Forecasting revenue and expenses during the initial stages of a bookmaking business is one of those steps that you procrastinate till it's too late. Many bookies complain that forecasting with accuracy takes a lot of time and effort and would rather spend more time looking for clients. But forecasts are a must if you want to attract investors. And more importantly, the most accurate financial forecasts you can build, and the more successful and balanced your business will be.
So here are 3 pieces of advice on how you can build an accurate financial forecast.
Forecast expenses, then income
At the beginning, you will have a better idea of what your expenses will be and a little less clue about how much you're going to earn. So start by making an estimate of your expenses, both overhead costs (such as equipment, utilities, services, etc) and variable costs (materials, supplies). By using pay per head services, you can greatly reduce overhead costs.
Make multiple forecasts
You might be tempted to include some things in your forecast of which you're not entirely sure. You may think it's too soon or just lack knowledge or resources to ensure it will be feasible. If you find yourself in this conundrum, create multiple versions of your forecast. When the time comes, you can compare and make a decision on the bolder projection or the conservative one.
Make sure it all adds up
When you're done with projections, compare revenue and expenses and make sure it all adds up before actually taking the plunge. Of course it's all theory for now, but if it doesn't add up in the paper much less it's going to in real life. Do this periodically, revising the forecasts as your business waxes and wanes.
If you are interested in becoming a professional bookie, visit Price per Head website and learn more about this exciting industry. Price per Head is the leading pay per head provider of outsourcing and sportsbook software solutions for your sports betting business. We take your bookmaking operations to an offshore sportsbook using the latest software and technology. All the booking is managed from outside the country in a safe and consistent manner, and Price per Head keeps you informed of every move through our real time reports.
Eva Wilson
Writer for,
Price Per Head
So here are 3 pieces of advice on how you can build an accurate financial forecast.
Forecast expenses, then income
At the beginning, you will have a better idea of what your expenses will be and a little less clue about how much you're going to earn. So start by making an estimate of your expenses, both overhead costs (such as equipment, utilities, services, etc) and variable costs (materials, supplies). By using pay per head services, you can greatly reduce overhead costs.
Make multiple forecasts
You might be tempted to include some things in your forecast of which you're not entirely sure. You may think it's too soon or just lack knowledge or resources to ensure it will be feasible. If you find yourself in this conundrum, create multiple versions of your forecast. When the time comes, you can compare and make a decision on the bolder projection or the conservative one.
Make sure it all adds up
When you're done with projections, compare revenue and expenses and make sure it all adds up before actually taking the plunge. Of course it's all theory for now, but if it doesn't add up in the paper much less it's going to in real life. Do this periodically, revising the forecasts as your business waxes and wanes.
If you are interested in becoming a professional bookie, visit Price per Head website and learn more about this exciting industry. Price per Head is the leading pay per head provider of outsourcing and sportsbook software solutions for your sports betting business. We take your bookmaking operations to an offshore sportsbook using the latest software and technology. All the booking is managed from outside the country in a safe and consistent manner, and Price per Head keeps you informed of every move through our real time reports.
Eva Wilson
Writer for,
Price Per Head
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