What is an offshore sportsbook and what does it take to operate one?

[betplom]

I'm asking this as there really isn't alot of information provided about the inner workings of the offshore sportsbooks we play at.

Who starts a book and how much of a bankroll do they need to operate properly?

If you look behind scenes of most offshore books you'll probably find an office, with a small staff, some computers and a server to host the operation.

How can you know if there will be problems in the future? What safeguards would you expect to be in place?

Who licenses or regulates the offshore industry?

What would you expect the government in Costa Rica, Panama, or Antigua to do to help those who have lost money due to a book going into "no pay" mode?

The main reason I tend to play with Australian books is because they are strictly regulated and player balances are never in jeopardy of being lost because a book goes under. I have accounts with a few of the A+ books and don't worry about my balance with them but what about smaller places?

[UntilTheNDofTimE]

Great questions, ill be looking forward to responses.

[UntilTheNDofTimE]

Monkeyfocker, durito and don juan, general, fishhead....

[flyingillini]

What are some of the Australian books you play at?

[betplom]

What are some of the Australian books you play at?

IASbet, Centrebet, Sportsbet.com.au, SportsAlive.

[Extra Innings]

BetPlom? You OK?

Should I call someone?

[THE PROFIT]

betplom, one of the best discussion threads I've seen started here

[UntilTheNDofTimE]

IASbet, CentreBet, Sportsbet.com.au, SportsAlive.

Do you have to be a resident of Australia for the money to be insured? I doubt they'd back up Americans with that protection . Or is it insured with the fact that the government makes sure the business runs properly?

[betplom]

betplom, one of the best discussion threads I've seen started here

I thought it might be interesting to learn more, it seems as though we are merely betting against another gambler (the sportsbooks owner) who is setup to take bets via his website, when things go bad he can simply close up shop, its not like the 3rd world government of the country they are in can/will do anything about it.

Do you have to be a resident of Australia for the money to be insured? I doubt they'd back up Americans with that protection . Or is it insured with the fact that the government makes sure the business runs properly?

If you can play at an Aussie book (I can - I'm in Canada) you are protected by the Australian rules/laws governing them. You would get your money should the book go under.
Some of these Aussie books are huge corporations with clients all over the world and alot of money to back them up.

[pavyracer]

You need at least 5-10 million dollars in the bank invested in a Money Market account so you can earn interest for day to day expenses. You need to be selective in your marketing techniques. Be wary of sharps and betting syndicates because they are like vultures and they will take you for a ride if you don't watch your lines and lower their limits.

[THE PROFIT]

I thought it might be interesting to learn more, it seems as though we are merely betting against another gambler (the sportsbooks owner) who is setup to take bets via his website.

well, with a traditional sportsbook or bookie that's basically all you're doing. Except the book or bookie is forcing you to make the bet, they'll take the other side

[donjuan]

Monkeyfocker, durito and don juan, general, fishhead....

I'm not exactly an industry insider. That said, I wouldn't expect the governments of any of those countries to do a thing about it if a book went into no-pay mode. Your best bet is that a big book like CRIS or Olympic will buy a failing book out.

[UntilTheNDofTimE]

I'm not exactly an industry insider. That said, I wouldn't expect the governments of any of those countries to do a thing about it if a book went into no-pay mode. Your best bet is that a big book like CRIS or Olympic will buy a failing book out.

Why would a big book like Cris want to take over debt? Books only go under for 1 reason. And what % of those clients were probably already theirs? most people have a few outs right ?

Thanks for the input as always Donny

You going to be in Sac this summer?

[tltaylor89]

You need atleast $50 Million in available cash to cover employees and other expenses.Next you need an IT team to install the servers which cost 100s of thousands of dollars if you want to keep and maintain volume.Next you need to get the site up and running setting aside proper advertising and affiliate dollars.Then you need to recruit linesman maybe from Vegas it helps to know someone.Now you have to get shell companys to process your card transactions and people to pick up the Moneygram /Westurn Union deposits.You now are running a sportsbook.

[betplom]

You need atleast $50 Million in available cash to cover employees and other expenses.Next you need an IT team to install the servers which cost 100s of thousands of dollars if you want to keep and maintain volume.Next you need to get the site up and running setting aside proper advertising and affiliate dollars.Then you need to recruit linesman maybe from Vegas it helps to know someone.Now you have to get shell companys to process your card transactions and people to pick up the Moneygram /Westurn Union deposits.You now are running a sportsbook.

Good info.

Sounds like a GREAT thing for book owners to setup shop in Costa Rica, 'cause if things don't go well they can easily just close shop and run, no risk whatsoever.

I'm skeptical of books that go under, like 911, I really have a hard time believing thay could allow themselves to be beaten to the point of being broke, I'd be suspicious of them pocketing funds instead of paying out to their clients.

[Karayilan9]

The big Aussie books are generally solid, can't you join European books Betplom? they are also some of the most regulated and secure books you'll find.

[betplom]

The big Aussie books are generally solid, can't you join European books Betplom? they are also some of the most regulated and secure books you'll find.

I can play at Euro books, and I move from book to book depending on what is being offered.

I have accounts at Ladbrokes, Betsson and Unibet that I've used recently for hockey and the Olympics.

Most if not all of my Aussie and Euro sportsbook accounts offer moneybookers and do not charge for withdrawals so moving money from book to book is really easy.

[tltaylor89]

Good info.

Sounds like a GREAT thing for book owners to setup shop in Costa Rica, 'cause if things don't go well they can easily just close shop and run, no risk whatsoever.

I'm skeptical of books that go under, like 911, I really have a hard time believing thay could allow themselves to be beaten to the point of being broke, I'd be suspicious of them pocketing funds instead of paying out to their clients.

Heres the deal in the 911 case they have a few million left what usually happens is the withdrawal requests were outpacing deposits at a 3-1 rate when that happens the employees are laid off and top management splits the rest.Now the books resources are shopped to bigger books like Bookmaker 5dimes and Olympic brands.

[Karayilan9]

I can play at Euro books, and I move from book to book depending on what is being offered.

I have accounts at Ladbrokes, Betsson and Unibet that I've used recently for hockey and the Olympics.

Most if not all of my Aussie and Euro sportsbook accounts offer moneybookers and do not charge for withdrawals so moving money from book to book is really easy.

Good policy
I do the same, funds are pretty safe in these books, some of these Euro books like Ladbrokes started in the 1800's.

I wouldn't be too worried about the main books operating from CR, most are financially sound, an indirect problem could be money laundering which is not too difficult to do in some countries if you pay the right people. That would only be a problem if there was a military coup or a revolutionary government was elected in and they decided to put an end to the sportsbook industry or investigate where the money is coming from. The gambling industry and sportsbooks have or are at least seen to be more closely connected with the mob in the books targeting the US. Its much harder to do in places like Australia and Europe.

[RichardMoss]

The Costa Rican goverment have nothing to do with betting. Any shop installed in the country is registered under a 'call center' category(not a typified job roll at the labor minister), they do pay taxes (heath care/ retirement savings and functioning permits) but as no money transaction hit Costa Rican ground no protection whatsoever is given by the goverment. Betting in Costa Rica is monopolized by the govrement, offering only a few options as lotto and bingo for the Red Cross, it stops right there. CR citizens are even banned to play/bet by law.

[betplom]

The Costa Rican goverment have nothing to do with betting. Any shop installed in the country is registered under a 'call center' category(not a typified job roll at the labor minister), they do pay taxes (heath care/ retirement savings and functioning permits) but as no money transaction hit Costa Rican ground no protection whatsoever is given by the goverment. Betting in Costa Rica is monopolized by the govrement, offering only a few options as lotto and bingo for the Red Cross, it stops right there. CR citizens are even banned to play/bet by law.

I expected this, as it suits bookies just fine. While it may not be likely to happen with the bigger shops like CRIS or 5Dimes it is still possible, the books are looking out for themselves (which makes sense) and players need to remember this.

[betplom]

Heres the deal in the 911 case they have a few million left what usually happens is the withdrawal requests were outpacing deposits at a 3-1 rate when that happens the employees are laid off and top management splits the rest.Now the books resources are shopped to bigger books like Bookmaker 5dimes and Olympic brands.

Who puts up the money (millions?) in the first place? A single person? A group of investors?

I'd like to know more about Pinnacle, are they a private corporation or just a single investor?

[RichardMoss]

Plom..I was at BoS went it closed down, I worked there for almost 7 years and with a top managing position there, couldn't move higher on the ladder, and I can tell you bunch of stuff that will make you think twice.

[tltaylor89]

Who puts up the money (millions?) in the first place? A single person? A group of investors?

I'd like to know more about Pinnacle, are they a private corporation or just a single investor?

Pinny is a private corporation with a group of investors.They are a group of very rich people .The millions of dollars are usually made in the US some books are owned by the syndicate.

[tltaylor89]

Do tell RIchard Moss

[RichardMoss]

Me and 350ks should do it!!

[betplom]

Plom..I was at BoS went it closed down, I worked there for almost 7 years and with a top managing position there, couldn't move higher on the ladder, and I can tell you bunch of stuff that will make you think twice.

RM, I doubt you could surprise me as my imagination can run rampant, I would like to hear what you have to say though as it would probably be very interesting.

I suspect alot of the people setup as bookies in 3rd world countries are less than honourable and while I do play at some offshore books I would never leave a big balance in one, not Pinny or CRIS, I wouldn't hesitate to keep a large balance in Centrebet or IASbet in Australia.

[donjuan]

Why would a big book like Cris want to take over debt? Books only go under for 1 reason. And what % of those clients were probably already theirs? most people have a few outs right ?

Thanks for the input as always Donny

You going to be in Sac this summer?

Yeah, it's going to depend on how much debt, what types of customers they have and how many they currently have on their books. I would imagine the vast majority of bettors only have 1 out, BTW.

I'm in Sac until next Thursday. Aspen dies from the time the lifts close until Memorial Day weekend when all of the summer activities begin so I've been here almost a month now. Let me know if you want to catch up for a beer or a game of cards.

[RichardMoss]

All I can do betplom is share my experience.

[Brock Landers]

clone the creditwagering model and book from the US of A

[UntilTheNDofTimE]

Yeah, it's going to depend on how much debt, what types of customers they have and how many they currently have on their books. I would imagine the vast majority of bettors only have 1 out, BTW.

I'm in Sac until next Thursday. Aspen dies from the time the lifts close until Memorial Day weekend when all of the summer activities begin so I've been here almost a month now. Let me know if you want to catch up for a beer or a game of cards.

I'll hit you up via pm early next week. Got this weekend booked with mothers day but im free monday provided i dont end up working.

Thanks for the info. And are these transactions simply a debt buyout where the master site(5 dimes for instance) takes over a % of profits or do they just pay a small % to take over operations.

[betplom]

All I can do betplom is share my experience.

lets hear it!

[BatemanPatrickl]

You need atleast $50 Million in available cash to cover employees and other expenses.Next you need an IT team to install the servers which cost 100s of thousands of dollars if you want to keep and maintain volume.Next you need to get the site up and running setting aside proper advertising and affiliate dollars.Then you need to recruit linesman maybe from Vegas it helps to know someone.Now you have to get shell companys to process your card transactions and people to pick up the Moneygram /Westurn Union deposits.You now are running a sportsbook.

So now the Investment Banker is an expert on Offshore Books

[betplom]

So now the Investment Banker is an expert on Offshore Books

You dislike when someone online claims to be something they are not?

I know what you mean.