Gambling has always been a favourite pastime in Canada and around the world. If you plan to run a casino business in among the richest cities in Canada, get to know the jurisdictions that offer the most suitable terms and conditions for your business and start earning. Opening a casino requires owners to follow the criminal code for both federal and local laws.
Even if you plan to run an online casino Canada, you need to check if you can get a licence to operate and if it is legal in the jurisdiction you want to operate. If you already have a casino up and running, the next thing to do is proper management of finances. The casino may be operating well, but you’ll need to learn some financial tips to keep it going in the next few years. Here are some simple financial tips to follow.
The 95/5 Rule
Let the 80/20 rule step aside and make way for the 95/5 rule to take its place in business and our daily lives. We heard about the 95/5 rule from Houston Rockets owner, Tilman Fertitta. This bold rule involves tackling the 5% of a business, which are the flaws, problems, or mistakes of any business.
Most probably your casino is 95% running smoothly and 5% of it is needing solutions. This rule focuses on implementing solutions to fix problems that can be contributing to losses. Some common problems in casinos in Canada could range from poor marketing strategy to casino insecurity and overstaffing.
Casino Staff Management
Any business needs to understand how to handle proper staff management. One of the top expenditures and important people in running a business is its employees. In a nutshell, a business should know the number of employees required to hire in different departments.
Expect to manage waiters and waitresses, security personnel, food handlers, clerks, dealers, janitors, technicians, valets, and so much more.
Protect the Casino, Customers, and Suppliers
It’s important to have the necessary security equipment such as cameras and security monitors to watch every activity of the casino. These are necessary extra measures to protect your business from fraud and illegal activities that can lead to decreased revenue. Many casinos in Canada are always on the lookout for possible threats like credit card theft, counterfeit money, and counterfeit chips.
Upgrade Casino Equipment and Games
Some losses are associated with human error, especially in money counting. No matter how expensive it may be, it is always a good investment in using machines like money counting machines that will assure accuracy and transparency. It helps avoid further losses from miscounting money or chips in a night.
The House Edge
Math is the universal language of casinos. Whether you run a land-based casino or the best online casino, the house edge enables casino businesses to strive and put the greater odds of winning against its players. Casino games are designed to lessen a player’s potential winnings.
Generally, the house edge indicates the expected gross profit in each casino game. The lowest profit in some casino games is about 2% and can be as high as 25% or more.
Tricks to Keep Players Spending
Lastly, let’s not forget some common tricks casinos use to keep players from leaving and make them spend more. Have you ever wondered why there are no clocks inside? That’s because you want to purposely make them lose track of time to keep them playing.
Make sure everyone sees people are winning. When a player wins, make an announcement or a loud short celebration and let them be heard. When they know others are winning, they’ll keep playing to get the same experience as others. And of course, everybody likes free things like free drinks. People think they are saving a lot because of free drinks, but in actuality, they tend to spend more, especially for drunk players.
The Bottom Line
Although the odds are in favour of the casino, there are still other big and small matters that can affect your operations. These things tend to be overlooked and need to be addressed to keep your profit high. It is in your casino’s financial interest to diminish losses by replacing manual operations with advanced technology, and so forth.