Betting business in 2021
Betting is still the most profitable area of the gambling industry due to large range of trends. The economic efficiency of the bookmaker's facility within the territory of CIS countries exceeds 10% stated by the experts upon condition of choice of the reliable service providers, focus on its customer and correct determination of the economic efficiency level.
The betting business is mainly oriented to the Interner users, and this enables to establish the international online-platforms on the basis of the gambling commission licenses. Orientation to the global market helps the new entrants to form the range of lines, rich in the variety of events and sports.
Subtle details in legislation
The bookmaking is carefully supervised by the Tax Service and authorized government agencies in any state; these authorities adopt new laws and edit the old resolutions on the functionality of gambling clubs. So, the legislative system of many countries in relation to betting and gambling underwent substantial changes in 2020 or expects them in the near future.
The single regulator for all betting companies will come into operation in the Russian Federation in the near future. The self-regulating companies will be joined into one entity which will control the profit from sports bets and deduct the interest from the total amount in favor of sports federations and leagues.
It will be necessary to make the reports and to execute the official permit from the “Single gambling games regulator” under the supervision of the Ministry of Finance of the Russian Federation for the purpose of doing legal betting business in Russia.
Currently the sports-betting firms in Kazakhstan submit their reports to the Tax Service and pay interests from all revenues on a quarterly basis. The authorities keep strict watch over the gambling profit and operation. So, the earnings concealment may result in the company closure or fine imposition.
The amendments will be introduced to the gambling business law in the near future, and this fact shall be taken into consideration during establishment of the new company. The most of the leading companies of Kazakhstan are wary of sharp drop in income due to inappropriate operation of the Bets Accounting Center, the entity dealing with tracking of all money transfers made by the betters.
Only the entrepreneurs who obtained legal permit of the Bets Accounting Center will be able to offer the betting services legally. The sports-betting firms will stop their operation since January, 4 provided that the authorities won’t take some actions oriented to improvement of the center operation. This complicated the process of the establishment of new companies in Kazakhstan substantially.
The cost of documentation of single license for all kinds of gambling clubs increased in Tadjikistan. According to experts, this decision may raise difficulties during the sports-betting firm establishment. The procedure of services provision and income accounting in bookmaking is much different from the activity of casino, and this may result in restrictions and provision of services by the sports-betting firm in the event of violation of provisions of law. However, by contrast with gambling, sports bets stay the course, getting target state financing.
The draft legislation on the bookmaking legalization within the territory of state was introduced in Uzbekistan. The State Duma developed the new algorithm of the gambling clubs operation, having introduced laws and regulations in relation to gambling in 2020.
The bookmaking will be officially legalized in Uzbekistan since January 1, 2021. The authorities believe that legal distribution of betting in the country will help to attract the investment projects to the sports sector, in particular, football, as the global best practices show. The permit for the betting company establishment will be granted by the Agency for the Market and Capital Development of Uzbekistan. Some share of profits from the transactions of betters will be allocated to the sport development.
There is positive attitude toward the gambling industry on the part of the Ukrainian authorities, which is proved by the establishment of single gambling association in the country. According to the plans, the commission will consist of the political experts, social scientists, experts in the field of gaming, and the international operators cooperating with the Ukrainian authorities.
The regulator’s license will be documented since December 15, 2020. The Expert Board plans to arrange the legal activity of gambling platforms in Ukraine completely, and to bring them to the international level.
Georgia has the most positive attitude toward gambling and betting terminals establishment. Currently, 7 kinds of the official licenses are offered for the bookmaking. State warrants the stable terms of cooperation and small corporate bets. Moreover, the legal permit covers also the European states.
The innovations in the draft legislation in Europe have an impact on betting in CIS countries. For example, the Gambling Act will be reviewed in the Great Britain. The age restrictions established 15 years ago, as well as the algorithm of development of advertisements, bonus program, and promotional events in the bookmaking will be changed.
Moreover, the list of powers of the gambling commission will be reduced. The innovations adopted will be declared on March 31, 2021. Therefore, the operation of the betting terminals will undergo further changes along with the amendments introduced to the draft legislation of certain countries.
Special aspects of the bookmaker’s facility establishment
Despite regular draft legislation editing, the stages of the platform establishment by the sports-betting firms remain the same. The most important steps for the new founders are the following:
- To determine the level of the economic efficiency of the company, and to develop the one-of-a-kind course in order to compare favorably with the competitors.
- To take into account all rules of financing and laws in the country where the bookmaker's facility will be established.
- To keep track of the market changes, and to use the new information correctly.
- To cooperate with the large sports-betting firms, and to choose only reliable software providers, operating on the basis of the international certification.
- To learn to allocate the budget and to generate the real income, analyzing the customer base.
Betting business is the reliable sector for the experienced entrepreneurs. As the official revenues of the betting terminals show, the sports bets will be always in demand with the gambling fans.