A staking decision

[NL Newbie]

Ok, so your friend/parent/uncle/random man in the street approaches you and is interested in backing you for poker.

You'll obviously sort out some kind of agreement maybe something like:

Borrow for for 6months or 50% return - whichever comes sooner.

Borrow untill returned original + 25% on his investment.


However your decision is this, your bankroll is $5k and if you continue you'll prob make around $100 000 this year. The problem is, when do you take this "guys" stake?

Do you:

1) Accept it now, let it take you from NL$100 instantly to NL$200 and NL$400 increasing your hourly wage immediately and means you'll be at NL$1000 alot sooner(Then when you go alone you make alot more cash for yourself as you'll be playing NL$500 and 1k etc)

Or

2) Continue on your own BR now, make your $100 000 goal this year then accept it further down the line where the investor(Who you want to continue to have a good business relationship with) will get faster returns but means you'll be giving up alot more interms of $$$$.

Appreciate any comments or if you've been staked yourself, any downfalls which i may overlook? PM if you wanna keep it quiet.

[PBJaxx]

Do you have any reason to think that you can instantly beat the 200, 400+ games?

[cassette]

At SSNL I think a lot of people are limited by skill rather than bankroll. If you are good enough to beat NL400 or NL1K you should easily be able to grind the bankroll on your own.

[Kilillan]

If I was going to be staked it would be limits I simply couldn't afford at the moment, else I'd do it myself.

It'd have to be at least nl1000 prob nl2000 with 50% return for a certain amount of time, then granulating off into 40% return, 30%, 20% and 10% return.

[NL Newbie]

From what ive played of NL$200, pretty sure i could beat it yes.

NL$400 i've no idea - however i'm sure i could learn to beat it, which is what this staking deal would allow me to do.

Just wonder what options best, i guess the first one? Beat the small games give him 30% return and continue with my own cash and increased hr/wage?

[snowbank]

[ QUOTE ]
Ok, so your friend/parent/uncle/random man in the street approaches you and is interested in backing you for poker.

You'll obviously sort out some kind of agreement maybe something like:

Borrow for for 6months or 50% return - whichever comes sooner.

Borrow untill returned original + 25% on his investment.


However your decision is this, your bankroll is $5k and if you continue you'll prob make around $100 000 this year. The problem is, when do you take this "guys" stake?

Do you:

1) Accept it now, let it take you from NL$100 instantly to NL$200 and NL$400 increasing your hourly wage immediately and means you'll be at NL$1000 alot sooner(Then when you go alone you make alot more cash for yourself as you'll be playing NL$500 and 1k etc)

Or

2) Continue on your own BR now, make your $100 000 goal this year then accept it further down the line where the investor(Who you want to continue to have a good business relationship with) will get faster returns but means you'll be giving up alot more interms of $$$$.

Appreciate any comments or if you've been staked yourself, any downfalls which i may overlook? PM if you wanna keep it quiet.

[/ QUOTE ]

This doesn't make sense. If you're trying to get to $100's to $200s or $400s, you should be able to get your roll big enough in like a week or two if you grinded and are a winning enough player. What % is the backer taking? If he takes 50% and you move to a higher level you'll probably make less.

The thing that makes sense if you want very little risk and the backer doesn't mind risk, is having him take like 25% of you and move you up to higher levels, but if you have a $5k roll it seems like a bad deal for the backer.

Maybe if the backer was someone who was coaching you as well to make sure that you win, that would make sense, but otherwise it seems like you are going to take a -ev gamble with someone else's money in the situation you mentioned to be honest.

[NL Newbie]

Snow - %'s and investments still to be discussed, the main decision is wheter to accept it now and let it boost me/get experience in higher games then go off my own cash to continue to play them.

Or wait till i can beat them then accept a backing deal to give him X% which then allows me to invest that money yet ocntinue to earn in poker.

The backer is an investment banker, losing $10k wouldnt phase him.

[PBJaxx]

[ QUOTE ]
From what ive played of NL$200, pretty sure i could beat it yes.

NL$400 i've no idea - however i'm sure i could learn to beat it, which is what this staking deal would allow me to do.

Just wonder what options best, i guess the first one? Beat the small games give him 30% return and continue with my own cash and increased hr/wage?

[/ QUOTE ]

You are pretty sure you can beat the 200s. So beat it for a bit to confirm this belief. It won't take many hands if you are winner, and then you are rolled for the 400s. At that point, you can begin to learn to beat it. It doesn't sound to me like you need to be staked. Considering your roll is already fine for the 200s, where you are just starting to play, I don't see any good coming out of getting staked here.

[NL Newbie]

Jaxx- So you'd accept a deal never? or only on the basis that the backer let you shot take NL$500 and NL$1000 and accept the huge risk?


Or i could accept it when i can beat NL$400 and want to invest my BR/winnings in which case it would free my money and allow me to invest it whilst still allowing me to play/earn X per hr?

[PBJaxx]

[ QUOTE ]
Jaxx- So you'd accept a deal never? or only on the basis that the backer let you shot take NL$500 and NL$1000 and accept the huge risk?

[/ QUOTE ]

I definitely didn't say that I wouldn't ever accept a deal. In general, though, I would avoid it unless it allowed me to gain something pretty major. If I were busto for life reasons, and I could get backed into a game I am confident in, or from someone with faith in my play to push me into a higher game when the money wouldn't matter much to him/her.

[ QUOTE ]

Or i could accept it when i can beat NL$400 and want to invest my BR/winnings in which case it would free my money and allow me to invest it whilst still allowing me to play/earn X per hr?

[/ QUOTE ]

I see what you are saying here, but it sounds pretty idealistic. How long would the backing deal last? What kind of cut would he/she need? Do you have any personal attachment to this person? If you do, the risk of jeapordizing that relationship if things don't go well offsets any additional income you could make through outside investments, IMHO.