to be extremely careful about the offers of companies that:
- have less than one year of work experience;
- do not want to make personal contact with the buyer;
- do not provide any specific information;
- are not registered in social networks;
- offer contracts without a license.
Binary options are a kind of a sweepstake. Only instead of betting on horse racing, brokers place bets on the outcome of financial events: for example, on a fall or rise of quotes.
Advantages of digital options trading include:
- Legal start. The franchisor provides the applicant with a sublicense.
- Fast launch. To open a business and receive first users, you just need to sign an agreement. It takes only a couple of days to get acquainted with the clauses of contact and clarify them.
- Stable traffic. Working under the name of a well-established company, investors get a loyal audience from the first days after the project launch.
- Comprehensive support. The parent company deals with all the organizational and legal issues, the resolution of disputes with clients, provision of marketing materials, and some related services.
The Rosloto team is ready to help you not only to choose a binary options franchise but also to conclude an agreement with a trusted and reliable seller.
Start your own business with professional support from Rosloto right now! Contact us:
- by e-mail: email@example.com
- on Skype: rosloto_connect
- in Telegram: @rosloto
- via the feedback form.