Bet Limits and Risk Management Explained

This week, RealBookies talks bet limits and risk management when selecting a pay per head betting platform.

Kyle from Realbookies explains that "usually at most bookie software companies, you can basically set up a profile limiting the amount of teams you'll take in the parlay, the amount of the max wager, they can bet on a parlay, and the amount of payout or the max payout on a parlay."

Parlays are known as a "sucker bet".  You need to win each leg of the parlay for it to win but the payout odds increase with each added team.  Sometimes these come through.

Kyle says it is possible for a bookie or agent to take an eight team or ten team parlay using many of the bookie pay per head betting platforms out there, but he warns that an 8-team parlay pays 100-1.

"So if a guy bets $100 on an 8-team parlay, he's going to win $10,000."

You as the bookie are about to lose $10,000.

"So if you don't want to expose yourself to a potential $10,000 loss, you can limit your risk and exposure by saying the maximum 8 team parlay you can bet is $10."

Here the most you can lose is $1000.

Kyle admits that limiting the max wager is probably the toughest being that there are different wagering amounts, whether you have two, three or four.

"What we usually recommend is that you decide the maximum number of teams you want to take.  Up to a 4 team parlay, you know it is 20-1, you can take the risk of a $50 bet."

Decide What You Want to Offer for Parlay Betting

Offshore books and locals were among the most resistant when it comes to accepting Same Game Parlays, though these tend to favor the books more than the traditional parlay wagers.

"If you want guys to be able to parlay golf matchups with NASCAR matchups with MMA or just on straight bets, side bets and totals or just on totals or just on sides, you can basically pick and choose which sport you want the parlays where it's more difficult to win a point parlay than it is to win a money line parlay," Kyle explains. 

"For example, a guy in baseball can take three big moneyline favorites for -300 each and parlay it for $100 and there is a pretty good chance he will probably hit that."

Point spreads are more difficult to overcome for the bettor.

Kyle suggests parlay limits, perhaps not including totals as an example.

"When you are looking for a pay per head bookie software, please look into what your parlay options are."