Is internet sweepstakes legal in my state, county, city, country, or other municipality?
That is a question that we cannot answer. We are not lawyers and cannot offer legal advice. Please contact a qualified professional in your area. Remember, it is better to ask permission than to ask forgiveness.
Are internet sweepstakes games considered gambling or a lottery?
Generally, for a game to be considered gambling, or a lottery, it must have 3 specific aspects of play. First there must be a "Prize." Second, there must be "Chance" involved. Third and lastly there must be "Consideration," which in this case means a player must pay to be included in the game. Sweepstakes games differ from traditional gaming in a couple of ways. Obviously there is a prize involved, whether monetary winnings or something else such as a vacation trip or a wide screen TV. However, this is where sweepstakes diverge. For something to be considered a sweepstakes, no purchase must be required to enter. There has to be a way for a player to obtain free entries into the sweepstakes, generally this is done by mail. And secondly sweepstakes games do not employ chance in the outcome. There are clearly defined numbers of entries and clearly defined numbers of winners which are predetermined before the sweepstakes starts. This is what is called a "finite sweepstakes", they have a start date and end date, and have a large (but fixed) number of entries and a large (but defined) number of winnings. Different jurisdictions and municipalities have different laws so you need to check with the governing authorities in your area.
How exactly are the winners predetermined?
Each sweepstakes game starts with what's called a Pay-table. For example, the company that is promoting the sweepstakes decides that it will have 100,000 entries into the upcoming game. Of those 100,000 entries, 1 will be worth a "grand prize," 10 will be worth a slightly smaller prize, another 100 will have a slightly smaller prize, and so on, including some that aren't winners at all. The promoter can then play a series of sweepstakes back to back without anyone being able to realize when one has stopped and the next has started.
How much does it cost to get started?
Like any business, there are various costs associated with getting a business started. Fortunately, we work with you to keep your costs low as you're getting your doors open. We also help you decide what will work best for your business, whether it's owning your own equipment and enjoying a lower split, or leasing the equipment from us (and letting us handle any equipment issues that arise) for a slightly higher split.
How much money can I expect to make?
Again, as with any other business there are many factors that affect how much money you bring in. You obviously want the best location possible, you want to run your Internet Cafe as professionally as possible, you want people to feel safe and comfortable in your location, and run your business in such a way that makes people want to come back again and again. A good mix of Marketing and Promotions is key as well. Some businesses are profitable very quickly, others take a little longer, but either way an Internet Sweepstakes Cafe can be a very lucrative business.
What is the difference between leasing the machines versus using my own?
There are different benefits to both options. Simply stated if you own your own equipment you get a larger split of net profits and if you lease the equipment from us, you keep slightly less. Clearly if you choose to own your own equipment, your upfront costs will be higher. You are responsible for making sure each unit meets our requirements, and the installation make take longer as the software will have to be downloaded to the equipment after everything is set up, correctly networked, and running. As well, if one of your units goes down, you are responsible for either fixing or replacing it.
If you opt to use our equipment, we deliver it to your site ready to go. We already have the machines loaded with our software, and we test everything before it leaves our location so you know it will work when it arrives. Best of all, if there are any issues with any of the machines, it is our responsibility to fix or replace it.
However, whether you choose to own your equipment or lease from us, you'll still receive the best customer service in the industry and enjoy our 24/ 7 technical support.
What is the best location for an Internet Sweepstakes Cafe?
This is probably one of the most important factors in running a successful Internet Sweepstakes Cafe. Obviously you want to be as close to your customer base as possible, preferably somewhere close to neighborhoods so people can reach your location either on foot or by a short car drive. Strip Malls make great places in that they have large parking lots, are well lit, have built in foot traffic and are generally visible from roadways. Best of all, these days most will have some vacant storefronts that the owners would love to fill. Otherwise, closed restaurants or other similar places in high traffic areas, are usually good places that tend to be successful as well.
When can I get started?
Almost immediately! Once you have a location, have high-speed Internet service up and running, we either ship the equipment to you, or bring it to you ourselves. Installation can usually be completed in a single day, and after a short training on how to use the Point of Sale system, you can go live and start bringing in money!
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