One of the perks of becoming a bookie is that the barrier to entry is low.
You don’t need any specific education and the initial investment is low to start in this business. At the same time, there are some things that every bookie should know.
Four Things Every Bookie Needs to Understand
Want to know exactly what bookies should know?
These are the most important things to know as a bookie:
- Sports Betting Math: You don’t need to be a math whiz or ever use algebra as a bookie, but you need to understand sports betting math, such as how bookies make money.
If you lack the knowledge on how bookies make money, how are you going to succeed?
The good news is sports betting math is simple and you can learn the essentials in an afternoon.
We recommend reading some of our bookie guides detailing the math behind the business. We’ll show you exactly how bookies guarantee a profit on betting markets.
- You Won’t Always Make Money: While a balanced book ensures a small profit on a betting market, you’re not always going to be able to balance the book for every market.
Bookies do lose money.
If you plan on starting out with a pay-per-head (PPH) and offering credit, then typically you’ll have one day a week where you collect/payout. Some weeks, you may end up losing some money.
This is why you need a bankroll or reserve fund as a bookie. Always keep at least 20%+ of the credit you issue in your reserve fund, so that you can payout winners on time.
- You Can’t Trust Everyone: Bookies can find themselves getting into trouble by putting their trust into everyone. In this industry, assume all players are trying to take shots on you.
You need to be fair with your players to keep them loyal, but you also need to make sure your clients are following the rules. Don’t overextend a player’s credit no matter what they say.
As you build relationships with your players, you’ll be able to learn more about them like what they do and how much they can afford to lose on gambling. Only then should you increase limits.
- Never Stop Marketing: The goal of a bookie is to always increase the size of their player list (betting sheet). The more active players you have, the more money you’ll make long-term.
Bookies can become complacent. You may have 10 active bettors this month and you’re making a nice income, but if three of those guys leave, are you going to be making enough money?
Never stop marketing and always be on the lookout for new qualified players.
In conclusion, starting a sportsbook is simple and anyone can do it.
There are some things that all bookies should know, but you can learn them quickly.
If you’ve ever bet on sports before then you likely already understand how betting odds work and how bookies charge a commission (vig), so you’d be a perfect candidate to become a bookie.