Money exchange business is one of the most profitable business ideas today. This article will discuss the rules of money exchange trading and money exchange trading in detail. Money exchange business is very popular as a means of exchanging foreign currency. Money exchange business plays an important role in facilitating the people traveling abroad. The core of this business is to buy and sell currency.
It is very important to set your mindset before starting this business. Money Exchange Business involves buying and selling foreign currencies. Before starting this business you need to follow some important aspects.
What is Money Exchange Business?
Money exchange business is basically exchanging one country’s currency for another country’s currency. Acts as a middleman for authorized dealers. Money Exchange Business is the means of paying the currency of one country and receiving the currency of another country through a financial institution. There are many certified companies who have already built their brand value through money exchange business. The main objective of this business is to exchange currency for business and people of different countries to trade or travel to other countries.
Also, the traveling organization or people accept the currency of the country and pay the currency of the country they want to travel to. Basically exchanging money or currency is called money exchange business. This business trades currencies or currencies at fixed exchange rates and exchange rates. Money Exchange Business is one of the most profitable business ideas today. Because if you can start this business, and manage it successfully, it is possible to earn a lot of money every month.
Money exchange trading rules
Bangladesh central bank guidelines should be followed for doing money exchange business. In addition, there must be a trusted source for collecting foreign currency, and a government license is required to conduct money exchange business. Before starting a Money Exchange Business we need to know what is required to start this business:
What is required to do money exchange business?
- First by knowing the business well, a plan should be made.
- At least Rs 50,00,000 cash capital should be maintained.
- One must have a trusted source to collect foreign currency.
- To do business online you need to have a website and to do business offline you need to have a store.
- Must have thorough understanding of money exchange business.
- Government license should be obtained from central bank.
- Skilled manpower (employees) should be employed to run the business properly.
You can start a money exchange business by fully fulfilling these conditions mentioned above. This business will require your hard work and skills the most. Also there should be a trusted and reliable source to collect foreign currency.
How profitable is money exchange business?
How profitable your business will be depends on how much you trade each month. If you manage this business well, you can easily earn 2-3 lakh rupees per month. Because business organizations or foreign tourists will exchange a lot of money from you. How profitable you can be in this business will depend on your transactions.
Ways to do money exchange business
To start a money exchange business, you first need to raise capital, then, following the instructions of the central bank, obtain a government license. Foreign Exchange Policy Department can check the Bangladesh Bank guidelines PDF. The complete procedure to start money exchange business is shown below step by step. Hope these steps are going to be informative for you.
Step 1: Must be a citizen of country where you stay
To start this business from the country, you must be a citizen of the country and your business organization must be a company incorporated in Bangladesh, and your company must be licensed by the government.
Step 2: Obtaining adequate capital and qualification
Before starting a business you must raise sufficient capital. Roughly Rs 50,00,000 should be kept as initial capital to start a money exchange business. But you can start business with less or more capital.
And before starting money exchange business you need to know about this business, have knowledge about money exchange and rules and regulations of different countries. You can add the words Exchange, Money Transfer, Remittance to the business name to increase your brand value. If you do not have enough capital, you can take a loan from the bank. Ansar can know more about the loan procedure from VDP Development Bank.
Step 3: Opening a bank account
You must have a bank account to do Money Exchange Business. You will open an account in any government bank of the country. A bank account will help you manage your business transactions.
Step 4: Creating Company License
An important step in the money exchange business is the creation of a company license. For this business you must obtain a license from the central bank, otherwise your business will be considered illegal. You need to provide some documents to collect the license from the central bank. Collect the following documents before applying for the license.
- Copy of applicant’s visa and passport.
- Copy of Police Clearance Certificate.
- License application form for applying for license. You can get the license application form service through online.
- Company Registration Certificate.
- Copy of proof of financial solvency and bank reference.
- TIN certificate of your company.
- Authorization letter to start money exchange business, should be obtained from the board.
- Your national identity card and photograph may be required.
After submitting all the documents to the bank, the bank will verify your required information and issue permission. After that you can start money exchange business.
Step 5: Store and Website Creation
After approval, a store and website will be required to have direct conversations with customers. Customers can contact you online through the website, which will increase the credibility of your company. Also to provide offline services, you need to set up a shop in your company name at a good location. Where customers can exchange money. You can do marketing on Facebook and Google to promote the company.
Step 6: Recruitment of skilled manpower
It is not possible for one person to manage a business completely. For this you must hire skilled manpower. Try to hire reliable and experienced staff, which will improve your business.
Step 7: Follow the rules
The last step is to comply with all business rules and regulations. In addition to all government rules and policies, not to engage in any type of irregularity or criminal activity. Stay away from extortion, cheating and all forms of fraud. All these activities can destroy your business in no time. It is better to manage your money exchange business with the right exchange rate according to the market demand.
Rules for doing money exchange business online
To do money exchange business online you need to create a website. Of course, the design of your business website should be user-friendly, so that users can easily understand the interface of your website. Also after taking the permission or certificate from the central bank, the organization has to carry out marketing in various ways to conduct business through online. Earning customer loyalty is very important when it comes to online business.
- Advantages of doing money exchange business
- The probability of loss in this business is very low.
- You can earn huge amount of money every month through money exchange business.
- There is no hassle to store the product.
- If you buy foreign currency, there is no problem of losing it later.
- It is possible to do this business from home through online.
- The success rate in this business is much higher than the loss.
- You can do this business without physical labor.
last word
Dear readers, I hope you have learned about the rules of doing money exchange business. But before starting this business, you should do a little research from YouTube and Google. This will increase your business knowledge and increase the chances of business growth.
Must conduct the business in a legal manner and in good faith with the customers. If you can manage your business correctly by overcoming all kinds of anarchy and obstacles, you can quickly achieve success in this business.
Checkout this article: Complete Guide For Online Business 2023!
