The Online Casino and Sports Betting industry is worth Billions of pounds across the globe. With so many investors looking to claim a small piece of such a massive market, experience of setting up an Online Casino Business has never been more in demand.
More than 50% of enquiries that land on our doorstep are related to founding or setting up an Online Casino. These enquiries can be relatively straight forward, such as a contract & commercial proposal review or even a sense check of a new operator, all the way up to feasibility studies and project management of a proprietary platform build.
The question remains though – what does it really take to Set up an Online Casino Business? And why does it require the experience of a business like ours to help it succeed?
First off, let’s take a look at your setup options…
A White Label Casino is the easiest and cheapest route to set up and own your own Online Casino. You’ll typically need a design for both Web and Mobile and you’ll need to complete any due diligence for the Ultimate Beneficiary Owner (UBO) before a platform would be willing to work with you.
The Platform will typically configure your Casino and you’ll be live within 6-8 weeks. However, there are limitations to a White Label Casino, such as a shared license with several, sometimes hundreds of other operators. You also have to rely on someone else to manage your customer support, fraud, payments – basically everything other than acquiring customers. Herein lies the next challenge – converting and retaining your customers with limited control over the front end and UX.
When operating on a White Label, you typically have no power over any decisions. You can certainly influence and be involved, but if it’s not your license, you don’t get the final say, despite you being the UBO and owning the brand. This is the key issue with a White Label and one of the many problems that having a Gambling Consultant like us can help resolve. By allowing us to manage the White Label process for you, we exert our influence and use our reputation to effectively manage the brand instead of the White Label. In other words – they trust us to do things properly, whereas they may not trust you.
There are tremendous benefits of a White Label Casino however. The key benefit – it’s incredibly cheap. iGamingUK can typically complete the entire set-up process and launch a Casino within 6 weeks of signing your agreement for as little as £9,995. Beyond that, we charge from as little as £995 per month to manage the brand for you, leaving you to simply deliver traffic. We also offer a UBO Understudy service, whereby we act as the UBO to avoid any necessary due diligence on you – the investor. This service allows overseas investors who may wish to avoid the costly Due Diligence process get a brand live much more quickly.
So how do I set up a white label Casino with iGamingUK?
iGamingUK has a team dedicated to the set-up process for our White Label clients. We will assign you an Account Manager upon signing our Agreement and the process begins immediately. We expect the Due Diligence process to typically take around 1-2 weeks, from which point we will have you live within 6 weeks. Simply get in touch with us to discuss your needs and we’ll do the rest for you.
The alternative to a White Label is to go through the lengthy and costly process of acquiring your own operator’s license. This process has changed somewhat over the past 2 years, as many territories now require local and regional licensing as opposed to one, single license to govern the overall activities of a Gambling Business. For example – the UK required a license from the UK Gambling Commission. If you only intend to operate in the UK and in unregulated markets, this is the only license you need. You will however face stricter processes and requirements under this license for the markets that may not necessarily require those strict processes, so many operators still choose to take an Alderney, Malta or even Curacao based license to govern those players outside of the UK.
The licensing process is tedious and can take a very long time. The current processing time for a new Maltese licensee is up to 12 months. Alderney and the Isle of Man are generally the quickest, coming it at around 8-12 weeks. Khanawake has fallen out of favour in recent years, but they offer a very competitive license with zero corporate tax – one to consider if you only intend to operate in unregulated/grey markets.
With owning your own license come significant risks. You, as the UBO, are responsible for the operation of the business and its processes. You are ultimately liable for any fines, penalties and even custodial sentences handed out for poor practices. You must also ensure your staff are highly trained and capable of spotting fraud & money laundering. You should also consider the cost of hiring your own staff. Gambling experience is still very niche, with certain hubs around Europe acting as the main hot spots to hire talented staff. Malta, London, Gibraltar and the North of England are all key areas to consider, but the cost of offices as well as premium salaries will likely push start-up costs through the roof.
As with anything though, there are pros and cons. When you own your own license, you control your own destiny. You are responsible for the performance of the business and answer to nobody except the regulator. You can hire and fire staff where you feel performance has become an issue and you can invest in key areas of your product.
The iGamingUK team have a huge amount of experience setting up and configuring both proprietary platforms and Turnkey solutions. We have worked with the industry’s giants, including Playtech, Microgaming, SBtech, Openbet and many more.
How can a gambling consultant help you set up and manage your casino?
Hiring a Gambling Consultant from iGamingUK is often the most cost efficient way to build your business. Our rates reflect our significant experience at completing the work you ask us to do, meaning we do the job more quickly and more efficiently than any member of staff you could look to hire. With iGamingUK, you get an entire team dedicated to your project for one, fixed fee. When you hire staff, you have significant overheads to consider as well as a very high salary.