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Startup Atlas · Discount Broking

5paisa Listed

5paisa Capital Limited Thane, Maharashtra Founded 2007 5paisa.com ↗
Nirmal Jain · Founder (IIFL Group; launched the 5paisa.com brand) Prakarsh Gagdani · CEO
$85.68 MnTotal funding (tracked)
2Funding rounds
11 Mar 2026Last round
1,002Team size (sourced)

5paisa: Business Model Canvas

The nine-block Business Model Canvas, filled in only where a public source states it — empty blocks mean we haven't found a citable fact yet, not that the answer is zero.

Value Propositions

Flat-fee discount broking

A flat ₹20 per executed order across every segment — equity delivery, intraday, futures and options — rather than percentage-based commissions.

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Digital-only, branchless model

5paisa runs a digital-only infrastructure with no physical branches for customer acquisition; the entire onboarding process (e-KYC) happens via its mobile app and web platform.

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Robo-advisory for mutual funds

An automated Robo-Advisory engine provides personalized investment portfolios based on user risk profiles for mutual fund recommendations.

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Customer Segments

Retail investors, millennials and Gen Z

5paisa is described as focusing on providing a digital-first investment platform aimed at retail investors, particularly millennials and Gen Z.

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Under-30 investors in Tier-2/Tier-3 cities

Over 70% of new demat accounts are being opened by individuals under the age of 30, predominantly from Tier-2 and Tier-3 cities.

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DIY / self-directed traders

5paisa operates as a pure-play discount broker for execution-only, do-it-yourself investing across equity, F&O, currency and commodities.

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Customer Relationships

Self-service digital onboarding (e-KYC)

Digital-only infrastructure with no physical branches for customer acquisition; onboarding is fully self-service via app/web e-KYC.

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Subscription plans (Power Investor / Ultra Trader Pack)

Power Investor Pack: subscription fee Rs.449/month with free research advisory, zero DP charges, flat Rs.10/order brokerage. Ultra Trader Pack: subscription fee Rs.899/month with first 100 trades free every month plus all Power Investor Pack benefits.

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Channels

Mobile app

Entire onboarding process (e-KYC) happens via its mobile app and web platform, with no physical branches for customer acquisition.

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Web trading platform

Digital-only infrastructure served via web platform alongside the mobile app.

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Key Activities

Digital trading platform development

5paisa runs a digital-only infrastructure covering onboarding (e-KYC), trading and servicing entirely via its mobile app and web platform.

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Customer acquisition & onboarding

Client acquisition surged 33% quarter-over-quarter to 1.03 lakh new customers, taking the customer base to 51.8 lakh.

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Key Resources

Trading membership across NSE, BSE, MCX, MCX-SX

5paisa operates as a discount broker offering retail broking, currencies and commodities trading, mutual funds, IPOs, and bonds across NSE, BSE, MCX, and MCX-SX exchanges.

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Proprietary Robo-Advisory technology

An automated Robo-Advisory engine provides personalized investment portfolios based on user risk profiles.

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Key Partnerships

IIFL Group (promoter/parent)

5paisa was demerged from IIFL Holdings Limited, with the appointed date of October 1, 2016, and remains linked to the IIFL Group as promoter.

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Stock exchanges & depositories (NSE, BSE, MCX)

5paisa operates as a discount broker across NSE, BSE, MCX, and MCX-SX exchanges.

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Mutual fund houses & insurance partners

5paisa distributes mutual funds and Insurance (Life, Health, and General) products.

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Revenue Streams

Flat brokerage fee per order

A flat ₹20 per executed order across every segment — equity delivery, intraday, futures and options.

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Margin Trade Funding (MTF) interest

5paisa provides Margin Trade Funding (MTF) at competitive interest rates.

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Mutual fund distribution & research advisory

5paisa provides online stockbroking, mutual fund distribution, and research advisory through its digital platforms.

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Insurance, corporate FD and personal loan distribution

5paisa distributes Insurance (Life, Health, and General), Corporate Fixed Deposits, and Personal Loans.

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Subscription plan fees

Power Investor Pack (Rs.449/month) and Ultra Trader Pack (Rs.899/month) subscription fees, on top of reduced per-order brokerage for subscribers.

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Cost Structure

Employee costs

Employee costs emerged as a primary margin pressure point, rising to ₹25.35 crores in Q4 FY26 from ₹22.34 crores in Q3 FY26 — a 13.47% sequential jump that outpaced revenue growth.

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Interest expenses

Interest expenses escalated to ₹9.07 crores from ₹8.21 crores, a 10.47% QoQ increase.

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FAQs on 5paisa

What is 5paisa's business model?

5paisa's core value proposition centers on Flat-fee discount broking, Digital-only, branchless model, Robo-advisory for mutual funds.

How does 5paisa make money?

5paisa's cited revenue streams include Flat brokerage fee per order, Margin Trade Funding (MTF) interest, Mutual fund distribution & research advisory, Insurance, corporate FD and personal loan distribution.

Sources & corrections. Every fact on this page is compiled from cited public sources — follow the “source” links beside each entry. Profile sources: www.bitget.com · Last verified 21 Jul 2026. · Report a correction