Is staking players really smart?

[JK.]

Dr Protocol,great post.Could not have said it better myself.
The alure of gambling,distress,victim,bankruptcy,bigger is not always best,fantasies,ego etc..
You said it all.
Nice to have you back.

[C_Bomb]

I have no idea how staking/backing works in poker other than what C_Bomb has just written. I would assume that these arrangements would or should be negotiated just like any other business deal. A risk analysis should be undertaken by the investor (I doubt it rarely is). Every individual deal should be different as the risk increases/decreases dependant on the invested players ability to return dividends to the investor in a timely manner.
C_Bomb, are there legal contracts drawn up? Is it legal? How is it policed? Just asking because I'm quite ignorant in this area.
I would like to see what the staking/backing industry in poker is worth in terms of turnover in a year. Has anyone ever tried to work it out?

I doubt that properly written contracts are very common, but with the increase in "X is a shit bloke who ran off with my money" threads (Dunwoodie, Rubie, JyMaster1, etc...) they should be the first point of call for anyone who has a stable of players and anyone looking to back players for any extended period.

I'm pretty sure you could get a binding contract drawn up with the proper advice and input. Yorkshire, I don't know that it needs to be gambling specific.

What about someone who enters a competition of any sort but has the entry fee paid for by a friend?

They agree that in return any prize money will be split 50/50 after the associated fees and expenses are deducted. It doesn't have to be related to poker for there to be a need for a contract.


In any case both parties should at least put in writing their expectations for any scenario they can think of.

[HeeHaw]

Thanks for the reply C_Bomb. I would absolutely have something in writing if I was an investor. But, as has happened, it seems to me to be too big a risk for a return that is far from guaranteed. I would find something else to invest my money in.

[JK.]

I agree with you C-Bomb.If it is just a local ,one off tournament ,I see little reason for a contract.
Unless you consider the player to be good but you don't trust him.
In big tournaments ,there should be something in writing.Probably would not do you much good in courts but it would be good as evidence when you talk to the local Mafia.

Reminds me of the English player a few years ago who won the Aussie Millions.I won't mention his name but he won over $500,000 for the 1st prize.I forgot the correct total but it had a sad ending for the sponsor.
The English pro who had all his tournaments in Melbourne sponsored,walked to the Craps table and blew the lot.His and the sponsors' share.Parasite.
I have not heard much about him since.I am not surprised.Who would trust him?
This is the sort of thing Mercier was talking about in his blog.
Trust.

[C_Bomb]

Reminds me of the English player a few years ago who won the Aussie Millions.I won't mention his name but he won over $500,000 for the 1st prize.I forgot the correct total but it had a sad ending for the sponsor.
The English pro who had all his tournaments in Melbourne sponsored,walked to the Craps table and blew the lot.His and the sponsors' share.Parasite.
I have not heard much about him since.I am not surprised.Who would trust him?
This is the sort of thing Mercier was talking about in his blog.
Trust.

Only 2 winners from England/UK and neither won more that $500k but pretty shit house if true.

FWIW there are ways of preventing this, like maying for the player in person and having the casino note the interested parties/sponsors. Not sure if you can do it here though. I

[JK.]

Most pros and teams would never name their backer.
It would bedifficult to team play when everyone knows who the team members are.