i have a negative balance of a few thousand, which has been carried over every month now for around a year
for a sportsbook, that negative balance is outrageous, since they balance the lines and make money from the juice, they are not out $5k+ as a result of my players winning, so if they are not out any cash, why should i be out cash
…
your thoughts on the matter are appreciated, also it would be great to hear from somebody who has dealt with them
thanks
Hi Nick,
My thoughts are that you were NOT thinking clearly when you posted this one – as I know that you’re well in tune with how things work on the sports gambling side.
There is NO side pot for juice, your thinking on this is flawed. The books do not take a portion out of every bet and keep it – rather they offer slightly less than even money (usually around 1.90 to 1.96 on handicaps) .. and people refer to it as “juice”.
Sportsbooks TRY to balance the lines on games – but for most games Sportsbooks DO end up carrying a liability on one side or the other just due to a heavy weight of cash on one side.
But if the side that is more heavily backed does win – then they will be in the hole for the balance of the cash. Of course overb the course of a season it sohuld balance out … although I know that last season favourites won 55% of NFL game spreads – and punters like favourites – so most books took a 5%-7% bath.
I promote about a dozen sports books – and my biggest one turns over a significant amount of cash from my clients (over $500K per month). I get detailed reports from these guys on a daily basis … and I know that if favourites have won then punters have won and the bookmaker is in the hole.
Your assumption that they’re in profit and showing you an incorrect negative balance is FALSE. (in my opinion).
Best Regards,