Onboarding Friction with Prop Firms and Payout Process
Been thinking a lot about the actual friction points when dealing with prop firms, beyond just the trading challenge itself. Specifically, the onboarding process – KYC/KYB seems to vary wildly. Some firms are quick, others feel like pulling teeth just to get an account active, even with all documents in order. This isn't just an annoyance; it can delay getting started on a challenge or even funding. More critically, for those who've been consistently profitable, how have you found the payout process? Are there significant delays or unexpected fees once you request a withdrawal? I'm less concerned with the trading model itself, and more with the operational efficiency and reliability of getting paid out. For prop firms that allow traders to use their own brokers, which is rare but does exist, the situation shifts a bit, but the fundamental question remains around the firm's own payment processing. What are your experiences?
The KYC/KYB variations are certainly frustrating. It often feels like the firms with the least robust onboarding are also the ones with the most opaque payout processes, which isn't a coincidence in my experience.