What do I need to open a casino myself? This is one of the most popular questions people ask themselves before they open casinos. The casino business is an incredibly lucrative one. In the United States alone, the gambling industry is worth over $261 billion. You can cut out a share of this market capitalization with the right information.
A casino is a public facility for entertainment and gambling. The word public is used because casinos are not normally owned by the government. To own a casino, you’ll need approval from the government in that region. Deciding which games you want to offer in your casino is also vital. Some of the most popular casino games are craps, slots, baccarat, blackjack, poker, and roulette. Most casino games have predetermined odds that give the house an advantage. So, the house always wins.
What Do I Need to Open a Casino Myself?
The first thing you need is knowledge. There are some things you should know before you open a casino. Ignorance can lead to you contravening the law. You should know and understand the gambling regulations in the casino location. Make sure casinos are legal at the site before you build the casino.
Some restrictions vary from place to place. The first restriction is the age restriction. This restriction is set to protect minors. In the United States, the minimum age ranges between 18 or 21 depending on the state. So, ensure that you enforce a policy of checking IDs especially when in doubt at entry points. It is a federal requirement.
Customers expect alcohol to be sold in casinos. However, you’ll need to get a liquor license before you can start serving drinks at your casino. Alcohol is banned in some countries, if that’s the case, you can’t serve it to customers. Some other areas may put restrictions on the amount of alcohol that can be served to each customer daily.
Recreational drugs should be used with caution in your casino. The legality of different recreational drugs varies according to jurisdictions. To be on the safe side, ensure that the recreational drugs used are legal in your jurisdiction. You should have a medic in the building at all times in case of health emergencies.
Taking Note of Self-exclusion and Liquid Capital Laws
Casinos must abide by specific laws that determine the temporary and permanent exclusion of certain individuals. Depending on the location, customers can opt for self-exclusion. People who are addicted to gambling may opt for self-exclusion to help them fight this problem. Relatives of the addicted person can put their loved ones on the exclusion list in certain regions.
Casinos must have a large amount of money available. This way, they can pay out jackpots on the spot. A rule of thumb is that the amount available should be equal to chips, slot machine winnings, and other gambling devices at the gambling zone. However, having a little extra will do you good.
In addition to gambling regulations and restrictions, company laws are essential. Casinos are companies that offer gambling services and entertainment. Make sure your casino is established and registered with the government and other relevant bodies.
Creating a Business Plan
The next thing you need is direction. Your business plan is the compass for your casino or any other business. A business plan, as the name implies, is a scheme for your business. The plan of action will be determined by several factors. It gives an overview of your casino business. It covers the way it will operate, goals, and targets. It will also involve the strategies put in place to attain those goals and hit those targets within set time frames. Your business plan should also include financial projections, personnel, and funding requirements.
The crucial items your business plan must have are:
- An executive summary
- The casino’s mission statement
- Market analysis (Target market)
- Relevant competencies and skills
- Goals and targets
- Analysis of competition(s)
- System of operation
- Financial plan
- SWOT (Strengths, Weakness, Opportunities, Threats) analysis
Your casino business plan should show that you know and understand the casino business. You can pay a professional to write a business plan for you. Your plan should be able to answer tough questions concerning your casino business.
Ensure Security in Your Casino
Due to the large flow of money in and out of casinos, there is a high risk of cheating, stealing, robbery, and other crimes by customers and staff. The cheating could either take place by collision or by independent thieves. This brings us to a fundamental component you need in your casino, ‘security’. Security is important in every casino.
These days the casino security structure of casinos is usually split into two parts. One is the physical security force which is made up of security personnel who hang around the casino. The other part is made up of a specialized surveillance department. It is popularly known as ‘eye in the sky’. Security cameras and other tech devices are being used to monitor everything that happens in the casino. A surveillance team stays behind the scenes and reports illegal activities to the security guards on standby.
The on-site security force patrols the casino and responds to calls for help by customers and staff. The force also deals with reports of suspicious and confirmed criminal activities. In some casinos, there are catwalks in the ceiling above the casino floor. These catwalks are used for surveillance. A security personnel looks directly down through the one-way glass, on the various activities on the casino floor.
To guarantee security, these two parts must work well as a well-oiled engine. Casinos also enforce security and prevent cheating by enforcing the code of conduct, rules, and regulations.
Another accessory your casino should have is the silent alarm. This will alert security agencies of robberies and other criminal activities your team may not be able to handle.
Building Design of Your Casino
You need a good building design for your casino. You need a building with an exterior that attracts customers and an interior that encourages players to stay. The casino design is not limited to colors, arrangements, and accessories. The building design should be psychologically attractive so players will stay longer. The more they stay, the more money they will spend and the more money you’ll make.
Some key factors that influence gambling are oxygen, lightning, sound, odor, and alcohol. The oxygen level is increased to reduce fatigue and improve gamblers’ activity levels, especially at night to early mornings. Be careful when increasing the level of oxygen. If the oxygen level is above standard, it can be damaging to the lungs.
Alcohol usually increases gambling tendencies. The more people drink, the more they gamble. Certain odors may improve gambling tendencies in the casino. Alan Hirsch conducted a study that focused on the relationship between odor and gambling. He studied the impact of certain scents on gamblers. During his study, he discovered that the floral scents released by a certain Las Vegas slot machine increased the revenue generated from these slot machines by up to 50% more in daily income.
Make Other Forms of Entertainment Available
The location of your casino will also significantly determine the revenue generated. For this reason, casinos are often built close to or in combination with tourist attractions, resorts, hotels, restaurants, waterfalls, and sports centers. Some casinos host live entertainment events like stand-up comedy, concerts, sports, and erotic activities to boost patronage.
Sex and other erotic activities can significantly boost revenue. For this reason, some casinos have strip clubs, dedicated areas for additional entertainment. Good looking exotic dancers attract attention to themselves, compel gamblers to gamble more, and help them increase their alcohol flow.
Entertainment is an excellent additional source of revenue. It also increases the popularity of your casino. A great way to entertain your customers and show that you care about them is through loyalty rewards, comps, bonuses, and rewards.
Hopefully, you’ve gotten an answer to the question; what do I need to open a casino myself? We hope that you have all the information you need. Some other tips include:
- Hire experienced personnel. The number of skilled staff should always be more than that of newbie staff.
- Research and learn from the casinos doing well.
- Establish viable systems to check, control and smooth the workings of your casino.
- Advertise! Make your adverts attractive and suitable for your target customers.
- Beware of building a bad reputation. Prevent fights, murders, bullying, fraud, intimidation, and poisoning in your casino.
The tips above will help you as you decide whether or not a casino is the right business play for you. There is a lot of money to be made in the casino but it is a capital intensive business. It isn’t something you should take lightly.