I Want to be a Bookie, How Much Money do I Need?

Written by:
Guest
Published on:
Nov/09/2017

Want to know exactly how much money you will end up making as a bookie?

Our friends at PricePerPlayer.com recently provided what may be among the most comprehensive examples of how much can be made using certain criteria. 

But first things first, one needs to know “How much money do I need to get started?”

“We can answer that question based upon fixed variables that can help us determine how much of a bookie bankroll a person needs to open their own sportsbook operation.”

 

So here are the estimates on how much money you need to be a bookie:

  • If first 6 months of operations are bad, you will need at least $70, 125 to stay in operation*
  • If first 5 months of operations are bad, you will need at least $58,437 to stay in operation*
  • If first 4 months of operations are bad, you will need at least $46,750 to stay in operation*
  • If first 3 months of operations are bad, you will need at least $35,062 to stay in operation*
  • If first 2 months of operations are bad, you will need at least $17,937 to stay in operation*
  • If first month of operation is bad, you will need at least $11,687 to stay in operation*

*These estimates are based on having a sports betting operation that fit the following assumptions:

 

  • Type of Bookie – Credit Shop
  • Number of Player: 25
  • Operating Costs: Since most bookies run their betting shop out of their home, we will assume that the operational cost will be $5 per player
  • Player Credit Limit: $1,000
  • Max Bet Allowed: $500
  • Bonuses: none
  • Banking Costs: 5% Banking Fees
  • Estimated Monthly Turnover: Total amount of money wagered every month by all players
    • (Number of players x (credit limit x Max bet/100)) x 5 = $125,000
  • When do you settle up – end of each month
  • 50/50 Action – You have excellent line and you have 50% action on both sides of each wager
  • Vig/Commisssion – 10%

 

  • 50% of the players get a payout that average 65% of their credit limit ($8,125 )
  • 50% of the players that lose, average a loss of 85% of their credit limit($10,625)
  • your monthly fees are $1,437
  • Your Vig/Commission is: $5,312

 

  • 50% of the players get a payout that average 175% of their credit limit ($21,875)
  • 50% of the players that lose, average a loss of 65% of their credit limit ($8,125)
  • your monthly fees are $2,000
  • Your Vig/Commission is: $4,062.5

This means that you end up with a loss of $11.687.50

“Now that you know the basic calculations, it’s just a matter of entering numbers to fit the type of sportsbook you want to have so that you can make an educated estimate.

“To simplify the revenue calculation, take a look at our Bookie Revenue Calculator.

You can consider reducing costs by limiting the monthly maximum payout amount, restricting certain bet types a specific winning player makes on a regular basis such as parlays, and by lowering the maximum bet amount.

There is one small problem in implementing such policies:

“When you add these types of limitations to your betting operation, it will make bettors not want to play with you,” PricePerPlayer.com advises.

Now that you know how much money you need, it’s time to take the next step forward and start your bookie operation by signing up for the PricePerPlayer.com sportsbook Pay Per head service

Business/Financial News

January Crypto-Slump Continues With Some Bright Spots Tuesday Evening

Nearly all of the top 68 cryptocurrencies have witnessed a decline during the month of January with some bad news hitting hard Tuesday as South Korea regulators consider banning exchange trading and while rumors of banks blocking cryptocurrency charges were running rampant.

Capital One Blocks Cryptocurrency Purchases With Its Card as Bitcoin Hits Biggest Low in Weeks

Capital One Blocks Cryptocurrency Purchases With Its Card as Bitcoin Hits Biggest Low in Weeks

Tuesday was not a good day for Bitcoin and other cryptocurrencies as nearly all of them witnessed sharp declines on the day.

Cryptocurrency Mining Heat May Soon Be Recycled

Cryptocurrency Mining Heat May Soon Be Recycled

A self-proclaimed Canadian entrepreneur is seeking to recycle the heat generated from Bitcoin and other cryptocurrency mining. The entrepreneur is optimistic that he is doing the right thing to recycle the heat.

Understand Dollar Cost Averaging For Bitcoin Cryptocurrency

Understand Dollar Cost Averaging For Bitcoin Cryptocurrency

Are You Ready To Understand Dollar Cost Averaging For Bitcoin Cryptocurrency? If the question is what it is about dollar averaging you need to know, the answer is everything. Yes, it is pretty much everything you need to understand.

Cryptocurrency Prices Plummet Tuesday Morning as South Korea Fears Mount

Cryptocurrency Prices Plummet Tuesday Morning as South Korea Fears Mount

Bitcoin and other cryptocurrencies were witnessing volatile price drops Tuesday morning following statements issued by South Korean Finance Minister Kim Dong-yeon. 

Syndicate