Did you know that online gambling is one of the most fastest-growing industries on the planet? The simple access and progressing users of smartphones are pushing business growth. Thousands of sites are active and provide numerous games such as lottery, bingo, and poker. You can use this source as reference for when you start getting into the casino gaming business.
Prospective Business
Revenues in the online gaming industry increased from merely $800 million to over $2 billion in 1999! By the year 2010, it is estimated that the online gambling industry will top over $16 billion in revenues! London-based Merrill Lynch analyst Andrew Burnett says online gambling could generate more than $150 billion in revenues by 2015. This positive market trend predicted will rise to reach 102.96 billion by 2025.
The Obstacles and Ways to Start
Nowadays, the gambling industry is not a simple matter to reach for the small entrepreneurs,even more, almost had no possibility. Generally, the obstacles are consist of substantial capital investments, gaming license grants, and proper red tape. However, thank the internet, you can own your online casino, sports betting, and multiplayer poker room gaming business and generate profits you’ve only imagined.
There are three plans to establish an online gaming business based on the cost:
Most expensive, you will need to find a design and gambling software for an online casino, sports book, and multiplayer poker room, which could cost you millions of US Dollars. Also, you will require approval from the government of a gaming license to operate your online gaming business. Keep in mind that no royalties will be paid to the gambling software. These requirements are why it takes a high-cost choice.
Average cost, you have to become a licensee of an online gambling software provider. This cost of this stage is a reasonable option to begin an online betting business. Moreover, you will obtain everything gambling software and sometimes even the required material. This way is the most favorite choice for both entrepreneurs and licensed land-based establishments. Approximately the cost ranging from $30,000 to $350,000, and the average licensing fees are about $150,000, including marketing costs. Typically, the gambling software provider has payment processing already installed for full operation.
Most affordable, you have to become a sublicensee of an existing licensee. This option is the least costly to begin an online betting business as the costs range from $5,000 to $60,000. Moreover, the licensee’s royalties are higher. The sublicensee will be responsible for all the marketing and draws a smaller portion than a full licensee
For the proper operation of online gambling operators, the owners of online casinos and poker rooms require sovereign governments in countries that allow online gambling and licenses. Both casinos and rooms have to be registered by the government as legal gambling facilities, and in turn, the respective countries will earn significant licensing fees and tax-generated revenues.