How Much is the Operating Expense of a Bookie in a Month?One of the first things you will learn when you study how to become a bookie, is the cost of putting up your own sportsbook, and the operating expenses as well. After all, your overhead costs will have to be covered before you can turn in a profit. Ideally, you will want to have a lower overhead cost so you can earn more. Here’s an idea of the operating expense of a bookie each month.

Before we talk about the numbers, we’ll talk about the platform that you will use for your online sportsbook. This is important because what you decide to use will dictate the overhead expenses of your sportsbook. For instance, if you create a company from scratch with a staff and develop software, you will spend hundreds of thousands. Maintaining a regular staff, or even consultants, and the like will also cost you thousands each month.

If, however, you are using a Bookie PPH software, then you’ll be getting your ROI pretty quickly. A pay per head service charges you an affordable fee per player in your sportsbook. This is the cost and the monthly expense that we will break down for you.

Operating Expense of a Bookie in a Month

The bookie software does not come with an initial fee or payment. You will probably be asked for a deposit, of course, but it will not be in the thousands of dollars you are thinking. Using a pay per head bookie software costs you a per player fee. The rate differs per provider. For this guide, we will assume a $5 per player fee.

This means that for every player you have that places a wager each week, you pay $5. Here is a breakdown so you can see how simple the formula is:


Players                                  10

Pay per head fee                 $5

TOTAL:                                  $50 each week


Other Expenses for Your Sportsbook

Of course, this is not the only expense you will be making each month. Offering bonuses and promotions to your players is a great way to entice new players. Its also a good strategy for customer retention. You can control how much you spend. For this example, we’ll put in $10 in bonuses, referral bonuses, and the like for each player each week. That would be $50 a week.


Pay Per Head Fee:            $50

Bonuses:                             $50

TOTAL WEEKLY:                $100

TOTAL Monthly:               $400


That is how much you will be spending for a small sportsbook each month. This rate is per player each week, and not per wager. So a player’s cost is roughly $40 each month. But if they place around 20 wagers in the period, the vig alone will be more than enough for you to turn a profit. Naturally, the larger your operation, the higher the operational expense. But it is still a very reasonable and affordable rate in the industry.

If you want to grow your bookie PPH operation faster, you can also spend money in advertising, either in social media, or through ads online. The rate for this will vary as well. But given how low your monthly operating expenses are, it would be a bit easier for you to spend more time and effort in marketing to grow your sportsbook quickly.


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