Acquiring a Stake
In the poker economy, staking is a regular practice that many players engage in, both as the recipient and the lender of the stake. There are many broken deals, misunderstandings and hard feeling surrounding stakes, but by being a person of your word, and associating with people who follow similar codes of ethics, you will both protect your own interests as well as those who put their faith and money in your poker play. Before taking a stake from anyone, make sure you have terms that you agree on, and ideally have a contract documenting the deal. If you cannot come to terms you both agree on, amicably walk away from the situation. If you are playing with someone else’s money, you do not want any possible confrontation effecting your decision making at the table. This is one of the first arguments against staking, that the receiver of the stake may play more tentatively so is not to lose the stake and have to explain himself to his backer. If you are in a stake, make sure that you and your backer understand the risk involved, and that although he may end up disappointed, it is the price he pays for having an opportunity to reap profits from your play. Those who receive stakes are ideally strong poker players, but another quality you must possess is salesmanship. Players who play on stakes need strong negotiation skills as well as other interpersonal skills that allow them to broker a deal that is good for them and for their backer. The best way to self-promote is usually through tournament success, as it is a more tangible means of evaluating one’s success, although it may not translate well to cash game play. If you are considering staking another player, look at his track record. Is he prone to tilt, or does he have a relatively even-keeled demeanor at the tables? What situation does he have that warrants him needing a stake rather than playing on his own bankroll? There are a plethora of reasons a good player may need a stake, and if you can find one that is a good deal for both you and the player you are backing, then the deal is ideal and profitable. However, be careful with getting in too deep on a stake, especially if it negatively affects your bankroll to the point that you cannot afford to play in the games you want to. Also, enabling a losing player or staking a cheat is a disastrous proposition. Be absolutely certain of the character of the person you stake, as it is paramount to you getting your money back, and potentially turning a profit. Staking is a very delicate and nuanced endeavor, and it is important to be careful and be a smart investor. Protect yourself first and foremost, and you will find that your forays into gambling investments to be more often than not successful.
