Costs Of Starting An Online Casino

[Black21Jack]

I was just wondering how all of these rogue casinos fund their startup costs. The people that start these casinos must have a considerable net worth to be able to get their operations rolling as far as licensing the software which I have read can range in the hundreds of thousaands of dollars, customer service support, hosting, merchant accounts as well as having a large sum of money to fund player payouts in the early stages before they are really bringing in a profit from the gaming. Are most of these owners big shots with large amounts of cash from other business ventures? or would they most likely work off of loans? Another question I had is what is the startup costs on getting a casino running such as RTG or Microgaming?

[eek]

It will be offshore wedges of cash for the lesser known, non-corporate places.

There's a huge amount of offshore money looking for investments that provide a return.

(If it hits the onshore places,(UK. USA etc) it would trigger the money laundering regulations.)

[jerseyguy11]

I was just wondering how all of these rogue casinos fund their startup costs. The people that start these casinos must have a considerable net worth to be able to get their operations rolling as far as licensing the software which I have read can range in the hundreds of thousaands of dollars, customer service support, hosting, merchant accounts as well as having a large sum of money to fund player payouts in the early stages before they are really bringing in a profit from the gaming. Are most of these owners big shots with large amounts of cash from other business ventures? or would they most likely work off of loans? Another question I had is what is the startup costs on getting a casino running such as RTG or Microgaming?

i asked that same question of someone i dealt with in the division of gaming enforcement. You know what he stated?

"if you have about 100,000 dollars you can go to antigua or south africa and open up your own online casino"

i know places such as golden palace are owned by a family "or partnership". Basically anyone can open an online casino if they have the money and it doesnt cost all that much for the basic casino from what I gather in my inquiries.

I have no idea the cost of MG or RTG though.

[natophonic]

I have no idea the cost of MG or RTG though.

Again some newbie questions... I'm assuming MG is "Microgaming" which from this site I gather is a fairly reputable software provider. What is RTG? "real time gaming"? Is that a company? Are they reputable company? Why the notice on the front page about the "first RTG casino" added... are they just very new or something?

Thanks...

[Simmo!]

Again some newbie questions... I'm assuming MG is "Microgaming" which from this site I gather is a fairly reputable software provider. What is RTG? "real time gaming"? Is that a company? Are they reputable company? Why the notice on the front page about the "first RTG casino" added... are they just very new or something?

Thanks...

MG = Microgaming, RTG = RealTime Gaming - both software providers as you sussed.

Not meaning to sound like one of those holier-than-thou Newsgroup geeks Nat, i'd suggest looking back through this forum and the one below it - that will give you plenty of insight into the world of RTG and save this one going off topic

[jyde]

I believe the RTG software goes for around 150K - Microgaming is a lot more expensive - like 400K

[Black21Jack]

I highly doubt anyone with $100000 would be able to start an online casino. That money would be eaten up from the licensing cost alone. I would think you would need a bankroll in the millions to cover intial payer payments, hosting, customer service, merchant accounts etc. Anyone informed?

[jyde]

You could easily start an online casino with 100K - not an RTG or MG though. If RTG I'd say max 150 for software and at least another 150 for marketing and stuff. Hosting, support etc. is paid pr. month to one of the companies that offer stuff like that. You don't have to rent officespace and buy servers etc.

[GrandMaster]

I am sure you can do it with much less money, I am not saying it will be a good or successful casino. The now defunct Play4treasure was run by a college student, I don't think many college students have $100000.

[jerseyguy11]

yep, when i spoke to the division of gaming, they made it clear to me that it doesnt take much money. his words were "100,000 you could start your own..." these guys know these things.

im sure MG would cost more, after all they are more strict it seems on who they license oppose to some other sotware providers.