Top Prop Trading Firms for Beginners

A prop trading firm is a company that gives you its money to trade. In essence, you get access to a lot more capital than you might have on your own. If you make a profit, you get to keep a large share of it. Your success depends heavily on picking the right firm. There are so many choices, and they can be confusing, but in this guide, we will give you a clear and honest look at the top prop trading firms.

Understanding Prop Trading Firms and Their Major Constituents

Industry data suggests that while many traders pass the initial stages of their evaluation or challenge, a significant number of traders never reach their first payout. This often happens because traders do not fully understand the terms of the partnership they are entering. 

Selecting the right prop firm is like buying a car. You wouldn't buy a two-seat sports car if you need to carry a big family. Likewise, you need to be certain that your firm of choice fits your trading style and goals. Let's break down the most important things to look at before you give any firm your money.

The Big Three: Costs, Payouts, and Rules

These are the make-or-break factors that directly affect your wallet.

• The Price of the Challenge: To get a funded account, you almost always have to pay for a challenge. It could be a one-time fee or a monthly bill. However, a one-time fee is often better because you know the total cost upfront. You must also check if there are any other hidden fees that could spring up later.
• Your Profit Share: When you make a profit, you split it with the firm. This is called the profit split. A good split means you keep most of the money you make, 80% or 90% for example. If the split is too low, you are doing most of the work for a small reward.
• The Rulebook: Every firm has rules to protect its funds. The most important one is the drawdown. This is the maximum amount of the account's starting capital that you are allowed to lose. If you hit this limit, you fail the challenge. There is also usually a daily loss limit, which is the maximum amount that you can lose in a single day. You must understand these rules well enough.

The Trading Tools

This is all about the practical side of your trading.

• What Can You Trade: Some firms only let you trade Forex. Others offer stocks, crypto, or futures. Make sure the firm you pick lets you trade the markets you are good at. There is no point in paying for a challenge where you can't trade your favorite instruments.
• Your Trading Platform: You will be spending a lot of time on the Prop firm’s trading platform. You must ascertain if you can use a platform you already know, like MetaTrader or TradingView, or if you are forced to learn a new, unfamiliar one. Sticking with a platform you know can help you trade with more confidence.
• Getting Your Earnings: Every prop firm has a payout routine that you must understand. Does the Prop firm allow you to request your money anytime, or do you have to wait for a specific day each month? Beyond that, you should also know your prop firm's payment method. Common methods are bank transfer, PayPal, or cryptocurrency. A smooth payout process is a sign of a good firm.

Support Systems and Community

Every prop firm has its own human resources (HR) equivalent. It is how the firm caters to the needs of its traders, but it also deals with the perception of the firm in public.

• Support: Some firms have training videos, webinars, and a community of traders where you can share ideas and learn from the experience of others. This can be very helpful, especially if you are a new trader.
• Public Perception: Before you buy a challenge, do a quick search. Go to Trustpilot or Reddit and read what other traders are saying about your preferred prop firm. Look for comments about whether the firm pays on time and if their customer support is helpful. A firm with many happy traders is usually a safe bet.

List of Top Prop Firms

We looked at all the important factors, like costs, trading rules, trading tools, and reviews, to give you a full picture. Our goal was to find firms that are fair, transparent, and can help you succeed.

The table below gives you a quick look at how our top 5 picks stack up against each other.

Rank	Prop Firm	Instant Funding	One-Step Challenge	Two-Step Challenge	Profit Split	Account Sizes	Lowest Challenge Fee
1	OneFunded	No	Yes	Yes	80% - 90%	$2,000 - $100,000	$23
2	FTMO	No	No	Yes	80% - 90%	$10,000 - $100,000	€89
3	FundedNext	Yes	Yes	Yes	80% - 95%	$2,000 - $200,000	$35
4	Topstep	No	No	Yes	90% - 100%	$50,000 - $150,000	$49 (monthly)
5	Take Profit Trader	Yes	Yes	No	80% - 90%	$25,000 - $150,000	$50

1. OneFunded – Fair and Flexible Trading

OneFunded stands out as the best overall choice because of its overwhelming transparency and cost-effectiveness, building its rules around your success. They offer clear challenges with no time limits, industry-high profit splits, and a unique Rewards Center where you can earn points for discounts. This creates a supportive environment that is perfect for both new and experienced traders.

Account Sizes, Profit Split, and Scaling

You can start with a small $2,000 account or go for a larger $100,000 account. This makes it easy for anyone to begin. Once you are funded, you get to keep a large part of your profits, up to 90%. At the moment, OneFunded does not have a plan to give you more capital over time (scaling), but the high profit split and friendly rules make it a great place to trade.

Evaluation/Challenge Comparison

OneFunded gives you different paths to funding. The table below shows the details of its main challenge types so you can pick the one that fits you best.

Feature	One-Step Challenge	Two-Step Challenge	1F Limited Challenge
Number of Phases	1	2	2
Time Limit	No Limit	No Limit	No Limit
Minimum Trading Days	5	3	2
Profit Target	10%	8% (Phase 1), 5% (Phase 2)	7% (Phase 1), 4% (Phase 2)
Maximum Daily Loss	4%	5%	5%
Maximum Overall Loss	6%	10%	11%
Challenge Fee	$29 - $395	$23 - $361	$25 - $135
Profit Split	Up to 90%	Up to 90%	Up to 90%
Account Sizes	$2,000 - $100,000	$2,000 - $100,000	$2,000 - $25,000
Payout Schedule	Every 2 weeks (weekly is available)	Every 2 weeks (weekly is available)	Every 2 weeks (weekly is available)
Scaling Plan	No	No	No
Trading Instruments	Forex, Crypto, Indices, Stocks, Metals	Forex, Crypto, Indices, Stocks, Metals	Forex, Crypto, Indices, Stocks, Metals
Trading Platform	TradeLocker, cTrader	TradeLocker, cTrader	TradeLocker, cTrader
EAs Allowed	Yes	Yes	Yes
Copy Trading	Yes	Yes	Yes

Public Perception and TrustPilot Score

On Trustpilot and in online trading groups, people have many good things to say about OneFunded. Traders love the clear communication and the helpful support team that answers questions quickly. This honesty has earned OneFunded a 4.4 TrustPilot rating.

2. FTMO – Industry Veteran

FTMO is a prop firm industry veteran, known for its strict evaluation process and very professional setup. Traders who want a disciplined, time-tested evaluation process often look to FTMO.

Account Sizes, Profit Split, and Scaling

FTMO offers evaluation accounts from $10,000 to $200,000. The profit split starts at 80%, and can scale up to 90% when you prove yourself over time. Their scaling plan is well-designed, allowing the best traders to eventually manage up to $2,000,000.

Evaluation/Challenge Comparison

FTMO primarily uses a two-step evaluation model. The table below details its structure.

Feature	Normal Challenge
Number of Phases	2
Time Limit	No Limit
Minimum Trading Days	4 (in both phases)
Profit Target	10% (Phase 1), 5% (Phase 2)
Maximum Daily Loss	5%
Maximum Overall Loss	10%
Challenge Fee	€89 - €439
Profit Split	80%, scaling to 90%
Account Sizes	$10,000 - $100,000
Payout Schedule	On-demand (after 14 days)
Scaling Plan	Yes, up to $2,000,000
Trading Instruments	Forex, Indices, Commodities, Crypto, Futures
Trading Platform	MT4, MT5, cTrader, DXtrade
EAs Allowed	Yes
Copy Trading	Yes

Public Perception and TrustPilot Score

FTMO has a very strong reputation and is highly trusted. This is clear from its high rating on TrustPilot, where it has a 4.8 out of 5 score from over twenty-nine thousand reviews. People praise the company for being transparent, paying on time, and acting professionally.

3. FundedNext – High Profit Splits

FundedNext has quickly become a major player by offering some of the highest profit splits in the industry. It appeals to traders who want to maximize their earnings and enjoy flexible rules. It offers accounts that use a balance-based drawdown instead of equity-based, which many traders find easier.

Account Sizes, Profit Split, and Scaling

You can choose accounts from $2,000 up to $200,000. FundedNext is very generous with its profit share, giving 90% to traders on its standard accounts and offering 95% through a special program. Top traders also have a clear path to grow their account up to a maximum of $4 million.

Evaluation/Challenge Comparison

FundedNext offers several challenge models to suit different trading styles.

Feature	Stellar 1-Step Challenge	Stellar 2-Step Challenge	Stellar Lite Challenge
Number of Phases	1	2	2
Time Limit	No Limit	No Limit	No Limit
Minimum Trading Days	2	5 (per phase)	5 (per phase)
Profit Target	10%	8% (Phase 1), 5% (Phase 2)	8% (Phase 1), 4% (Phase 2)
Maximum Daily Loss	3%	5%	4%
Maximum Overall Loss	6%	10%	8%
Challenge Fee	Starts at $49	Starts at $99	Starts at $32
Profit Split	Up to 90%	Up to 90%	Up to 90%
Account Sizes	$5,000 - $200,000	$5,000 - $200,000	$5,000 - $200,000
Payout Schedule	First payout in 5 days, then every 2 weeks	First payout in 21 days, then every 2 weeks	First payout in 21 days, then every 2 weeks
Scaling Plan	Yes, up to $4M	Yes, up to $4M	Yes, up to $4M
Trading Instruments	Forex, Indices, Commodities, Crypto, Futures	Forex, Indices, Commodities, Crypto, Futures	Forex, Indices, Commodities, Crypto, Futures
Trading Platform	MT4, MT5, cTrader, TradingView	MT4, MT5, cTrader, TradingView	MT4, MT5, cTrader, TradingView
EAs Allowed	Yes	Yes	Yes
Copy Trading	Yes	Yes	Yes

Public Perception and TrustPilot Score

With a 4.6/5 score on Trustpilot from a massive 45,000+ reviews, traders consistently highlight FundedNext’s generous profit share, responsive support, and innovative account features.

4. Topstep – Excellent Futures Trading

Topstep is the top company for people who want to trade futures. The firm has excellent educational resources and a strong community. It is the first choice for anyone who wants to build a career trading futures in a place that has clear rules and offers a lot of support.

Account Sizes, Profit Split, and Scaling

You can choose accounts between $50,000 and $150,000. Their profit share is quite different and very attractive. You get to keep 100% of the first $10,000 you make. After that, you get to keep ninety percent of every dollar you make. Their scaling plan is also helpful for top traders to grow their account size.

Evaluation/Challenge Comparison

Topstep's evaluation is called the "Trading Combine."

Feature	Trading Combine (Evaluation)
Number of Phases	2 (Step 1 and Step 2)
Time Limit	No Limit
Minimum Trading Days	2 (Per Phase)
Profit Target	Varies by account size
Maximum Daily Loss	Varies by account size
Maximum Overall Loss	Trailing drawdown (End of Day)
Challenge Fee	Monthly Subscription (Starts at $49)
Profit Split	100% of the first $10K, then 90%
Account Sizes	$50,000 - $150,000
Payout Schedule	Daily/Weekly (after 5 winning days)
Scaling Plan	Yes
Trading Instruments	Futures
Trading Platform	TopstepX, NinjaTrader, TradingView
EAs Allowed	Yes (with restrictions)
Copy Trading	Yes (on TopstepX and Quantower)

Public Perception and TrustPilot Score

Topstep is highly respected in the trading community, especially among futures traders. Users consistently commend the immense educational value and the professionalism of its platform and support.

5. Take Profit Trader – Instant Funding

Take Profit Trader (TPT) has built a strong reputation for being straightforward and easy to understand. They stand out by offering instant funding accounts, which means you can start trading a funded account right away without a long evaluation process. This is great for traders who find traditional challenges stressful.

Account Sizes, Profit Split, and Scaling

They offer account sizes from $25,000 to $150,000. The profit split is a solid 80% for the trader, and it can go up to 90% on their larger accounts. They also have a clear scaling plan that allows you to grow your account based on your performance.

Evaluation/Challenge Comparison

Take Profit Trader offers both instant funding and a one-step evaluation.

Feature	Instant Funding	One-Step Challenge
Number of Phases	0 (You are funded immediately)	1
Time Limit	No Limit	No Limit
Minimum Trading Days	1	5
Profit Target	No Target	8%
Maximum Daily Loss	5%	5%
Maximum Overall Loss	10% (Trailing)	10% (Trailing)
Challenge Fee	$149 - $899	$50 - $375
Profit Split	80% - 90%	80% - 90%
Account Sizes	$25,000 - $150,000	$25,000 - $150,000
Payout Schedule	Every 2 weeks	Every 2 weeks
Scaling Plan	Yes	Yes
Trading Instruments	Futures	Futures
Trading Platform	NinjaTrader, Tradovate, TradingView	NinjaTrader, Tradovate, TradingView
EAs Allowed	Yes	Yes
Copy Trading	No	No

Public Perception and TrustPilot Score

Take Profit Trader is very well-liked on platforms like Trustpilot. Traders praise their simple rules, fast and reliable payouts, and excellent customer service. Many feel that TPT is one of the most trader-friendly futures prop firms available.

Frequently Asked Questions (FAQs)

Is my Money Safe with a Prop Firm?

You are not depositing your own money to trade with. Instead, you pay a one-time or monthly fee for a challenge. This fee is for the opportunity to trade the firm's virtual capital. The main risk is losing the fee you paid for the challenge if you don't pass.

How Much Money Do I Need to Start?

Challenge fees can be as low as $23 with OneFunded, for example. The fee largely depends on your selected prop firms.

Can I Trade with Prop Firms as a Beginner?

Yes, but you should not be a complete beginner. You need a solid understanding of how trading works and, most importantly, disciplined risk management. If you have never traded before, it is better to start your trading journey outside of prop firms.

What is the Main Difference Between a Prop Firm and a Normal Broker?

A prop firm gives you its virtual capital to trade. You are trading the firm's money, and you split the profits with them. A broker provides a platform for you to trade your own money. You keep 100% of your profits, but you also bear all the losses.

What Happens if I Break a Rule During the Challenge?

If you break a rule, like going over the daily loss limit, you will fail the challenge. The good news is that almost all firms allow you to try again. Many firms even offer a discount on your next challenge fee if you fail.

Conclusion

Now that you have seen the best firms ranked, the next step is to take action. You can start your journey with a small $2,000 account with OneFunded, where the rules are fair and transparent, or you can opt for the offers available through other prop firms.

Remember, the goal is not just to pass a single challenge. The goal is to become financially independent with your trading skills. With the right plan and the right firm, you are in a great position to succeed.