Owning a Race Track, how in the hell do you lose money?

[Igeteven]

Owning a Race Track, how in the hell do you lose money?

Well people, owners and managers do it, how they do it, Hell.. I don't know.


With the talk in New York to shut down Saratoga Race Track, not making enough money, Which I can't believe.

Questions to all..

1. Are they spending too much on themselves?

2. Management is running it into the ground and taking the money or is the State of New York ripping them a new rear end.

3. Where are the profits going?

4. Now anyone from New York, knows the REAL truth behind this, Is it so hard to run a race track and take money off the top.


What the hell is going on, to the ones that read and don't post, get your feet wet on this one.

Now what is the real truth behind this. Politics ?

[Stillriledup]

I had the same question as to how the NYC OTB corporation could lose money. They had little over head and took in millions of bets on NYRA races and grabbed a nice sized commission and yet, failed.

[Igeteven]

I had the same question as to how the NYC OTB corporation could lose money. They had little over head and took in millions of bets on NYRA races and grabbed a nice sized commission and yet, failed.


We are writing and talking about the same thing, HUGE MONEY

[pandy]

NY OTB is basically a fraudulent business funded by taxpayers. The politicians set it up, hired their relatives and friends to run it, created a bunch of ridiculously high paying jobs with expense accounts, company cars, etc. I did freelance work for NYOTB back in the 80's and believe me, it is corrupt, that's why they lose money. All they have to do to show a nice profit is fire 99% of the executives and streamline the company. But when it comes to firing friends and relatives of politicians and union workers, it just doesn't get done.

[JustRalph]

I had the same question as to how the NYC OTB corporation could lose money. They had little over head and took in millions of bets on NYRA races and grabbed a nice sized commission and yet, failed.

The employee's are unionized.........enough said

[Robert Goren]

It is not easy, but where there is a will, there is a way. The answer is they have let their customer base erode until there is not enough income to cover expenses. It happens to a lot of business who get complacent because they think they have a license to print money. JMO

[Robert Goren]

The employee's are unionized.........enough said The employees were unionized long before the tracks fell up on hard times. My brother belong to a sellers union at Aksarben in the 60s. It was not until they brought in an idiot to run the the place in middle 80s did they start to lose customers and go broke. It was really nice not to have to check your ticket 3 times like I have to do now with these minimum wage joker sellers.

[Igeteven]

NY OTB is basically a fraudulent business funded by taxpayers. The politicians set it up, hired their relatives and friends to run it, created a bunch of ridiculously high paying jobs with expense accounts, company cars, etc. I did freelance work for NYOTB back in the 80's and believe me, it is corrupt, that's why they lose money. All they have to do to show a nice profit is fire 99% of the executives and streamline the company. But when it comes to firing friends and relatives of politicians and union workers, it just doesn't get done.


It sounds like they need a head man there to do a clean up job and fire all of these idiots.

Any other people from Pennsylvania or New York out there to say a response to this thread

[PaceAdvantage]

If we're strictly talking Saratoga here...that meet/track always makes plenty of money...

[Cratos]

Owning a Race Track, how in the hell do you lose money?

Well people, owners and managers do it, how they do it, Hell.. I don't know.


With the talk in New York to shut down Saratoga Race Track, not making enough money, Which I can't believe.

Questions to all..

1. Are they spending too much on themselves?

2. Management is running it into the ground and taking the money or is the State of New York ripping them a new rear end.

3. Where are the profits going?

4. Now anyone from New York, knows the REAL truth behind this, Is it so hard to run a race track and take money off the top.


What the hell is going on, to the ones that read and don't post, get your feet wet on this one.

Now what is the real truth behind this. Politics ?

Admittedly I don't know how they do it, but I am an independent conservative who don't want government in their lives.

[InTheRiver68]

The employees were unionized long before the tracks fell up on hard times. ... . It was really nice not to have to check your ticket 3 times like I have to do now with these minimum wage joker sellers.

Union tellers can be just as bad. When it's difficult discipline or fire union tellers, they have no incentive to do their jobs well.

-InTheRiver68

[Dave Schwartz]

Many years ago I heard the same thing asked about how a casino could lose money.

As someone who was brought up around gaming, I can tell you how easy it is to lose sight of the fact that the ENTIRE operation has to show a net profit, not just show a profit on the wagering.

I remember working at the old Cal-Neva Lodge on the north shore of Tahoe back in the 1970s. Kirk Kerkorian was a majority owner. The idea was to have a Las Vegas-type, high-roller joint, bringing in east coast junkets.

They did exactly that. Brought in some tremendous players by 1970s standards. They managed to beat most of them pretty good and still went busted. Guess what happens when profitable credit play meets overhead paid with cash: the casino runs out of money before they can collect.

The secret to staying in business in the gambling game is to control overhead.

The tracks have never learned that lesson. They have always sought to stay in the black by taxing and re-taxing their patrons.


That's how you go out of business.


Regards,
Dave Schwartz

[Igeteven]

Many years ago I heard the same thing asked about how a casino could lose money.

As someone who was brought up around gaming, I can tell you how easy it is to lose sight of the fact that the ENTIRE operation has to show a net profit, not just show a profit on the wagering.

I remember working at the old Cal-Neva Lodge on the north shore of Tahoe back in the 1970s. Kirk Kerkorian was a majority owner. The idea was to have a Las Vegas-type, high-roller joint, bringing in east coast junkets.

They did exactly that. Brought in some tremendous players by 1970s standards. They managed to beat most of them pretty good and still went busted. Guess what happens when profitable credit play meets overhead paid with cash: the casino runs out of money before they can collect.

The secret to staying in business in the gambling game is to control overhead.

The tracks have never learned that lesson. They have always sought to stay in the black by taxing and re-taxing their patrons.


That's how you go out of business.


Regards,
Dave Schwartz

This should be posted on the front page of the Daily Racing Form

Good Post

[Robert Goren]

Union tellers can be just as bad. When it's difficult discipline or fire union tellers, they have no incentive to do their jobs well.

-InTheRiver68I am sure they can. It just seemed that they were better back when tellering was their main job and not a bunch of college trying to get some beer money. Heaven forbid that they put two college kids of different sexes next to each other. JMO

[46zilzal]

simple...you forget that you are running a horse racing track and put all your effort into the racino..

[Robert Goren]

simple...you forget that you are running a horse racing track and put all your effort into the racino.. That could be because that is the part of the business that is actually making money. But not to worry, I have faith that these race track manager will figure out a way to lose money on their slot machines too.;)

[rwwupl]

Dave Schwartz wrote:

The secret to staying in business in the gambling game is to control overhead.

The tracks have never learned that lesson. They have always sought to stay in the black by taxing and re-taxing their patrons.


That's how you go out of business.


Regards,
Dave Schwartz


Clear cut and to the point. :ThmbUp:

[Warren Henry]

The employees were unionized long before the tracks fell up on hard times. My brother belong to a sellers union at Aksarben in the 60s. It was not until they brought in an idiot to run the the place in middle 80s did they start to lose customers and go broke. It was really nice not to have to check your ticket 3 times like I have to do now with these minimum wage joker sellers.

In the 70s and 80s at Aksarben, there were some bad tellers too. The regulars knew not to go to certain windows because the tellers would attempt to steal your money. The favorite technique was to be slow in putting up part of your payout. Some players would just grab the first offering and give way to the next player in line. Same gal got me twice. I complained to management, but she was there in her same window for years after that. I would rather check my tickets three times than know I got stiffed deliberately.

[ezrabrooks]

I am sure they can. It just seemed that they were better back when tellering was their main job and not a bunch of college trying to get some beer money. Heaven forbid that they put two college kids of different sexes next to each other. JMO

I don't bad mouth ticket sellers, as I make mistakes on my own at the machines..but, 'back in the good ole days', sellers had it a little easier, one track, limited number of bets, etc.

[Robert Goren]

I got stiffed at Aksarben too. Er, just a moment while I think. Now I remember. It was the horse I bet on that got stiffed.;)

[Igeteven]

it's seems to me now, that major tracks take a huge some of money out for the employee's that are union, and management.


Everyone is tapping the till


They are going to put themselves out of business. They have nobody to blame but themselves.