Minimun bankroll for a casino owner
Let's say I'm a casino owner and i only offer one game of slots. And i have only 100K available as a bankroll. How would i calculate if 100K is enough for the game? How would i set max bets for the clients in order to avoid going bust?? I think the concept is called Risk Of Ruin but all i could find were formulas and calculators for binomial results, which are not good for slots
Quote: FrankReynoldsThank you, but that is not what I'm asking. I should have been more clear about what i need:
Let's say I'm a casino owner and i only offer one game of slots. And i have only 100K available as a bankroll. How would i calculate if 100K is enough for the game?
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Welcome to the forum.
I believe this question can be well answered by a paid math consultant, if you're not comfortable doing the math yourself.
Yes, I think the Kelly Risk of Ruin math will come into play.
Perhaps a math expert will contact you by private message.
Best of luck in your endeavours.
https://gaming.nv.gov/index.aspx?page=60
I haven't delved in too far, but the primary concern seems to be that a casino can pay their jackpots out by the next business day, not that they can fade the variance long term.
Quote: FrankReynoldsI should have been more clear about what i need:
Let's say I'm a casino owner and i only offer one game of slots. And i have only 100K available as a bankroll. How would i calculate if 100K is enough for the game? How would i set max bets for the clients in order to avoid going bust?? I think the concept is called Risk Of Ruin but all i could find were formulas and calculators for binomial results, which are not good for slots
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You can do this with special software,they work on the principle of gambler ROR calculation, only they take into account:
-Amount of gaming equipment slots & tables (game versions and rules)
-Expected bet spread
-Expected Game Intensity
-Conditions of cashback, deposits, jackpot, and more
-Pattern of your gamblers. Swing of the "float" and credits
-Online ar baseland (These are different things)
And then you choose the calculation logic:
(a) Find out ROR risks of existing games, and set max-bet's
(b) Find out how much you need put money in the cash to cover the risks
Logically, you need to have a bankroll so that your ROR would be less 3%, but in practice most of the casinos in Europe work with more than 15% ROR probability. I know many owners who work with risks of more than 40%
Quote: FrankReynoldsThanks. But still not what i need. I need a way to calculate a game payout structure for me to have a very low chance of going bust with 100K
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Do you need to create a new game, or set the maximum stakes?
What game is this? All games have different volatility
Quote: FrankReynoldsSet the maximum stakes. For any game with more than two outcomes
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I do it like this:
1. Using the ROR & SD calculation formula
2. Creating game simulations
Quote: FrankReynoldsThank you, but that is not what I'm asking. I should have been more clear about what i need:
Let's say I'm a casino owner and i only offer one game of slots. And i have only 100K available as a bankroll. How would i calculate if 100K is enough for the game? How would i set max bets for the clients in order to avoid going bust?? I think the concept is called Risk Of Ruin but all i could find were formulas and calculators for binomial results, which are not good for slots
link to original post
As a former actuary, this is the kind of thing I think I could help with. However, I would expect to be paid a professional fee for my time.
Quote: WizardQuote: FrankReynoldsThank you, but that is not what I'm asking. I should have been more clear about what i need:
Let's say I'm a casino owner and i only offer one game of slots. And i have only 100K available as a bankroll. How would i calculate if 100K is enough for the game? How would i set max bets for the clients in order to avoid going bust?? I think the concept is called Risk Of Ruin but all i could find were formulas and calculators for binomial results, which are not good for slots
link to original post
As a former actuary, this is the kind of thing I think I could help with. However, I would expect to be paid a professional fee for my time.
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