Online Casino Franchise: Why Is It Beneficial?

Online Casino Franchise: Why Is It Beneficial?

Online Casino Franchise: Why Is It Beneficial?

Gambling is one of the most profitable and promising business areas. According to H2 Gambling Capital consultancy company, online gambling revenue will exceed €50 billion in 2020. In the upcoming years, the market will keep growing and incomes of operators will increase.

Understanding all the advantages of the gambling field, many entrepreneurs want to open their own business. However, the development of an online casino and its launch requires much effort and money and can last for several months. One of the ways to get rid of bureaucratic red tape and to start developing the business as soon as possible is a gambling franchise.

What a franchise is and how to launch your own online casino using it? Read in the article below.

Franchise: what it is and how much it costs?

A franchise is a partnership agreement concluded between a parent company (franchisor) and buyer (franchisee). The first party represented by the existing company provides the second party with the right to run business under its brand for money reward.

In the case of the online casino, the agreement is concluded between the gambling operator and entrepreneur that wants to do business under the brand name (often a very popular one). By doing so, the buyer starts working under the same name that the seller uses. Besides, the buyer imitates characteristic features of operation, promotion strategies, etc.

As part of the agreement, franchiser gets two types of money reward:

  • lumpsum payment. The franchisee pays it for entering the market under the name or trademark of the parent company. It is a one-time payment;
  • royalty fee. It is a regular payment paid to the franchiser for the operation under its brand.

As for the price of the online casino franchise, there is no certain price catalogue. Every gambling operator independently decides the amount of the lumpsum payment and royalty fee. The possibility to work with recognized companies costs a considerable amount of money. In some cases, we can talk about tens or hundreds of thousands of dollars.

Georgia igaming affiliate conference: Online Casino Franchise: Why Is It Beneficial? 1

Advantages of gambling franchise

To open an online casino from scratch, an entrepreneur has to undergo numerous stages: study the market, register a company, acquire a license, develop a website, choose a domain, select high-quality software and integrate it with the website, develop and realize the advertising campaign, organize an affiliate program, etc. This kind of business development is cost-efficient. Besides, investments may not pay off and the startup may leave the market under the pressure of competition not reaching success.

Getting an online gambling franchise is the fastest way to start doing a gambling business. By concluding an agreement with the franchiser, you automatically get the whole range of advantages:

  • simple launch and quick entry into the market. Being an owner of the online casino franchise, you get a readymade resource with all the needed software, advertising tools, and trusted operation schemes. The procedure of document issuance takes from several days to some weeks. So, you will be able to open your own casino in the shortest term;
  • no need to undergo licensing. Gambling license acquisition may take much time. Besides, some countries restrict online gambling activity. For example, in Georgia, opening an online casino is allowed only to operators that have permits for land-based gambling operations. The best franchises include a functional license. So, you will not have to spend time and money to get it;
  • competitive capacity. Gamblers show more trust in platforms with a well-known name. When you enter the market under the recognizable brand, you will be able to attract more customers and will outperform small competitors that did not have time to gain popularity;
  • saving on expenses. Franchisee takes on the visual identity of the franchiser – the corporate design that allows consumers to differentiate one company from another. It means that the startup does not have to invest funds in the development of design, logo, and other elements that symbolize the brand. Besides, the franchisee can save on the arrangement of the customer support service and brand promotion;
  • the assistance of an experienced gambling operator. The parent company is interested in high incomes of the franchisee: the more revenue the franchisee gets, the higher royalty fees he will pay. Therefore, the franchiser provides partners with all possible support in the form of consultations and helps them to promote business and gain customer trust;
  • staff training. The gambling operator organizes training programs for specialists that support casino operation.

If the franchisee decides to change the activity area and close the gambling platform, he does not have to take care of the fate of the online casino. He will just need to terminate the agreement with the franchiser.

What does the entrepreneur get with the online casino franchise?

To run a successful online casino business on a franchise model, make sure that it includes the following elements:

  • a ready to use website;
  • required software: different casino games, payment systems, software that analyzes performance efficiency, affiliate programs, etc.;
  • gambling license. This document ensures legal operation in the gambling market. If the operator does not have a gambling permit, it would be better to refuse to work with him;
  • advertising and marketing tools. The franchiser has to provide recommendations on how to run special offers, bonus campaigns, casino promotion via different channels (social media, forums, etc.);
  • legal support. The parent company helps the franchisee in different business issues including taxation and many other things;
  • integration of the franchiser’s customer support service. Thanks to this, qualified specialists that represent the parent company will solve all the problems that customers may face.

Georgia igaming affiliate conference: Online Casino Franchise: Why Is It Beneficial? 2

How to choose a franchise?

Take a serious approach to the choice of the franchise. The success of your future business depends on this step.

Before you conclude a partnership agreement with a certain company, study its development history. Find out whether the operator has a license, whether he operates legally, whether he was involved in legal proceedings. Analyze feedbacks of entrepreneurs that have already worked with or keep working with this casino. Study what players think about the platform, the level of player loyalty and trust.

Having chosen a gambling operator, thoroughly read the terms and conditions of the agreement. To avoid possible risks, consult a lawyer before you sign the document.


Online casino franchise is a possibility to launch your own business without much effort and investment. Working under a recognizable brand, you can attract players in a short time and will start making money quicker.вать.

Please rate this news:
(112 votes, average: 4.29 out of 5.)

Get the guide about marketing and legislative regulation: “What you need to know to launch on the European market”.