Matched Betting - Factors

In reality there are a several things which you need to take into account which affect how much the LAY stake should be to ensure you always make profit.

Odds

In the examples so far we have assumed that the Bookies odds and the Exchange odds are the same – this is not always true – in fact Exchanges promote the fact that their odds are much better than Bookies.  So you can always expect a small difference between Bookie’s odds and Exchange odds.

This means the two bets, the BACK and the LAY, may not cancel each other out exactly.

In Step1 doing the qualifying bet you might lose a few pennies. 
But always remember, for losing those few pennies in Step 1 you're going to make many pounds in Step 2 from the free bet!

Stake Returned

(SR)

is where the Bookie lets you keep the free bet money as well as any winings.
The free stake money is returned to you.

Most free bets are Stake Not Returned.

Stake

Not Returned

(SNR)

is where the bookie only lets you keep any winnings you make from using the free bet – the Bookie keeps the free bet amount.
The free stake money is not returned to you..

Most free bets are Stake Not Returned.

Commission

Betting Exchanges charge commission on winnings (5% at Betfair) so if your LAY bet at the exchange wins they'll take 5% off your winnings.  So you'll not make £10 profit - you'll make £9.50. 

N.B. There is no commission at bookies.

Lets Have A Look At A Real Example ...