Poker backing, also known as poker staking, has two common ways it works:
At Pocarr, we primarily deal with 50/50 + makeup deals. Here’s how it works:
Mark is given $3,000 to play online poker tournaments. If he loses $1,500 in his first session, we will send him a reload for $1,500 to get him back to his initial $3k. He now has $1,500 makeup. If he loses $1,000 the next session, we again send $1,000, and he now has $2,500 makeup. Mark wins $10,000 the next day. The math would look like this:
$10,000 – $3,000 starting funds – $2,500 makeup = $4,500 profit
$2,250 for player to cashout. He has now profited $2,250.
$2,250 + $2,500 makeup = $4,750 to send to Pocarr. Pocarr has now profited $2,250 (-$2,500 losses + $4,750 received back = +$2,250).
At this point, Mark is back with his $3,000 initial funds to play with, and both sides have profited $2,250–the goal of our 50/50 deal.
The duration of these agreements is decided beforehand (# of games/months) and cannot end until makeup is zero. At that point, the player would return the starting funds.