How Much Would it Cost to Set up Your Own Online Casino?

The gambling industry is one of the most profitable business areas in the world. Due to the widespread popularity of casino games, operators receive substantial profits. Opening a casino on the Internet requires a significant investment.

Find out what the cost of starting a virtual entertainment business is. Consider the main expense items and possible sources of funding for gaming projects.

What Components Does the Price of an Online Project Consist of?

Aspiring entrepreneurs often ask: "How much would it cost to set up their own online casinos?" There is no definite answer to this question. The price of each start-up is calculated individually.

The cost depends on many parameters:

• the target market;
• the scope of services provided;
• the type of licensing;
• the number of employees;
• the assortment of gaming software;
• the cost of promotion activities, etc.

Each operator decides how much to spend on each of the above items independently, depending on his or her financial capabilities and desired goals. However, one rule is universal for all projects. The more money entrepreneurs are willing to spend on the development of their projects, the more benefits they receive.

Of course, the right approach to business organisation plays an important role here. A poorly thought out strategy can lead to failure, even with significant financial investments.

We have calculated the approximate cost of the project based on the Microgaming platform. This is a rough estimate. The price of gaming websites launched using other systems can vary significantly.

Where to Receive the Funding for Out Setting a Gambling Business?

If you have developed an interesting strategy for the development of an entertainment project, but your budget is limited, do not despair.

Turn to gambling entrepreneur organisations. Such structures operate in many countries. Besides, there are lots of enterpriser communities in the United States, one of the most money-making markets in the world.

The gambling business is highly sought today. Therefore, investors are interested in supporting virtual entertainment establishments. Perhaps your idea will interest providers of capital, and you will receive a large sum on the implementation of your project.

When is the Ideal Time to Launch a Start-Up?

If you wish to work in the USA, study the laws of the state in which you intend to open your project carefully. Laws are gradually changing, new restrictions appear, or vice versa, the conditions for doing business are becoming more loyal. Follow the news of the American gambling business to receive a possibility to obtain a licence and start an online casino.

This applies not only to the United States. Many countries periodically revise their gaming legislation. Therefore, it is important to always keep an ear to the ground and monitor important events and changes in order not to miss the chance to launch a business on favourable terms.

Which Gaming Platform is Worth Choosing?

There are many outstanding suppliers offering operators to buy various gaming software of the highest quality: Microgaming, Rival Gaming, Playtech, Gaminator, Amatic, Realtime Gaming, etc.

Let us take a look at an example of a popular gaming system from Microgaming. The unique platform allows adding about 450 games to a gambling site.

To purchase the system, you will have to pay for the following services:

• basic package price (games and poker) — $250,000;
• monthly royalty fees — 15 - 40% of revenues per month.

In addition, an entrepreneur must provide the supplier with confirmation that there are at least $350,000 - $4,500,000 in his or her company’s account. This amount will be required to pay out winnings.

The cost of software from other manufacturers may differ significantly from the price of the Microgaming gaming system.

Let us consider a few more examples:

Personnel Costs

To achieve the smooth and money-making operation of an establishment, it is necessary to find qualified employees. Working in the Internet segment can help you reduce personnel costs dramatically.

You will need at least 12-25 specialists from different fields to ensure the full-value functioning of the project:

• client support experts;
• affiliate managers;
• marketers;
• designers;
• IT specialists, etc.

The approximate sum of wage costs is around $250,000 - $300,000 per year. This amount can be considerably reduced by hiring remote employees from South America, Africa, or Eastern Europe.

The size of an average salary in these countries is significantly lower than the sum of a wage in the United States. We recommend you to consider South Africa and Costa Rica. The B2B gambling market is highly developed in these regions.

Expenditures on Marketing

The most effective method of promoting your online gaming business is the partnership with affiliates. The cost of services of different organisations can vary from 20to more than 100 thousand dollars.

To find a good partner, enter the following queries “the best online casino” “casino business”, “buy a casino”, etc. in the search bar of your browser. The sites shown in the first positions are potentially the most profitable ones. Cooperation with such resources can bring you good revenues.

The promotion of a project is one of the most significant items of expenses. Some sites spend over 50% of their profits on advertising. On average, a young brand spends about $50,000 on marketing activities each month.

Pay-Outs of Winnings

There are two options for performing monetary operations. The first way is to connect popular payment systems:

1. Skrill;
2. Neteller;
3. Mastercard;
4. WebMoney;
5. Visa;
6. PayPal, and others.

The use of well-known financial systems’ services costs from $20,000 to $45,000 per month. Despite the high expenditures, you will receive high-quality maintenance and guarantees of fast and safe money transactions.

Another variant is to create a new payment system inside the gaming portal. However, this method is also quite expensive. You will have to obtain a special licence to conduct financial operations and employ a team of experienced programmers. Besides, you must constantly allocate large sums to support the system’s operation.

Achieving Self-Sufficiency

The profitability of an online casino and the speed of reaching a net profit depends on the effectiveness of promotion and the solvency of the audience. Many 2WinPower partners have achieved colossal financial success and were able to pay back all costs in six months. At the same time, some firms spend about 2 years to get the desired result. This is also a pretty good speed.

To develop the right strategy for promoting your iGaming portal, we recommend you to contact the specialists of our company.

So How Much Would it Cost to Set up Your Own Online Casino?

Let us calculate the approximate cost of starting and running a business for 12 months:

The total amount is almost $1,867,000. However, everything depends on the scale of your business.

The Main Things about the Price of an Entertainment Start-Up

The cost of a virtual portal can range from several tens of thousands to several million USD. The final price of a project is influenced by such factors as the target market, the assortment of services provided, the number of employees, etc.

The most significant items of expenditure are as follows:

• the purchase of a gaming system;
• receiving a permission document;
• the integration and maintenance of financial tools;
• the creation of a website and a company’s logo;
• payment of salaries to employees;
• prize fund formation;
• marketing activities.

Have been thinking about opening an online business for a long time? Contact our managers right now to make your dream come true.