Sports betting is one of the oldest and most popular forms of entertainment — and its growth shows no signs of slowing down. Are you wondering whether starting a sportsbook business is a good idea? Well, the answer lies in the opportunities this thriving market offers. There’s never been a better time to get involved, as demand continues to rise and advanced solutions are making the process easier than ever.
That said, like any business, launching a sportsbook comes with its challenges. You could take the complex route of building your own platform from scratch — but the good news is there are ready-made, fully-equipped sportsbook platforms from experienced providers. These solutions take much of the heavy lifting off your shoulders.
In this guide, we will cover everything you need to know about starting your own sportsbook business.
Sports Betting Market Overview – Trends and Opportunities
Understanding the bigger picture is the first step toward making informed, confident decisions, so let’s take a step back and look at the sports betting market as a whole. Take a quick look at some numbers from Statista:
- Revenue in the sports betting market is projected to hit $77.87 billion in 2025.
- The market is expected to grow annually at 5.09% (CAGR 2025–2029), reaching an estimated $94.99 billion by 2029.
- The number of users is expected to rise to 206.6 million by 2029.
- User penetration will grow from 2.3% in 2025 to 2.6% by 2029.
- The average revenue per user (ARPU) is forecasted to be around $426.09.
There’s no need to be a math genius to see where this is going — the market is booming. And there are some pretty clear reasons behind this growth. According to Grand View Research, demand for sports betting is being driven by several key factors:
Evolving regulations: As more regions legalize and regulate sports betting, new markets and opportunities are opening up.
Tech advancements: With better digital infrastructure, users can now access betting platforms more easily than ever.
Post-pandemic shifts: During COVID-19, when live sports were paused, online sports betting, especially eSports, gained massive popularity and continues to thrive.
Mobile dominance: Smartphones have completely changed the game. A survey found that mobile devices accounted for about 70% of online betting revenue in 2020 — and that number keeps growing.
Long story short: the sports betting market is thriving — starting a sportsbook business right now offers many potential and exciting opportunities.
Picking the Right Sportsbook Software: Build or Buy?
If you feel confident that starting a sportsbook business is the right move, it’s time to take the next step. The most crucial piece of the puzzle? Choosing the right sportsbook software.
As we mentioned earlier, you’ve got two main options:
- Building your own platform from scratch
- Buying a ready-made, fully-equipped platform from a trusted provider
Both approaches are valuable, but it is essential to understand the financial implications, operational risks, and long-term profitability. Your choice here will shape how your business runs — and how successful it becomes.
We’ll break down both options to help you determine which suits your business best.
Building Your Own Platform
Building a sportsbook platform from scratch gives you unmatched customization and control. You can tailor every feature to your exact vision, creating a unique user experience and a strong, distinctive brand identity.
But while the creative freedom is exciting, this approach has some serious challenges. It’s significantly more expensive and time-consuming, and early-stage mistakes can lead to costly and sometimes irreversible consequences. On top of that, finding top-tier specialists with the right expertise in this field isn’t easy — and without them, building a reliable, high-performing platform becomes even more difficult.
It can pay off if you have the resources, time, and patience for this route. But a faster, more cost-effective solution makes more sense for many businesses.
Buying a Ready-Made Platform
Buying a ready-made platform is often the smarter choice for those looking to enter the market quickly and with minimal hassle. This option offers speed, cost efficiency, and a fully-equipped infrastructure — everything you need to launch a sportsbook without the headaches of building from the ground up.
Depending on your needs, there are different types of ready-made solutions to choose from:
White Label Sportsbook: A fully managed, ready-to-go platform that comes branded with your name and logo. It’s perfect if you want to launch quickly without worrying about backend operations — the provider handles everything from software maintenance to risk management.
Turnkey Sportsbook: A more customizable solution that gives you control over certain platform aspects while still providing essential infrastructure. You get a balance of speed, support, and flexibility, making it ideal if you want to shape your sportsbook without starting from scratch.
API Solution: If you already have an existing platform and want to integrate top-tier sportsbook features, an API solution is the way to go. This lets you enhance your current system with betting functionality, without overhauling your entire operation.
Comparison of Each Approach
| Building Your Own Platform | Buying a Ready-Made Platform | |
| Customization | Full control, tailored to your vision | Limited to what the provider offers, but often flexible |
| Time to Market | Long — can take years to develop | Fast — launch in weeks or months |
| Cost | High initial investment, millions in development | More affordable upfront, often subscription-based |
| Maintenance | Requires a dedicated team and ongoing expenses | Handled by the provider, reducing workload |
| Technical Expertise | Need to hire and retain top specialists | Provider supplies expertise and support |
| Risk | High — mistakes can be costly and hard to fix | Lower — proven systems with established reliability |
| Scalability | Custom-built for your growth strategy | Often comes with scalable options, but may have limitations |
What to Look for in a Sportsbook Provider
If you’ve decided to go with a ready-made platform, you’re already making a smart, efficient move — and this is where we can really help. Choosing the right provider is crucial because it directly impacts your sportsbook’s success. Let’s break down the key factors to consider:
Licensing
Make sure your provider offers the right licensing and complies with industry regulations. The right license keeps your business legal and secure and builds trust with your audience. During the decision, consider where you plan to operate now and whether you might expand to other regions in the future. There are several licensing options to explore for sports betting — and we’ll cover the top choices later. For a deeper dive, check out our Top 5 Sports Betting Licenses article.
Number of Bookmakers
The more bookmakers integrated into your platform, the more diverse and competitive your odds will be. This gives your users more choices and boosts your platform’s credibility and attractiveness. At Upgaming, for example, we offer integration with over 120 bookmakers, ensuring a wide variety of betting options and consistently competitive odds.
Event Coverage and Market Variety
The more, the better. Bettors have different tastes and strategies — some stick to simple bets like picking the winning team, while others prefer more advanced wagers like prop bets. Choose a provider with a broad selection of live events, pre-match options, and diverse betting markets. A rich selection keeps your platform exciting and gives users more reasons to stay engaged and keep coming back. For example, Upgaming offers over 112,000 live events and 5,200+ markets, ensuring your users always have plenty of options.
Sports Variety
A well-rounded sportsbook attracts a wider audience by offering a broad variety of sports. The more options you provide, the more opportunities there are for engagement and revenue. Here’s a list of must-have sports for your platform:
- Football: The world’s most popular sport with 3.5 billion fans. Major leagues and tournaments like the English Premier League, UEFA Champions League, and FIFA World Cup draw massive betting interest.
- Cricket: Hugely popular, especially in South Asia. Key events include the Indian Premier League (IPL), The Ashes, and the ICC Cricket World Cup.
- Basketball: A global favorite with the NBA leading the charge, alongside international events like the FIBA World Cup and EuroLeague.
- Tennis: Known for year-round tournaments like Wimbledon, the US Open, and the ATP Tour, keeping bettors engaged throughout the year.
- Golf: Offers year-round betting with major events like The Masters, The Open Championship, and the Ryder Cup.
- Horse Racing: A classic betting sport with prestigious events like the Kentucky Derby, Royal Ascot, and Dubai World Cup.
- Boxing: One of the oldest combat sports, drawing attention with high-profile fights like those in the WBC, WBA, and UFC crossovers.
- Esports: A fast-growing market with games like League of Legends, CS:GO, and Dota 2 offering massive global audiences and frequent tournaments.
Customer Support
Reliable customer support from your provider ensures that technical issues and inquiries are resolved quickly. Choose a partner with 24/7 support, fast response times, and dedicated account managers. This helps you avoid downtime and keeps your operations running smoothly.
Risk Management
Effective risk management tools protect your sportsbook from fraud, match-fixing, and bonus abuse. A good provider should offer automated risk monitoring, betting pattern analysis, and advanced fraud detection systems. These features minimize potential losses and ensure a fair betting environment.
Back Office and Real-Time Analytics
Managing your sportsbook efficiently requires a powerful back office. Real-time reporting and analytics help track performance, monitor user activity and make data-driven decisions. That said, Upgaming’s sports betting software comes with a fully functional back office that lets you oversee and manage your operations from a single place.
Localized Design and Odds View
Markets differ, and your sportsbook should reflect local preferences. A provider offering customizable design and region-specific odds views creates a more personalized experience for your audience.
Live Streaming & Match Tracker
Live content keeps users engaged. Features like live streaming and interactive match trackers enhance the betting experience and boost retention.
Advanced Betting Features
The more tools your users have, the better their experience. Look for features like cash-out options, adding or swapping games, and saving or deleting bets. These create a more flexible and user-friendly platform.
Mobile-Friendly, Multi-Device Compatibility
A seamless experience across devices is non-negotiable. Make sure the platform works smoothly on desktop, mobile, and tablets — and offers personalized design options to stand out.
Legal and Regulatory Considerations
We can’t skip the legal and regulatory side of things. Licensing isn’t just a formality—it’s crucial to your business’s credibility and ability to operate legally in different markets. A proper license reassures your users that your platform is fair, secure, and trustworthy. It also helps you expand into regulated (or “white”) markets where licensing is mandatory and where the most valuable customers often reside. You risk heavy fines or even shutting your business down without the right licenses. So let’s look at the key legal steps you must take.
Licenses in Different Jurisdictions
Getting a sports betting license is your first big step toward becoming a legitimate operator. Not all licenses are created equal — here are the top five sports betting licenses to consider:
MGA License (Malta Gaming Authority)
It is one of the world’s most respected and widely accepted licenses. The MGA license offers access to several European markets and is known for its strict compliance standards and user protection policies. Bet365 operates with an MGA license, ensuring trust and credibility in several European markets. This showcases the importance of holding a respected license to attract international users and expand legally. Malta Gaming License (MGA). It will provide in-depth info about its application process and requirements.
Curacao Gaming License
A popular and cost-effective option, the Curacao license is relatively easy to obtain and covers a broad range of iGaming activities. While it’s not as prestigious as the MGA license, it still offers a solid entry point for new operators. Read more on this in the Curacao gaming licence article.
Antigua and Barbuda License
Known for its flexibility and straightforward application process, this license is particularly attractive to international operators targeting different regions.
Isle of Man License
This license is renowned for its high regulatory standards and excellent reputation. It provides strong legal protection and access to global markets.
Kahnawake Gaming License
Issued by the Kahnawake Gaming Commission in Canada, this license is well-regarded in North America and offers a stable regulatory environment.
Compliance with Local and International Laws
Even with a global license, you’ll still need to comply with local laws in your markets. Each country has its own rules regarding sports betting, taxation, advertising, and user protection. Staying compliant means keeping up with evolving regulations and ensuring your platform meets the legal requirements of each jurisdiction. Non-compliance can lead to fines, legal action, and damage your reputation.
Responsible Gaming Measures
Promoting responsible gaming isn’t just about ticking a box but building a trustworthy and sustainable business. Implementing responsible gaming measures helps protect your users and shows regulators that you’re committed to ethical practices. Here are some key measures to consider:
- Self-Exclusion Tools: Allow users to temporarily or permanently suspend their accounts.
- Deposit and Loss Limits: Let your users set financial limits on their betting activity.
- Reality Checks: Remind users how long they’ve been playing and how much they’ve spent.
- Age Verification: Ensure that only legal-age users can access your platform.
- Gambling Support Resources: Provide links to organizations offering gambling addiction help.
Budgeting for a Successful Sportsbook
Starting a sportsbook business requires careful financial planning and a clear understanding of startup and ongoing operational costs. A well-structured budget will help you avoid unexpected expenses and ensure long-term profitability and growth.
Startup Costs: Own Platform vs. Ready-Made Platform
| Platform | Own Platform (Custom-Built) | Ready-Made Platform |
| Software | Platform Development: $100,000 – $500,000+ | ✅ Included |
| Third-Party Integrations (payments, odds, streaming): $10,000 – $50,000+ | ✅ Included | |
| Licensing | Jurisdiction-Specific Licenses: $5,000 – $100,000+ | ✅ Included |
| Compliance & Legal Fees: $5,000 – $50,000+ | ✅ Included | |
| Marketing | Branding (logo, website, UI/UX): $5,000 – $50,000 | ✅ Included (basic customization) |
| Advertising (digital marketing, affiliates, influencers): $20,000 – $100,000+ | ✅ Included | |
| Promotions (bonuses, free bets, loyalty programs): $10,000 – $100,000+ | ✅ Included |
Key Takeaways:
- Building your own platform requires a huge initial investment, especially in software, integrations, and compliance.
- A ready-made solution includes most of the technical costs, so you can focus your budget on marketing and licensing.
- Both options require investment in marketing and promotions to attract players.
Operational Costs: Own Platform vs. Ready-Made Platform
| Platform | Own Platform (Custom-Built) | Ready-Made Platform |
| Staffing | Bookmakers: $100,000 – $500,000+ annually | ✅ Included |
| Customer Support: $40,000 – $120,000 annually | ✅ Included | |
| IT & Maintenance: $80,000 – $150,000 annually | ✅ Included | |
| Maintenance | Server Costs: $5,000 – $50,000 annually | ✅ Included |
| Software Updates: $10,000 – $100,000 annually | ✅ Included | |
| Payment Processing | Transaction Fees: 1% – 3% per transaction | 1% – 3% per transaction |
| Fraud Prevention: $10,000 – $50,000 annually | ✅ Included |
These budgets are rough estimates and will depend on factors like team size, location, and experience level.
Key Takeaways:
- Building your own platform gives you full control but comes with high staffing, maintenance, and security costs.
- A ready-made solution includes most of these expenses in the package, making it a faster and cost-effective way to enter the market.
- Both options still require handling payment processing fees.
Integrating Secure and Popular Payment Methods
Ensuring your sportsbook supports widely used and trusted payment methods is crucial for customer convenience and trust. Credit/debit cards, bank transfers, and e-wallets offer familiarity and ease of use. Let’s break down the must-have payment methods your platform should support.
Visa
Universally accepted and widely trusted, Visa is the go-to option for most online sportsbook users. It’s fast, secure, and available worldwide.
Mastercard
Another global favorite, Mastercard, offers quick and seamless deposits, making it a staple for online betting sites.
American Express
Known for high limits and top-tier security, AMEX is perfect for players who prefer larger transactions and added safety.
PayPal
A household name in online payments, PayPal is known for its security and ease of use. While it’s not accepted everywhere, it’s a favorite in regions like the UK.
Neteller
Fast, popular, and trusted — Neteller is one of the biggest e-wallets for sportsbook transactions. Deposits and withdrawals are processed in seconds.
Wire Transfer
Ideal for big deposits and withdrawals, wire transfers offer a direct connection to bank accounts. While they’re reliable, keep in mind they may come with longer processing times and small fees.
Cryptocurrency and Digital Wallet Support
With the rising popularity of digital currencies, supporting cryptocurrencies like Bitcoin and Ethereum can attract a tech-savvy audience and offer quicker transactions. Digital wallets also add a layer of flexibility for users.
Bitcoin
The original and most well-known cryptocurrency, Bitcoin, offers lightning-fast payments and an added layer of anonymity. Cloudbet is an example of a sportsbook that accepts Bitcoin, attracting a tech-savvy audience. This illustrates the growing trend of integrating cryptocurrencies as a payment method to stay ahead in a competitive market.
Other Cryptocurenssies
Diversify your payment options with popular alternatives like Ethereum (ETH) and Ripple (XRP), giving players more flexibility and speed.
Setting Up a Payment System for Your Sportsbook
Connecting a reliable payment system is one of the most challenging parts of running an online iGaming business. Many banks and payment providers hesitate to work with iGaming companies due to the industry’s high-risk nature, complex legal status, and potential for fraud.
To get your sportsbook’s payment system up and running, you’ll need to follow these steps:
- Establish a legal entity in a country with iGaming-friendly regulations (like Curacao, Malta, Costa Rica, or Gibraltar).
- Open a business account with a local bank.
- Obtain a proper license that allows you to operate internationally.
- Find a payment gateway that supports merchant accounts for iGaming businesses.
- Negotiate processing terms and sign an agreement.
- Allow the payment gateway provider to audit and assess your platform.
- Have specialists integrate the solution via API and FTP protocols.
- Complete the final settings to ensure everything works smoothly.
How to Attract and Retain Sportsbook Players
Building a Strong Brand Identity
Your brand is the personality and voice of your sportsbook — and in a crowded market, a strong, recognizable identity can be the difference between blending in and standing out. It’s about building trust, attracting loyal players, and creating a consistent experience across every touchpoint.
A strong branding strategy directly impacts your revenue, too. Around 81% of people are more likely to engage with a company they trust. Start by defining your brand’s values, tone of voice, and visual identity. What kind of experience do you want your players to have? Are you professional and data-driven, or more playful and community-focused? Ensure your website, social media, and communications consistently reflect this — from the colors and fonts to how you interact with your audience.
If you’re buying a ready-made platform from a provider, you’ll typically get some basic visual customization options — like adding your logo and adjusting the color scheme. But the deeper branding elements, like your voice, messaging, and overall vibe, are up to you. Building a memorable brand takes effort beyond just design — it’s about creating a personality players connect with and trust.
Affiliate Marketing and Partnerships
Affiliate marketing is one of the most cost-effective and efficient ways to grow your player base. By partnering with affiliates who promote your sportsbook on their platforms, you can reach a much wider audience without heavy upfront costs. In fact, 83% of casino marketers use affiliate promotion to raise brand awareness for their products and services — and it’s easy to see why.
With the right affiliate program, you only pay for results — like sign-ups or deposits — making it a low-risk, high-reward strategy. To attract quality affiliates, offer competitive commission structures and provide them with high-quality marketing materials, like banners, landing pages, and detailed tracking tools.
One of the prime examples is Unibet. They have successfully leveraged affiliate marketing to grow their user base by working with affiliates who promote the sportsbook on various platforms.
One advantage of working with a sportsbook provider is that they’re masters of affiliate marketing. Many providers offer built-in affiliate systems and established networks, making it easier to kick off your program and start seeing results faster.
Promotions, Bonuses, and Loyalty Programs
Attractive promotions and bonuses are essential for attracting new players and engaging your existing audience. In the competitive world of sports betting, creative and consistent offers can set your platform apart.
Start with the essentials:
- Welcome Bonuses: First impressions matter. A strong welcome offer — like free bets or deposit matches — encourages sign-ups and first-time deposits.
- Free Bets and Deposit Matches: These boost initial engagement and give new players a risk-free start.
- Loyalty Programs: Reward frequent players with points, cashbacks, and exclusive perks to keep them coming back.
One big advantage of buying a ready-made platform from a sportsbook provider is that many of these promotional tools come built into the system. Providers often include:
- Advanced Bonus Systems: Create and manage diverse promotions with ease. Tailor them to different player segments for maximum impact.
- Custom Tournaments: Boost engagement with personalized competitions. Let players bet against each other and climb leaderboards for special rewards.
- VIP Systems: Offer high-value players exclusive perks like higher betting limits, faster withdrawals, and personalized account managers.
Social Media and Content Strategy
Engaging content and a strong social media presence help you connect with your audience and create a community around your sportsbook. You keep your audience informed and engaged by sharing betting tips, match previews, industry news, and entertaining content. Platforms like Facebook, X, Instagram, and TikTok offer great opportunities to interact with players, answer their questions, and showcase promotions in a more informal and approachable way.
However, one major challenge in the sports betting industry is the restriction on paid advertising in many countries. This makes a well-thought-out social media strategy even more crucial. One approach is to create organic content that offers real value — like expert betting insights or fun, shareable posts — to naturally grow your audience without relying on ads. Another effective tactic is to build a sub-brand around sports-related content, like fan communities or sports analysis pages, which indirectly promotes your sportsbook without pushing the product too hard.
A strong content strategy doesn’t just boost brand awareness — it positions you as an industry authority. In fact, 90% of consumers say authenticity is important when deciding which brands they support, so maintaining a genuine and knowledgeable voice on social media can directly influence player trust and loyalty.
Managing Your Sportsbook
Day-to-Day Operations
Running a sportsbook involves juggling multiple moving parts — odds management, event coverage, customer service, and technical support. A well-structured operation requires a dedicated team to oversee daily tasks and ensure smooth workflows. Clear communication between departments and efficient processes keep everything running seamlessly. If you choose a ready-made solution, providers often offer these services, including odds management, event integration, and back-office tools — making day-to-day operations far easier and more efficient.
Risk Management and Fraud Prevention
Managing risk is essential for maintaining a profitable and secure sportsbook. Advanced risk management tools help monitor betting patterns, identify suspicious activities, and prevent fraud. Automated systems can flag unusual behavior, and setting betting limits on high-risk markets reduces potential losses. With a provider’s platform, risk management and fraud prevention tools are typically included, ensuring you have sophisticated systems in place without building them from scratch.
Customer Support and Player Retention
Exceptional customer support can set your sportsbook apart. Offering 24/7 support through live chat, email, and phone ensures player concerns are addressed quickly and professionally. A knowledgeable and friendly support team enhances the user experience and builds trust. Additionally, focus on player retention through personalized offers, loyalty rewards, and regular engagement — keeping your players happy reduces churn and builds long-term loyalty.
If you choose to buy a ready-made platform, you’ll significantly reduce costs, as most providers include customer support tools and services as part of their package. This saves you from hiring and training a large support team while still offering top-tier service to your players.
Scaling Your Business
Expanding into New Markets
Once your sportsbook is established, expanding into new markets can drive growth. Research market regulations, player preferences, and competition in target regions. Acquiring additional licenses and localizing your platform — including language support and region-specific payment methods — helps you cater to a broader audience.
Adding More Sports and Betting Options
Diversifying your sportsbook’s offerings keeps your platform fresh and appealing. Add more sports, eSports, and niche markets to attract different types of bettors. Expanding your betting options — like live betting, prop bets, and accumulators — gives players more ways to engage with your platform.
Improving UX and Introducing New Features
A seamless, user-friendly experience keeps players coming back. Regularly update your platform’s design, optimize navigation, and ensure fast load times. Introduce innovative features like cash-out options, bet builders, and live streaming to enhance the user experience. Listening to player feedback helps you prioritize improvements that matter most.
Conclusion
In conclusion, launching a successful sportsbook requires careful planning, legal compliance, financial investment, and continuous adaptation. Effective branding, marketing, and user experience are key to attracting and retaining players. Expanding into new markets and adding more sports can drive growth. At Upgaming, we can help you navigate these complexities and provide the tools and expertise needed for a thriving sportsbook business.
