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Best Prop Trading Firms 2025 – How to Get a Funded Trading Account

What is a Prop Trading Firm?

Looking to join a prop trading firm in 2025? You’re not alone. Prop firms have exploded in popularity — and for good reason.

A proprietary trading firm (or “prop firm” for short) gives traders the opportunity to trade using the firm’s capital instead of their own. You get access to a funded trading account after proving your skills through an evaluation process or by purchasing an instant funding option.

In return, you keep a portion of the profits you generate — usually 70%, 80%, or even 90% — while the firm takes the risk.

You bring the skills. They bring the money.

How Does It Work? (Funded Trader Programs Explained)

Here’s a breakdown of how most funded trader programs work:

 Evaluation Process

Most prop firms offer what’s called a prop firm challenge — basically a test where you prove you can hit a profit target (often 8–10%) under specific conditions. These include daily drawdown limits, consistency rules, and avoiding news trading.

If you’re wondering how to pass a prop firm challenge, the key is discipline and a solid risk management strategy. No overtrading, no revenge trades — just consistent, clean execution.

Funded Trading Account

Once you pass the challenge, you’re rewarded with a funded trading account. These can range anywhere from $10,000 to $200,000 or more depending on the firm.

You trade under their rules, use their capital, and take home your share of the profits. Some traders even scale their accounts to six figures.

 Instant Funding Option

Don’t want to do a challenge? Some firms offer instant funding. No evaluation required — just purchase the account and start trading. It’s faster, but typically more expensive.

Prop Firm vs. Broker – What’s the Difference?

If you’re new to trading, you might be wondering how a prop firm differs from a traditional forex broker. Here’s a quick comparison:

Prop Firm Broker
You trade the firm’s capital You trade your own capital
Must follow strict rules You set your own trading rules
Profit split (e.g. 80/20) Keep 100% of profits/losses
Often requires evaluation Open account instantly

Types of Prop Firms (And Which One to Choose)

There are several types of prop trading firms, each with different models. Picking the right one depends on your trading style, risk profile, and budget.

  • Two-step or One-step Challenge
    The most common model. You pass a test before receiving a funded account.
  • Instant Funding Prop Firm
    No challenge required, but more expensive up front.
  • Scaling Plans
    Some firms will increase your account size over time if you perform consistently.

Searching for the best prop firms for beginners? Start with those that offer a fair profit split, realistic rules, and a clean reputation.

What to Watch Out For (Prop Firm Red Flags)

Yes, funded trader programs are awesome — but not all prop firms are created equal. Here’s what to look out for:

  • Overly strict rules
    Violating one rule — even by accident — can lead to immediate account termination.
  • Payout frequency
    Some firms pay weekly, others monthly. Make sure you understand how and when you get paid.
  • Reputation matters
    Look for real trader reviews, payout proof, and transparency. Don’t just chase low prices.

Doing your due diligence can save you a lot of stress later. Don’t just Google “cheap prop firms” — dig deeper.

Why Do Traders Love Prop Firms?

Here’s why prop trading is blowing up in the forex world:

  • No personal risk — your capital stays untouched
  • Access to high buying power and larger positions
  • Results are based on performance, not the size of your bank account
  • You can scale fast if you’re consistent and smart

For many, getting funded is the bridge between a hobby and a real trading career.

Final Tip – Ready to Get Funded?

If you’re ready to take the next step, check out our curated list of the best prop trading firms 2025.

We’ve partnered with top-tier firms to bring you exclusive discount codes, so you can get started with a funded account for less.

Whether you’re a beginner or a seasoned trader, this is your chance to trade big — without risking your own money.