How big should my starting bankroll be?
To be able to answer this question you have to first figure out how much money you want to make.
Update: Since this article was written, we’ve also released ValueBetting. A brand new product that is simpler to use and requires a smaller bankroll. Check it out!
With Rebelbetting you can realistically expect to make 10-20% profit of your bankroll every month. This means that a bigger starting capital will generate more money, since the profit stands in proportion to your bankroll. But you have to take some other factors into consideration as well.
One of them is how much time you want to dedicate.
Time is a key factor
A small bankroll and plenty of time may very well generate a profit equal to what you can make using a bigger bankroll, but with limited time.
As a guideline, we recommend that you spend on average 20 hours per week monitoring for arbitrages. Please note that we don’t mean 20 hours of active trading time, just that you’re able to monitor RebelBetting for new trades as they arrive. If you work in front of a computer, you can have RebelBetting running in the background, alerting you of arbs that meet your filter criteria. The actual placement of the arb only takes a minute.
If you have limited time you should focus your arbing to evenings and weekends when most games are played.
Another factor is how many bookmakers you use. The more capital you have, the more money you can use to fund bookmakers. More bookmakers mean more arbs – which in the end equals more money!
It’s a combination of these factors that determine your total profit.
For arbitrage trading we recommend using a minimum of 500 euro. This is enough if you’re in the beginning of your arbitrage career and just want to use a small capital for practising sports arbitrage. But this is not the way to make a quick fortune – the growth of a 500 euro capital would be slow.
For many people, the ideal scenario would be to start with 5.000-10.000 euro. This would be enough to cover many bookmakers and still have money left to balance the accounts if some of them run out of money.
But note that the ideal starting bankroll for some isn’t ideal for others. For instance, if you reside in a country with high gambling taxes or other applicable fees you may want an even bigger bankroll to start with.
Pros and cons of different starting capital:
Less than €500 bankroll
A bankroll smaller than 500 euro would not be suitable for arbing in the long run. If you have a lack of starting capital you should first take advantage of bookmaker bonuses by using MatchedBetting. This is a good entry point to the arbitrage world and will help boost a small bankroll. RebelBetting is focused solely on finding arbitrage opportunities. If you have less than 500 euro you should first use MatchedBetting and move on to RebelBetting once your bankroll is bigger.
Small bankroll €500-2.000
With a small bankroll, you have to be clever and manage your money well. You may have trouble to keep your bookmaker accounts funded. This depends of course on how many bookmakers you use, but ideally, you would use at least 6-8 bookmakers when starting out. You want to have enough money deposited at your bookmakers to be able to cover your next couple of bets, even when some of your money is ‘locked in’ while waiting for the bets to get graded. If you have a small bankroll we recommend you to use RebelBetting Lite.
Medium bankroll €2.000-10.000
A capital of 2.000-10.000 would be enough to cover many bookmakers and still have money left to balance the accounts if some of them run out of money.
Large bankroll €10.000-25.000
With a sizeable bankroll, you will not have any trouble keeping your bookmakers balanced. However, if you have a big bankroll you’ll likely want to play with higher stakes. This could be a bit tricky due to the bet-limits bookmakers have on their odds. The top bookmakers accept bets of a few thousand euros, but usually not more. This means that the there is a realistic “cap” of the amount of money you can make per month.
Generally speaking, the higher percentage profit occurs with smaller bankrolls. In other words – your profit as a percentage will be higher with a smaller bankroll, and later on, when you increase your bankroll your profit percentage will slightly decrease, but you’ll make more money.
Ready to get started?
Here are some helpful tips to know of – no matter how small or big bankroll you have:
- An e-wallet is good to use when balancing your accounts. You should strive to have around 10% of your total bankroll in your e-wallet for easy deposits if some accounts run out of money.
- When you open up accounts at new bookmakers, make sure you take advantage of all bonuses first using MatchedBetting.
- The full Arbitrage Boot Camp e-book will teach you everything you need to know about bankroll management and sports arbitrage. You will receive it as soon as you subscribe to RebelBetting.
4 January 2018